The European Commission has introduced an omnibus proposal aimed at streamlining sustainability reporting regulations, including the Corporate Sustainability Reporting Directive (CSRD). These changes seek to reduce the administrative burden on businesses while maintaining the integrity of sustainability disclosures. Although the proposals have been adopted by the Commission, they will now move through the legislative process. This stage will involve consultations with stakeholders and potential adjustments before full implementation. Here’s what you need to know about the omnibus proposal and how to best prepare for these changes.
What is included in the Proposal?
The omnibus proposal includes several adjustments to the CSRD framework. Below we have summarized some of the key proposed elements that companies should know about:
1. Fewer Companies Required to Report
- The employee threshold for mandatory CSRD reporting has been raised from 250 to 1,000 employees.
- The revenue (EUR 50 million) and balance sheet (EUR 25 million) thresholds remain unchanged.
These adjustments are expected to remove approximately 80% of companies from the CSRD’s scope, significantly reducing the number of businesses required to comply.
2. Delayed Reporting Deadlines
- Companies in the second and third waves of CSRD reporting (initially required to report in 2026 and 2027) now have the option to defer their compliance by two years.
- The first wave of companies, already reporting in 2024, remains unaffected.
3. Voluntary EU Taxonomy Disclosures
- Companies with less than EUR 450 million in turnover that claim full or partial alignment with the EU Taxonomy can choose to publish their disclosures voluntarily.
4. Simplified European Sustainability Reporting Standards (ESRS)
- Sector-specific ESRS requirements have been eliminated. It is now proposed to have a single streamlined set of rules instead of different standards per sector.
Adjustments to the ESRS will be introduced within six months of the omnibus act’s approval and include:
- Revisions to key performance indicators (KPIs) to prioritize essential disclosures.
- Fewer data points and clearer rules for sustainability reporting.
5. Double Materiality Assessment Still a Requirement
- The methodology for double materiality assessment remains unchanged and serves as the basis for reported KPIs.
6. No Shift to Reasonable Assurance
- The CSRD will continue operating under a limited assurance framework, eliminating previous plans to move to reasonable assurance.
What This Means for Businesses
These changes might reduce the compliance burden for some companies, but they don’t change the bigger picture. Sustainability reporting is here to stay. Investors, regulators, and stakeholders still expect transparency, and businesses that proactively manage their ESG data will be better positioned for long-term success.
What should companies do now?
- Assess their status – Organizations should determine whether they remain in scope under the new thresholds. Even if they do not, voluntary reporting may still provide strategic value.
- Maintain sustainability data readiness – Companies should continue to strengthen their ability to collect and understand sustainability data as the landscape evolves, making it essential to stay ahead of requirements.
- Stay informed – The CSRD will undergo further changes, and understanding these updates early can help companies save time and effort.
- Streamline reporting – Leveraging technology can simplify sustainability data management, reducing manual efforts and easing compliance burdens.
Learn more about the CSRD Omnibus Proposal: Market Reactions, Insights & What’s Next in our webinar.
How Cority Can Help
Cority understands that navigating sustainability regulations can be complex, especially with shifting requirements. That’s why Cority has a team of experienced industry experts to provide a comprehensive suite of Sustainability Advisory Services across a wide range of areas, including compliance with regulations such as CSRD.
Cority’s Sustainability Cloud software solution, part of the integrated CorityOne EHS and Sustainability platform, is designed to support sustainability and ESG strategies and help companies comply with regulations. Below are some key benefits of the solution:
- Adapt to regulatory changes – Cority’s solution keeps up to date with fast-evolving sustainability regulation, and voluntary frameworks and standards, empowering users to stay ahead and be prepared for future changes.
- Simplify sustainability reporting – With flexible data entry tools, a comprehensive report template library, dynamic and exportable dashboards, and accredited third-party content from CDP, SASB and GRI partnerships, companies can create more efficient workflows that reduce administrative effort, while ensuring data accuracy and an auditable trail.
- Support ESG leadership – Beyond compliance, Cority’s solutions enable organizations to demonstrate leadership by enhancing investor disclosures, meeting stakeholder requirements, improving supply chain transparency, and advancing sustainability strategies.
Further resources:
Staff working document accompanying the two proposals – COM(2025)80 and 81
