Today, the EU Commission has already announced in advance of its much debate on its regulatory dismantling package, which, among other things, deregates the climate and sustainability reporting of companies.
Reduction of regulation has been one of the main goals of this season. The aim is to lighten the administrative burden of companies and to harmonize the Union’s business regulation. Today, the Commission estimates that proposals bring administrative savings to companies each year for approximately EUR 6.3 billion.
The so-called Omnibus package of regulation, the so-called Omnibus package, has sparked a lively debate in advance. For example, NGOs have criticized the package on the basis of a pre -leaked draft and have been afraid of watery the climate targets agreed last season and the Corporate Responsibility Directive.
Reporting obligations are removed from a large number of companies
According to the Commission, changes are necessary because reporting obligations have been perceived as too much burden in companies and partly disproportionate.
The EU is aimed at, among other things, the CSRD Sustainability Reporting Directive. It requires that the company’s environment, human rights and social issues be published annually in a sustainability report included in the company’s annual report.
Reporting requirements are now being reduced for smaller companies. According to the EU, the reporting requirement is centralized in larger companies that are more likely to have the greatest impact on people and the environment. Companies of less than 1,000 employees and listed SMEs are excluded. They may continue to report their actions if they wish.
The EU Commission has estimated that with the change, about 80 % of companies will leave the scope of the Directive.
“This does not mean that 80 % of companies will no longer report – that just means they don’t have to,” said the EU Commissioner for Financial Services Maria Luis Albuquerque Wednesday’s press conference.
Reflection is also coming to the so -called CSDDD, which was approved last year. The Directive was twisted during the last EU season until almost the end of the season.
The Directive obliges companies to take into account human rights principles from the scope of its entire value chain. In practice, this means that companies will respect internationally identified human rights and environmental agreements in countries whose own legislation is not obliged to such a person.
Finnwatch: punishes responsible companies
NGO researcher of Finnwatch Anu Kultalahti To estimate to STT that one of the most worrying features in the package is the removal of the duty of care, which is at the heart of the Corporate Responsibility Directive last season.
The Directive obliges companies to prevent and alleviate the adverse effects of their activities where the effects are most serious. Now the Commission proposes to limit the duty of diligence included in the Directive to the companies’ own activities, subsidiaries and the first stairs of the production chain, Kultalahti says.
For example, the first staircase means the factory where the garment comes to the store.
However, the highest risks of environmental and human rights are usually deeper in the chain and closer to primary production. According to Kultalahti, the performance guides companies to use resources for work that can be completely useless.
“Here is the real risk that this will increase the administrative burden without the protection of human rights and the environment correspondingly strengthened,” Kultalahti told STT.
Finnwatch stated, on Monday’s draft, that the Omnibus proposal would punish companies that have already invested in responsibility.
“The presentation threatens to create a confused and unnecessary rule frame that does not correspond to international corporate responsibility standards already followed by many companies,” Finnwatch estimates.
Preparation of the package has also been criticized as NGOs have felt that they have been ignored in its preparation.
“NGOs who have been fighting for stronger sustainability rules for years have been completely ignored in the unclear process,” said Audrey Changoe, responsible for the Auurope trade and corporate responsibility campaign for climate organizations.
EK: The goal is not to decline in ambition of responsibility
The Confederation of Finnish Industries EK commented that the Commission’s general objectives are correct and necessary. However, the changes require even more detailed analysis, EK said in a news release.
– The Commission proposes to streamline regulation, both by delegated regulations and by opening the already approved legislation. In many respects, the changes are significant and require careful analysis, EK said.
According to EK, its member companies are committed to a high level of responsibility and the aim of the EK is not to calculate the level of ambition of responsibility.
The changes still require the approval of the EU Member States and Parliament, and it is likely that changes to the package will be made.
– To the extent that changes in ordinary legislation, in addition to the Commission, it is essential in the positions of the Council and Parliament. EK’s wish is to predict the business environment and legal certainty for companies, EK said.
According to EK, well -executed, streamlining regulation and cutting the reporting burden can lead to better orientation of responsibility work – rather than reporting to concrete responsibility activities.
Over 100 billion in environmentally friendly industry
The Commission today also released the Clean Industrial Deal of the Clean Industrial Development Program, which wants to increase funding for a clean transition.
As part of this, the Commission announced the EUR 100 billion short -term aid package aimed at accelerating climate -friendly industrial production in the EU.
On Wednesday, the Commission also presented its affordable energy action program. As part of it, the Commission wants to improve the availability of low -cost pure energy and to bring energy to the price level. EU-wide funding will be increased to launch investments.
As part of this, the Commission intends, among other things, to make recommendations for lowering national electricity taxes.