EFRAG expert says it’s seeing ‘huge’ demand for sector-specific guidance

EU advisory body is being inundated with requests to revive sector work, says Liad Ortar

One of the experts advising the EU on its sustainability reporting standards (ESRS) says it has been inundated with requests to develop sector-specific guidance. 

Liad Ortar, a senior technical manager within the EFRAG said on Tuesday that there was “huge” market demand for clearer rules about how to sectoral differences in sustainability disclosures. 

Plans to develop such standards under the EU’s regulatory regime were ditched in 2023.

They are in the process of being removed from the Corporate Sustainability Reporting Directive, although the current agreement between co-legislators leaves the door open for the European Commission to issue non-mandatory sector-specific guidelines.   

“We’re getting so many comments and requests on that, and really hope to deliver on that, but that’s up to the Commission to decide,” said Ortar, who was speaking on a webinar hosted by environmental consultancy Position Green. 

The International Sustainability Standards Board recently closed a consultation on changes to its sector standards, which were developed by SASB.

The consultation focused on nine priority sectors, along with more targeted proposals for a number of others.

Some respondents suggested in their feedback that the EU should also use SASB standards, instead of coming up with its own version.

During Tuesday’s session, Tina Sølvberg, a senior sustainability specialist at Norwegian telecommunications firm Telenor, called for “legal clarity” on when the new ESRS will come into effect. 

Responding, Ortar pointed to a recent suggestion by the EU’s financial markets commissioner, Maria Luís Albuquerque, that a legal provision could be introduced allowing firms to switch to the simplified standards for the 2026 financial year.