EFRRAG has submitted its technical advice on simplifications to the ESRS, after its Sustainability Reporting Board (SRB) voted to approve the revised standards last Friday (28 November).
Patrick de Cambourg, SRB Chair, stated: “This simplification reflects a crucial balance: supporting Europe’s competitiveness and reducing unnecessary burden, while preserving the EU’s leadership in sustainable finance and its commitment to the Green Deal. The Simplified ESRS provide a clearer, more proportionate framework that strengthens trust, transparency and our collective ability to address long-term sustainability challenges.”
According to EFRAG’s analysis, the number of datapoints required if material have been reduced by 61% in the simplified standards, while new reliefs and phase-in mechanisms have also been included and interoperability with the ISSB standards has been enhanced due to the new emphasis on fair presentation reporting.
The Commission is expected to adopt the simplified standards via a delegated act by the middle of 2026.
Tom Dodd, European Commission sustainability reporting team leader, told the SRB last week that it will begin the consultation process with various EU bodies once there is a political agreement on the Omnibus Directive to simplify the CSRD and CSDDD.
