21/04/2021 - EFRAG welcomes its role in the European Commission’s proposal for a new CSRD
The European Commission’s proposal for a Corporate Sustainability Reporting Directive (CSRD) envisages the adoption of EU sustainability reporting standards. The draft standards would be developed by EFRAG. The standards will be tailored to EU policies, while building on and contributing to international standardisation initiatives.
Today the European Commission adopted an ambitious and comprehensive package of measures to channel funding towards sustainable activities. This package includes a proposal for a Corporate Sustainability Reporting Directive (CSRD) aiming – over time – to bring sustainability reporting on a par with financial reporting.
On 8 March EFRAG published two reports exploring the possibility of developing European sustainability reporting standards and the possible changes to the governance and finance of EFRAG if EFRAG would develop these standards. The reports were issued after the recommendations were submitted to Commissioner McGuinness.
EFRAG Board President, Jean-Paul Gauzès, welcoming the proposal for the CSRD and the envisaged role for EFRAG commented:
“I am very honoured by the confidence the European Commission is putting into EFRAG by requesting EFRAG to prepare technical advice with proper due process, public oversight and transparency, contributing to the delegated acts through which the sustainability reporting standards will be adopted.
EFRAG has been advising the European Commission for many years on the endorsement of IFRS Standards and I am pleased that our reputation as a European centre of expertise on corporate reporting has been recognised. EFRAG is well placed to foster coordination between European sustainability reporting standards and international initiatives that seek to develop standards that are consistent across the world.”
