ESG | EFRAG publishes revised ESRS exposure drafts and launches 60-day public consultation

On 31 July 2025, the European Financial Reporting Advisory Group (EFRAG) published a revised and simplified Exposure Drafts of the European Sustainability Reporting Standards (ESRS), launching a 60-day public consultation to gather feedback from stakeholders across the EU corporate reporting ecosystem. Key changes include streamlining the double materiality assessment, reducing overlaps across standards, clarifying language and structure, and removing all voluntary disclosures. New relief mechanisms have also been introduced, including exemptions where reporting would result in disproportionate cost or effort. Overall, mandatory datapoints (to be reported if material) have been reduced by 57%, and the full set of disclosures – mandatory and voluntary – by 68%. The standards’ length has been shortened by more than 55%. These significant step is part of the European Commission’s Omnibus initiative and its formal request to EFRAG in March 2025 to develop a substantial simplification of the ESRS adopted in 2023. The aim is to make sustainability reporting under Directive (EU) no. 2464 of 14 December 2022 (Corporate Sustainability Reporting Directive (CSRD)) more manageable, while ensuring its continued relevance and consistency with the EU’s ecological transition strategy.

Newsletter n. 110 – August/September 2025