How the Corporate Sustainability Reporting Directive could impact businesses globally

In the first episode of the sustainability disclosures mini-series, Bruno Sarda and his guests discuss the EU’s new Corporate Sustainability Reporting Directive (CSRD) and its impact on businesses.

In the first of a series of three Sustainability Matters podcasts dealing with ESG disclosures worldwide, we put the spotlight on Europe and the new Corporate Sustainability Reporting Directive (CSRD for short). Bruno Sarda is joined by Dr. Christian Orth, EY Global Solution Leader for Sustainability Reporting and Assurance, and Elodie Timmermans, EY America’s Nonfinancial Reporting Assurance and Advisory Leader, who looks at the implications for businesses in North America.

What is the CSRD and what is it trying to achieve? Christian guides us through the many acronyms involved and gives his insight into the evolution of ESG disclosures in Europe. The new directive is a vital component of the European Green Deal which seeks to make the EU the world’s first carbon-neutral trading block. The guests discuss the huge increase in the number of businesses that will be affected and the compliance timelines.

The CSRD won’t only affect European enterprise. Elodie outlines implications for non-EU businesses that have subsidiaries or operations in the EU. The guests also discuss how the CSRD aligns with other global initiatives such as the ISSB and SEC.

Businesses will need to prepare for a new age of sustainability disclosures. ESG reporting will not simply be the domain of the Chief Sustainability Officer, but the entire enterprise will need to become aligned to sustainability goals and disclosures. Implementation will have a major impact on operations and the time to set up steering committees and working groups is now. 

Key takeaways:

  • The CSRD is an important part of delivering the European Green Deal - the journey to a carbon-neutral Europe.
  • It encompasses not just climate change but broader Environmental, Social and Governance metrics.
  • It will dramatically increase the number of businesses who are subject to mandatory ESG disclosures from 15,000 to over 50,000.
  • CSRD will impact non-EU companies, called Third-country companies, that have substantial activity in the EU.
  • Businesses should prepare now, aligning finance and sustainability teams and involve the C-suite.
  • Successful reporting needs a holistic approach that involves the entire organization.

For your convenience, full text transcript of this podcast is also available.

Presenters

Bruno Sarda
Principal, Climate Change & Sustainability Services, Ernst & Young LLP

Podcast

Season 4, Episode 8

Duration 27m 57s

In this series

Series overview
(Event List - Manual)

How the Corporate Sustainability Reporting Directive could impact businesses globally

In the first episode of the sustainability disclosures mini-series, Bruno Sarda and his guests discuss the EU’s new Corporate Sustainability Reporting Directive (CSRD) and its impact on businesses.
Podcast

Season 4, Episode 8

Duration
27m 57s

Presenters

Bruno Sarda

Principal, Climate Change & Sustainability Services, Ernst & Young LLP

COP27: The African and Latin American perspective

In the latest episode of the Sustainability Matters podcast, Bruno Sarda and guests discuss the new COP27 initiatives from the perspective of the Africa and Latin American regions.
Podcast

Season 4, Episode 7

Duration
34m 04s

Presenters

Bruno Sarda

Principal, Climate Change & Sustainability Services, Ernst & Young LLP

How sustainability can prevail during times of geopolitical uncertainty

In this episode of the Sustainability Matters podcast, Bruno Sarda and Matthew Bell examine how CSOs can maintain sustainability as a key priority in a changing geopolitical environment.
Podcast

Season 4, Episode 6

Duration
25m 41s

Presenters

Bruno Sarda

Principal, Climate Change & Sustainability Services, Ernst & Young LLP

Dr. Matthew J. Bell

EY Global Climate Change and Sustainability Services Leader

Why businesses are measuring social factors as part of their ESG performance

In this episode, Bruno is joined by Emily Bayley of WEF, Ebony Thomas of Bank of America and EY senior manager Lucy Godshall to discuss how organizations are focusing on and measuring social factors within ESG.
Podcast

Season 4, Episode 5

Duration
21m 11s

Presenters

Bruno Sarda

Principal, Climate Change & Sustainability Services, Ernst & Young LLP

How carbon offsetting could be part of a net zero ambition

In this episode of the Sustainability Matters podcast, Bruno Sarda speaks to Jennifer Leitsch and Cynthia Curtis about the challenges and opportunities of achieving net zero.
Podcast

Season 4, Episode 4

Duration
26m 19s

Presenters

Bruno Sarda

Principal, Climate Change & Sustainability Services, Ernst & Young LLP

How the Sustainability Matters podcast is looking ahead in 2022

The Sustainability Matters podcast welcomes its new host, Bruno Sarda, highlighting the issues that will likely inform ESG matters in the coming year and outlining his vision for the series.
Podcast

Season 4, Episode 3

Duration
22m 58s

Presenters

Bruno Sarda

Principal, Climate Change & Sustainability Services, Ernst & Young LLP

How businesses can turn COP26 outcomes into future actions

In this episode of the Sustainability Matters podcast, Steve Varley – EY Global Vice Chair of Sustainability – discusses the impact, outcomes and importance of actioning key COP26 takeaways.
Podcast

Season 4, Episode 2

Duration
28m 28s

Presenters

Steve Varley

EY Global Vice Chair - Sustainability

How redefining the circular economy could reshape a sustainable planet

Chris Hagler welcomes Antonis Mavropoulos and Mark Weick to discuss how a circular economy may lead to a more sustainable planet.
Podcast

Season 4, Episode 1

Duration
34m 45s

Presenters

Mark Weick

Managing Director, Climate Change and Sustainability Services, Ernst & Young LLP