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  • Studio Paci

🌍 Innovation in ESG Reporting: The Latest Developments from EFRAG


In the landscape of corporate sustainability, the EFRAG (European Financial Reporting Advisory Group) emerges as a pioneer, with its recent release of a series of groundbreaking technical explanations, aimed at shaping the future of ESG (Environmental, Social, and Governance) reporting.

This event marks a turning point in sustainability disclosure, reflecting the growing importance of European regulations in this field.

The EFRAG, acting as a consulting arm for the EU Commission, introduced these innovations in the fourth quarter of 2023, launching a dedicated platform for questions and answers on the ESRS (European Sustainability Reporting Standards).

The goal is to provide concrete support to editors and stakeholders in applying these standards, crucial for the evolution of transparency and corporate responsibility in Europe.

📘 Details and Implications of the Provided Explanations

The responses provided by the EFRAG take the form of implementation guidelines and detailed explanations, which, although not binding as delegated acts, offer unprecedented clarity on the requirements of the ESRS.

From the end of January 2024, out of 258 questions received, as many as 127 have found an answer, divided between implementation guides and technical explanations.

This approach demonstrates EFRAG's commitment to making the ESRS standards more accessible and understandable, thereby facilitating the adoption of consistent and reliable sustainability practices.

The publication of these explanations is just the first step towards ongoing and updated support, with the announcement of further series of publications that will further enrich the body of resources available to industry professionals.

🔍 Analysis of Received Questions and Future Prospects

The detail of the questions received by the EFRAG reveals a marked interest towards cross-cutting standards (38%), followed by environmental (22%), social (20%), and governance (5%) standards.

This distribution highlights the areas of greatest interest and, consequently, the points on which companies and stakeholders are seeking greater clarification.

Significantly, over 40% of the questions come from editors and industry associations, underlining the importance of these explanations for those directly involved in the drafting of sustainability reports.

The EFRAG, with its initiative, not only responds to a growing information need but actively commits to supporting the effective implementation of the ESRS, confirming its key role in the evolution of ESG reporting in Europe.

In conclusion, EFRAG's activity represents a significant step forward in the standardization of sustainability reporting, offering practical tools and clear guidance to navigate the complex landscape of ESG disclosure obligations.

With these foundations, the EFRAG not only facilitates the adoption of the ESRS but also promotes constructive dialogue between companies and stakeholders, aiming for greater transparency and responsibility in the European and global context.


What are the ESRS and why are they important?

The ESRS (European Sustainability Reporting Standards) constitute a set of standards aimed at standardizing sustainability reporting for companies within the European Union.

These standards are crucial as they provide a clear and detailed framework for companies on how to report their performance in environmental, social, and governance (ESG) areas.

The importance of the ESRS lies in their ability to increase the transparency and responsibility of companies, contributing to a better assessment of their impacts on sustainability.

How does the EFRAG support the implementation of the ESRS?

The EFRAG (European Financial Reporting Advisory Group) plays a key role in supporting the implementation of the ESRS through the publication of technical explanations and implementation guidelines.

This support is manifested in the creation of a question-and-answer platform, launched in the fourth quarter of 2023, aimed at clarifying doubts and concerns of stakeholders, facilitating a consistent and informed application of the standards.

The EFRAG, acting as a technical consultant for the EU Commission, offers these resources to improve the understanding and adoption of the ESRS, highlighting its commitment to more effective and transparent corporate sustainability.

What are the main categories of questions received by the EFRAG on the ESRS?

The questions received by the EFRAG on the ESRS mainly focus on four categories: cross-cutting standards, which receive 38% of the questions, followed by issues related to environmental sustainability (22%), social sustainability (20%), and governance (5%).

This distribution shows a diversified interest from editors, industry associations, and other stakeholders, highlighting areas of greater demand for clarification and support.

The EFRAG, through its response activity and the publication of guidelines, aims to meet these informational needs, facilitating consistent and compliant ESG reporting according to European standards.


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