We opted here for reiterating some of the recent messaging from companies.
The Collège des Directeurs du Développement Durable (C3D), representing over 400 Chief Sustainability Officers of French companies, published a letter on the 6 January 2025 addressed to European policymakers urging them to uphold the original intent of the CSRD, CSDDD, and Environmental Taxonomy in the ongoing omnibus regulations consultations. While acknowledging concerns about the comprehensiveness of these frameworks, they emphasise that this is also their strength, enabling European companies to develop robust ESG strategies and enhance their global competitiveness. They advocate for a gradual implementation, coupled with simplified communication, support for companies, and a phased approach to encourage widespread adoption and to avoid delays.
Excerpts from the full statement
Sustainability regulations not only ensure a level playing field but also strengthen European sovereignty. A study by EcoVadis highlights that Western Europe leads in Corporate Sustainability Reporting. Maintaining this leadership requires firm and consistent application of the CSRD, ensuring that European standards shape global norms rather than ceding control to competing frameworks from the U.S. or Asia. Postponing or diluting these regulations would undermine European competitiveness and give strategic advantages to foreign standards.
A moratorium or rollback risks fostering a culture of delay rather than encouraging further adoption. The phased introduction of the CSRD has been carefully designed to foster a virtuous cycle of compliance. Adding obligations to act (as introduced in the CSDDD) reinforces the progress made on obligations to disclose, ensuring sustainable practices become entrenched across supply chains.
Claims that the CSRD, CSDDD, and Taxonomy are overly burdensome and detrimental to European competitiveness often come from stakeholders who have not engaged deeply with the texts. As sustainability officers for large and medium-sized French companies, we have studied these regulations thoroughly.
The CSRD, CSDDD, and Taxonomy are essential tools to ensure European companies are prepared for ESG risks and can thrive in a competitive global economy. By adhering to these standards, Europe sets the stage for resilience, sovereignty, and sustainable growth. Let us continue to champion these regulations as instruments for long-term strategic success.
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Eight major companies (DP World; Ferrero; L’Occitane; Mars, Incorporated; Nestlé; Primark; Signify; and Unilever) and three industry associations (NEI Investments, Ethical Trading Initiative, and Global Network Initiative) published a letter addressed to EU policymakers on 17 January 2025, urging them to focus on delivering the practical implementation of the EU’s sustainability due diligence and reporting laws. The signatories express concern that the proposed omnibus initiative, which may revisit existing legislation, could undermine policy certainty and legal predicability. They urge EU policymakers to publicly clarify that the Omnibus initiative will not reopen already agreed and adopted legal texts for renegotiation, particularly the Corporate Sustainability Due Diligence Directive (CSDDD). Instead, they emphasise the need for clear and practical guidance to support businesses in implementing the CSDDD.
Excerpts from the full statement
We welcome your public commitment to maintain the content of the relevant legislation and limit any changes to those that reduce redundant or overlapping reporting requirements. However, we are concerned about the potential for others to use this process to call for the legislation to be reopened for political renegotiation. Parts of the legislation are already in force, and companies have already invested significant resources in preparing for and meeting the new requirements. Predictability is critical to the ability of all actors, including businesses, to make informed decisions.
The European Union’s due diligence and reporting rules are based on authoritative and established international sustainability due diligence standards which many companies have spent years putting into practice. Now that many of these standards have been translated into European law, and other jurisdictions are considering similar measures, we want to continue that investment.
We stand ready to work together to harness the potential benefits of the EU’s approach to corporate due diligence and reporting, which include creating a level playing field for the reward and recognition of robust, holistic business performance. We are certain that with clear guidance and support from the European Commission, implementation of the existing rules will be both practical and workable for companies, working people, consumers, and the European economy.
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The Cocoa Coalition, uniting a large number of chocolate sector actors (including companies such as Ferrero; The Hershey Company; Mars Wrigley; Mondelēz International; Nestlé; and Tony’s Chocolonely, as well as non-governmental organisations, sustainability standards and other organisations), published a letter addressed to EU policymakers on 25 January 2025. In this letter, they urge EU policymakers to not undertake any modification of the adopted text of the CSDDD, nor to reopen it for renegotiation by the co-legislators. The signatories emphasise the importance of the CSDDD in making human rights and environmental due diligence the norm in global supply chains, and in driving the transformation of the cocoa and chocolate sector. They state that delays or modifications could undermine the position of those companies who are putting in place systems to respect human rights and the environment, increase compliance costs, and result in fragmented national legislation. Instead, they call for clear guidance and timely support from the EU Commission on the implementation of the CSDDD. They also call on the EU Commission to engage with relevant stakeholders, including through the public consultation, on the guidelines to support implementation of the CSDDD.
Excerpts from the full statement
A failure to implement the CSDDD on time would undermine the position of those companies aiming to put in place systems that protect human and labour rights and the environment. It would risk the emergence of a patchwork of national legislation in EU member states, increasing compliance costs without any benefit to the sector or consumers. This would be a major setback to sustainability in global supply chains.
Companies have over two years to prepare for implementation. We are confident that with clear guidance and timely support from the European Commission, implementation of the CSDDD provisions will be practical and workable for companies, sectors, and the European economy.
