This week’s EU Omnibus developments
A rundown of who is saying what this week, and what more we know about plans to revise Europe’s sustainability rules
While negotiations on how to streamline the Corporate Sustainability Reporting Directive and the Corporate Sustainability Due Diligence Directive continue to rage in Parliament this week, the European Commission kicked-off yet another omnibus package: this time on food safety.
Policymakers plan to reduce regulation related to “plant protection products, biocidal products, feed additives, food hygiene and official controls” according to a consultation launched on Tuesday, “as well as other measures to simplify EU food law”.
It’s the latest in a “fleet of omnibuses”, promised by EU officials earlier this year, which now covers everything from disclosures, batteries, agriculture, chemicals and weapons.
CS3D
Meanwhile, Exxon is reportedly stepping up its fight against CS3D by taking its gripes directly to the US President.
Real Economy Progress reported in June that the firm’s CEO, Darren Woods, had described the directive as “one of the worst pieces of legislation ever passed anywhere”.
EU policymakers recently promised to water down the law to placate the US, but Wood’s told Reuters this week that “we need to see resolution sooner rather than later” or more businesses would leave Europe.
Trade association We Are Europe is asking companies to tell them what CS3D’s due diligence requirements should look like in their next iteration. A survey is open until October 3rd, and seeks to collect insights from businesses with more than 1,000 employees that are subject to CS3D or equivalent national regulations.
CSRD
And there’s been more pushback against the dilution of the CSRD from investor groups this week.
The Principles for Responsible Investment, The European sustainable investment forum, and the European Fund and Asset Management Association teamed up on a statement arguing against the current proposal for smaller companies.
The trio disagrees with plans to use the EU’s VSME standard as the basis of a reporting regime for small- and mid-cap companies.
“While appropriate for very small businesses, [VSME] does not capture the sustainability profile of larger companies, as it lacks the granularity, consistency, and reliability that investors and other sustainability information users need for financing purposes,” they told the Commission, calling instead for a framework built on the updated European Sustainability Reporting Standards.