ESG Transition: European Council Approves Postponement of Sustainability Reporting Calendar

AIDA CCI announces the recent decision by the European Council, approved on March 26, 2025, to postpone the entry into force of certain regulatory obligations associated with corporate sustainability. This measure aims to grant companies more time to adapt to the new European legal framework, under the ‘Omnibus I‘ proposal.

What changes with the ‘Omnibus I’ package?

The regulatory simplification package introduces structural changes to key directives, such as the CSRD (Corporate Sustainability Reporting Directive) and the CSDDD (Corporate Sustainability Due Diligence Directive).

Key Approved Changes:

• 2-year postponement in the application of the CSRD for large companies and listed SMEs that do not yet report.
• 1-year postponement in the transposition of the CSDDD.
• Scope reduction: Obligations will now only cover entities with more than 1000 employees.
• Restriction of due diligence: Limited to direct business partners.
• Simplification of ESRS (European Sustainability Reporting Standards).

Goal: More Competitiveness, Less Bureaucracy

This postponement is part of the strategy for a more competitive Europe, estimating a reduction in administrative burdens of up to 25% (and 35% for SMEs). The new framework also foresees simplifications in the CBAM and EU funding processes, promoting an environment favorable to innovation and green transition.

Useful Information

• European Council Press Release