On 8th Dec, co-legislators reached a compromise agreement on the Omnibus I simplification package. The Council press release is available here. The recording of the Parliament press conference can be watched here.

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MORE DETAILS

While the final text is not available yet, this is what we know so far:

CSRD

• ‍SCOPE: 1000 employees and net turnover threshold of over €450 million. Listed SMEs removed from the scope.‍
• REVIEW: clause to consider possible extension of CSRD and CSDDD scope in the future.

CSDDD

• ‍FURTHER POSTPONEMENT: transposition into national law by 2028 and applicability from 2029 (one more year compared to 'Stop the Clock' Directive). ‍
• SCOPE: 5000 employees and €1.5 billion net turnover.‍
• RISK-BASED APPROACH:
  
  • Risk-based approach confirmed. Companies can focus on the areas of their chains of activities where actual and potential adverse impacts are most likely to occur.
  • No comprehensive mapping exercise but more general scoping exercise instead.
  • Companies are supposed to base their efforts on reasonably available information.
• ‍CLIMATE TRANSITION PLANS: no obligation to adopt them.‍
• CIVIL LIABILITY:  no EU harmonised liability regime. ‍
• PENALTIES: maximum cap of 3%.

NEXT STEPS

FESI will be analysing the final agreement and share it with members once available. The provisional agreement must be now endorsed by the Council and the European Parliament before it is formally adopted by the two institutions. The votes in Council and Parliament are scheduled between 10 and 16 December. The next step will then be the publishing of the legislation in the Official Journal of the EU and its entry into force.