Emissions trading in safe hands
Vertis, a MiFID II trading firm, supports companies in navigating through carbon compliance schemes, including different EU Emissions Trading Systems, CBAM and CORSIA, in a cost-effective way
Emissions trading in safe hands
Vertis, a MiFID II trading firm, supports companies in navigating through carbon compliance schemes, including different EU Emissions Trading Systems, CBAM and CORSIA, in a cost-effective way
Traders of Environmental Progress
STX Group is a global environmental commodities trader offering physical and financial solutions across compliance and voluntary systems for energy, fuels, gas and carbon markets.
Blog Articles
In January 2023, the European Union launched an ambitious and transformative regulation: the Corporate Sustainability Reporting Directive (EU CSRD). This groundbreaking directive is not just another policy change; it represents a significant evolution from the 2014 Directive (NFRD), bringing a fresh perspective to the corporate world.
It’s all about making sustainability reporting ultimately as robust and reliable as financial reporting. Companies are now required to provide high-quality data on sustainability, shining a light on the environmental and social impacts of their operations. This isn’t just about ticking boxes; it’s a bold step towards supporting investments that are not only sustainable but also resilient to the changing climate.
Under the EU Corporate Sustainability Reporting Directive (CSRD), reporting is mandatory for large public-interest entities, including listed companies, banks and insurers with over 500 employees. Furthermore large EU companies that meet specific financial and employment criteria, listed SMEs and third-country corporations with significant operations in the EU must also comply through a phased-in approach.
This directive significantly broadens the scope of entities accountable for detailed sustainability reporting.
It will compel corporations to elevate transparency in their sustainability practices, focusing on environmental, social, and governance (ESG) factors. This shift will require operational changes and may incur initial costs for adapting data management and reporting processes. However, it also opens opportunities for attracting ESG-focused investors and gaining competitive advantages in a market increasingly aware of sustainability. Overall, the CSRD sets a new benchmark for corporate responsibility, with potential global implications.
Under the EU Corporate Sustainability Reporting Directive (CSRD), companies are mandated to provide detailed reporting on greenhouse gas (GHG) emissions, including both direct and indirect emissions across their value chain. Through the ERSR E1 standard for climate disclosure, companies must disclose climate-related risks and opportunities, integrating these insights into their business strategies and financial planning. Additionally, this includes a clear account of their carbon credits usage, ensuring transparency in how they offset their carbon footprint. . This approach aims not only to enhance transparency but also to encourage companies to embed climate considerations into their core decision-making processes, aligning with global initiatives like the Paris Agreement.
The EU Corporate Sustainability Reporting Directive (CSRD) will implement its phases starting from 2024, initially focusing on large public-interest companies. These entities should prepare their first CSRD-compliant reports for the fiscal year 2024, with submissions due in 2025. Following this, the directive will gradually include large non-public-interest entities, smaller listed companies, and certain non-EU companies with significant EU operations in successive years. This staggered approach allows companies to adapt to the new reporting standards in a manageable way, ensuring a smooth transition to enhanced sustainability reporting across the EU.
STRIVE by STX provides a comprehensive suite of solutions tailored to support companies in managing the complexities brought forth by the EU CSRD. Our emissions reduction offerings empower businesses to calculate and report their Scope 1, Scope 2 and Scope 3 emissions accurately ensuring compliance with CSRD requirements.
Additionally our consulting services enable corporates to design climate strategies and transition plans and efficiently gather essential data required for CSRD reporting. With STRIVE by STX as your partner you can confidently navigate the CSRD landscape ensuring your sustainability efforts align with regulatory expectations.
Contact us to explore how we can help your organization meet CSRD standards.
