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EU Corporate Sustainability Reporting Directive – new sustainability disclosure obligations for EU and non-EU companies

By Tim Baines, Sam Eastwood, Marcel Hörauf, Musonda Kapotwe, Peter Pears, Patrick Scholl, James Taylor & Johannes Weichbrodt on November 25, 2022
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On 10 November 2022, the EU Parliament adopted the Corporate Sustainability Reporting Directive (“CSRD”). The EU Council is expected to adopt the CSRD on 28 November 2022, after which it will be published in the Official Journal. The CSRD will then enter into force 20 days after publication and EU member states will have 18 months to integrate it into national law. 

The CSRD will create new, detailed sustainability reporting requirements and will significantly expand the number of EU and non-EU companies subject to the EU sustainability reporting framework. The required disclosures will go beyond environmental and climate change reporting to include social and governance matters (for example, respect for employee and human rights, anti-corruption and bribery, corporate governance and diversity and inclusion). In addition, it will require disclosure regarding the due diligence processes implemented by a company in relation to sustainability matters and the actual and potential adverse sustainability impacts of an in-scope company’s operations and value chain.

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Photo of Tim Baines Tim Baines

Tim Baines is a partner in the London environmental and planning team of Mayer Brown. Tim has a particular interest and background in advising companies and financial institutions in the real estate, energy and sustainability sectors. He has considerable knowledge of UK planning…

Tim Baines is a partner in the London environmental and planning team of Mayer Brown. Tim has a particular interest and background in advising companies and financial institutions in the real estate, energy and sustainability sectors. He has considerable knowledge of UK planning and environmental regimes, renewables incentives regimes, and emissions and climate-related matters.

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Photo of Musonda Kapotwe Musonda Kapotwe

Musonda Kapotwe has extensive transactional experience advising on the impact of UK financial services regulation on banking, capital markets and derivative transactions.

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Photo of Peter Pears Peter Pears

Peter Pears is a partner in the Banking & Finance practice of the London office. He acts for issuers and underwriters on a range of domestic and international capital markets products including Eurobond, medium term note, commercial paper, regulatory capital, corporate hybrid and…

Peter Pears is a partner in the Banking & Finance practice of the London office. He acts for issuers and underwriters on a range of domestic and international capital markets products including Eurobond, medium term note, commercial paper, regulatory capital, corporate hybrid and liability management transactions. Peter’s clients include financial institutions, major corporations, sovereigns, municipalities and supranationals across Europe, the United States, Africa and Asia. Peter has considerable experience in sustainable debt and ESG principles and regularly advises on green, social and sustainable bonds, sustainability-linked bonds and ESG regulatory matters. In addition to his debt capital markets practice, Peter has experience advising on a variety of infrastructure finance transactions, including project bonds, private placements and whole business securitizations.

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Photo of Patrick Scholl Patrick Scholl

Patrick Scholl is a partner and head of Mayer Brown’s Banking & Finance practice in Frankfurt. Patrick leads the Mayer Brown capital markets and derivatives offering in Germany with an European focus. His team advises on debt capital markets issuances and disclosures, debt…

Patrick Scholl is a partner and head of Mayer Brown’s Banking & Finance practice in Frankfurt. Patrick leads the Mayer Brown capital markets and derivatives offering in Germany with an European focus. His team advises on debt capital markets issuances and disclosures, debt issuance programms, hybrid capital instruments as well as liability management transactions. The OTC derivatives practice focuses on advising and negotiating master agreements (including repos and stock lending), collateral solutions, netting questions and provides transaction support with regard to all underylings, including equity-linked, credit-linked, fund-linked or commodity-linked derivatives.

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Photo of James Taylor James Taylor

James Taylor is a partner in the Banking & Finance practice of the London office. James’ practice focuses on public and private offerings of debt and equity-linked securities, advising issuers and underwriters on the standalone issue and offering of retail and wholesale medium…

James Taylor is a partner in the Banking & Finance practice of the London office. James’ practice focuses on public and private offerings of debt and equity-linked securities, advising issuers and underwriters on the standalone issue and offering of retail and wholesale medium term notes, commercial paper, certificates of deposit, warrants, convertible and exchangeable bonds and covered bonds, as well as the establishment and update of platforms for the issuance of multiple types of securities, the structuring of liability management transactions and the provision of ongoing advice on securities laws, corporate governance and stock exchange requirements related to them.

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  • Posted in:
    Corporate Governance and Compliance
  • Blog:
    Free Writings + Perspectives
  • Organization:
    Mayer Brown
  • Article: View Original Source

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