Wednesday, 17 May 2023
Department of Enterprise, Trade and Employment
65. To ask the Minister for Enterprise, Trade and Employment to report on the public consultation in respect of the transposition of the EU Corporate Sustainability Reporting Directive (EU) 2022/2464; if he is satisfied with the level of consultation that has taken place; when he intends to report on the outcome of this consultation and plans to implement the directive; and if he will make a statement on the matter. [23497/23]
The Corporate Sustainability Reporting Directive requires large companies and SMEs listed on a main stock market in the EU to report annually in their directors’ report on environmental, social and governance (ESG) and human rights matters according to EU mandatory standards?entitled European Sustainability Reporting Standards (ESRS). Ireland and other Member States have until mid-2024 to transpose the directive into national law, with a view to the requirements commencing on a phased basis from financial years starting in 2024 to 2028.
My Department initiated a comprehensive consultation process on the CSRD when it entered into force on 5 January 2023. A stakeholder webinar attended by nearly 500 participants took place on 21 January and included presentations on the detail of the directive and the ESRS. A public consultation launched on 30 January sought the views of stakeholders, in particular, on the discretionary options for Member States contained within CSRD. The deadline for receipt of submissions was 9 March 2023.
My Department received 34 detailed, substantial submissions to the public consultation. Officials are analysing the submissions received and continue comprehensive engagement with relevant stakeholders in other Departments and Agencies including seeking their views on the policy options. I will review these options once this analysis is complete and it is my intention to convene a further stakeholder forum to set out the choices made later this summer. As would be the norm, the Department will also publish the 34 submissions received during the consultation.
Given its importance, CSRD has an accelerated timeline compared to the standard timeline for other EU directives, and therefore my Department is working to provide clarity to business, as soon as possible. To this end, officials have been preparing draft legislation and instructions to be sent to the Office of Parliamentary Council this summer.
As policy makers there is an onus on us to ensure that the new rules are clear and consistent and give the maximum relevant information possible to investors, consumers and other stakeholders while minimising any unnecessary burdens on companies. What is needed is better, rather than more, information and the CSRD achieves the right balance. This will be reflected in the transposition giving effect to the new rules in national legislation.