Institutional Investors Group on Climate Change endorses 194-organisation call to preserve core CSRD and CSDDD requirements amid EU Omnibus I talks

The Institutional Investors Group on Climate Change (IIGCC) has endorsed a joint statement signed by 194 organisations urging EU policymakers to avoid weakening the EU sustainability framework as the European Parliament and Council consider changes linked to the European Commission’s Omnibus I proposal. The statement supports simplifying reporting requirements but calls for the integrity of the Corporate Sustainability Reporting Directive (CSRD) and Corporate Sustainability Due Diligence Directive (CSDDD) to be maintained so investors and companies continue to receive consistent, decision-useful sustainability information. Recommendations focus on safeguarding double materiality reporting across all Environmental, Social and Governance topics, interoperability with international frameworks including GRI, ISSB and TNFD, a CSRD scope covering companies with 500 or more employees, flexibility for value chain information exchange beyond a proposed value chain cap tied to the VSME standard, mandatory and implementable climate transition plans, and risk-based due diligence under the CSDDD. The statement highlights that the Council’s position would limit CSRD reporting to companies with more than 1,000 employees and EUR 450 million in net turnover, while the Parliament is considering thresholds of over 3,000 employees and EUR 450 million, and it points to proposed narrowing of due diligence obligations and weakening of transition plan provisions. The statement has been sent to policymakers as the Parliament finalises its position ahead of inter-institutional negotiations. Sign-ons are open until close of business on 29 August.