CSRD
The Corporate Sustainability Reporting Directive (CSRD) is a European Union regulation that expands and strengthens sustainability disclosure requirements for companies, ensuring consistent, comparable, and reliable reporting on environmental and social impacts.
Corporate Sustainability Reporting Directive
Description
The CSRD is an EU directive that replaces and builds upon the Non-Financial Reporting Directive (NFRD). It significantly increases the number of companies required to disclose sustainability information, including large companies and listed SMEs, and introduces mandatory European Sustainability Reporting Standards (ESRS). It aims to improve the quality, comparability, and reliability of sustainability information across the EU, with direct links to EU taxonomy and investor decision-making.
Type |
Jurisdiction |
Sector Relevance |
---|---|---|
Regulation |
European Union |
Large companies, listed SMEs, financial institutions, and organisations with EU market exposure |
Established / Active Since
Adopted in 2022; phased implementation from 2024 onward.
Maintained By / Organised By
European Commission, with reporting standards developed by the European Financial Reporting Advisory Group (EFRAG).
Official Resources
- https://www.efrag.org/lab3
- https://finance.ec.europa.eu/capital-markets-union-and-financial-markets/company-reporting-and-auditing/company-reporting/corporate-sustainability-reporting_en
Relationship to Lemu
Atlas helps companies meet disclosure requirements under CSRD, particularly for biodiversity, climate, and ecosystem-related data aligned with ESRS.
Examples in Practice
Cross-Mapping
- TNFD – CSRD encourages alignment with TNFD frameworks, especially for biodiversity and nature-related risk reporting.
- SBTN – Targets set under SBTN can be used to demonstrate progress and compliance with ESRS disclosure requirements.
- GBF – CSRD biodiversity standards (ESRS E4) support corporate contributions to GBF goals.
- SEEA – Underpins natural capital accounting approaches that companies may use to meet CSRD disclosure obligations.