Sector Classification and approach (SEC1) standard setting

​The ESRS on sector classification is intended to be enacted as an ESRS in a Delegated Act after the public consultation and subsequent changes. This document illustrates how NACE codes are aggregated to form sectors, providing in this way a central reference for all the undertakings on how to report their sector of activities. This will be the infrastructure for the application of Sector ESRS. At the same time – considering the phase-in as proposed by the delegated Act supplementing Directive 2013/34/EU regards sustainability reporting standards - from 2025 onwards undertakings are due to report the disclosure required by SBM 1 of ESRS 2 Disclosure requirements, which includes also a breakdown of the revenues by ESRS sector.