The announcement from EFRAG confirms appointments that cover European stakeholders, national organizations and civil society. The governance structure is an important step towards creating a framework for holding companies in the European market accountable for their impacts.
Since July 2021, Global Reporting Initiative (GRI) and EFRAG has been working together to co-construct the European Sustainability Reporting Standards (ESRS), which will set mandatory disclosure requirements under the EU Corporate Sustainability Reporting Directive.
Peter Paul van de Wijs, GRI Chief External Affairs Officer, said:
“The appointments to the EFRAG Sustainability Reporting Board mark an important next step towards delivering the new ESRS, which will raise the bar for corporate transparency in Europe and around the world. Looking at the breadth of experts on the board, I believe that the composition will enable the development of strong standards with multi-stakeholder relevance.
The strategic collaboration between GRI and EFRAG recognizes our shared belief in sustainability reporting that reflects a double-materiality perspective. Furthermore, it will help ensure these EU standards align with the globally adopted GRI Standards.
We look forward to engaging closely with the EFRAG Sustainability Reporting Board on our aims of achieving deeper understanding and accountability for sustainability impacts.”
Under the EFRAG-GRI cooperation agreement, the two organizations have joined each other’s technical expert groups and shared information, with standard-setting activities and timelines aligned as much as possible. This includes joint working on new standards for biodiversity, which is already underway.
In June 2020, EFRAG was mandated by the European Commission to prepare for new EU sustainability reporting standards. The Corporate Sustainability Reporting Directive will introduce legislation on sustainability disclosure that applies to over 50,000 EU companies from the 2023 reporting year.