· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on Euronews or enjoy below:
🗞️ Driving the news: France is facing backlash over reports that it may seek to weaken or delay the EU’s Corporate Sustainability Reporting Directive (CSRD) and Corporate Sustainability Due Diligence Directive (CS3D)
• These regulations require companies to disclose their environmental and social impact, but concerns over competitiveness have led to calls for revision
• French officials insist their position has been misinterpreted, but uncertainty remains ahead of the EU’s upcoming “Omnibus simplification package” announcement
🔭 The context: The CSRD and CS3D were introduced in 2023 but have not yet been fully implemented across the EU, with resistance from Germany and Eastern European nations
• France, previously a strong advocate for these regulations, now appears to be shifting its stance, aligning with industry concerns about costs and competitiveness
• The shift follows growing anti-ESG sentiment globally, particularly after Trump’s return to office in the U.S.
🌍 Why it matters for the planet: Weakening or scrapping these directives could undermine corporate accountability for environmental and social impacts
• CSRD and CS3D are key tools in Europe’s climate transition, ensuring businesses measure and reduce emissions and uphold human rights in supply chains
• A rollback could set a precedent for other nations to deprioritize climate and ESG commitments
⏭️ What's next: The EU will announce updates to the CSRD and CS3D in late February, determining whether they will be streamlined or significantly weakened
• ESG-focused businesses and civil society groups are urging France to maintain its commitment, warning that a rollback would stall progress on corporate climate responsibility
• Political alliances in the EU could shape the final decision on these regulations
💬 One quote: “If you scrap the whole thing, what you are really doing is scrapping climate ambition. And that is toxic.” – Alexis Normand, CEO of Greenly
📈 One stat: Only two of 73 climate-related shareholder resolutions passed in 2024, reflecting declining corporate support for sustainability initiatives
Click for more news covering the latest on public governance
