Your Corporate Sustainability Reporting Directive checklist

Even entities based outside the EU need to understand the bloc’s new CSRD regulations on environmental and sustainability reporting. Here are the basics. 

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Back in November, Environment Journal reported on new European Commission directives which would change environmental reporting standards not just for 50,000 companies within the bloc, but countless more trading within the region

An enhancement of the previously existing Non-Financial Reporting Directive (NFRD), the criteria for what actions need to be logged, audited, and checked for climate impact has expanded significantly. Taking effect in January 2024, the reporting stage is now well underway. 

Timeline for reporting 

From January 2024 – For all companies and organisations already subject to NFRD, the replacement CSRD reporting will be due at the end of this financial year. 

From January 2025 – All other companies and organisations subject to CSRD reporting will have to file firs reports for the next financial year, due 2026.

From January 2026 – CSRD reporting begins with first filing due 2027 for all listed SMEs, small/non-complex credit institutions and insurance.

From January 2028 – Non-EU companies must comply with widespread activities within the bloc must comply to CSRD reporting, first filing due 2029.

Who has to comply

*EU-registered companies with a turnover in excess of €50million

*Total assets of more than €25million

*A workforce of more than 250 employees over a full year 

*Non-EU entities, ‘Third-Country Parent Companies, such as those in the US, with consolidated EU net turnover of more than €150million, providing they have possessions of a subsidiary within the EU considered to be a large undertaking, own a subsidiary carrying debt or equity securities traded on an EU exchange, or, own a major EU branch with a net turnover of €40million or more. 

When non-financial information is included within the consolidated management report of a non-EU firm, subsidiaries trading within the bloc are exempt from reporting. 

The directive extends to any listed SME, although their compliance is only enforced from 2028. Simplified reporting standards also apply to any subcontractors. 

More on climate change and net zero: 

Can this new technology finally end chick culling in egg industry?

1/3 of UK city residents will soon leave for more green space

Lavender, marjoram and ivy improve clean air from green walls

Image: Tabrez Syed


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