Reacting to the agreement reached today by trilogue negotiators on Omnibus I, BusinessEurope Director General Markus J. Beyrer said:
“Today marks a first but significant step in delivering on the EU promise on simplification. A timely deal was important to pave the way and inspire other omnibus processes in the pipeline, which are necessary to restore the EU’s competitiveness. We now hope the European Parliament and the Council will seal the deal.”
“On the Corporate Sustainability Due Diligence Directive (CS3D), it is encouraging to see the more realistic rules on conducting due diligence which recognises that not all risks or business partners in chains of activities need to be mapped. We also welcome refocusing of the rules to core diligence rather than transition plans, which risked duplication and clashes with other EU rules including the CSRD.
It is, however, disappointing that turnover-based sanctions have been reintroduced which are not suited to due diligence related breaches. Even with the improvements achieved today, it will still be a substantial challenge for companies to comply with the new rules. This can worsen if unproductive fragmentation arises upon transposition into national legal systems. Companies expect reassurance and commitments from all relevant parties to avoid this scenario.
On the Corporate Sustainability Reporting Directive (CSRD), the new scope of application brings tangible relief for many companies without putting into question the overall ambition. Much is at stake now with the simplification of sustainability reporting standards, and expectations are high for next year’s Commission proposal.”
