Decisively Tackling the Reduction of ESRS Data Points

In the context of the EFRAG public call on the ESRS Set 1 revision, we advocate a simplification of the reporting requirements and a substantial reduction in the ESRS data points. Despite the high level of granularity, many of the data points are not relevant for the users of sustainability information. In addition, the implementation of the ESRS is associated with considerable implementation costs for companies. 

Beyond conceptual adjustments, changes to the sustainability reporting framework are essential. The CSRD is the core of sustainability reporting. All relevant information for other reporting frameworks, such as the Sustainable Finance Disclosure Regulation (SFDR) or the Capital Requirements Regulation (CRR), should be derived from the CSRD data. 

Greater alignment between the ESRS and the International Sustainability Standards Board (ISSB) standards is crucial to avoid duplication of reporting requirements. We consider an alignment of the streamlined ESRS E1 Climate Change with IFRS S2 Climate-related disclosures to be necessary.