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European Union

EU sustainability omnibus: proposed CSRD/CS3D scope narrowing, reporting simplification and delays, value‑chain limits, and removal of EU‑wide civil liability

Published on: 13 March 2025

Published by a LexisNexis EU Law expert
Legal News
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Article summary

Background

The European Green Deal remains under active negotiation and amendment, reopening debates on established sustainability rules including the Corporate Sustainability Reporting Directive (CSRD), effective from 5 January 2023, the Corporate Sustainability Due Diligence Directive (CS3D), effective from 24 July 2024, and the EU Taxonomy Regulation. On 8 November 2024, President von der Leyen unveiled an ‘omnibus simplification package’ (the Omnibus) to rationalise these frameworks, reflecting the Draghi report’s view that streamlining could enhance EU competitiveness. The Commission’s Competitiveness Compass, released on 29 January 2025, pledged to cut reporting burdens, with a particular focus on SMEs. Further specifics followed in the 2025 Work Programme of 12 February 2025. The Omnibus itself was issued on 26 February 2025 and now proceeds through the legislative pathway...

What are the key impacts of the Omnibus proposal?

In this note, we flag initial observations from a first reading of the Commission’s Omnibus proposal and consider its potential effects...

Impact on the scope of both the CSRD and CSDDD

To begin with, it appears that the reach of the CSRD and CS3D will be...

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