Photo Source: EC - Audiovisual Service
Today the European Commission published its Sustainability Omnibus simplification package. The proposal outlines actions to simplify sustainability-related reporting obligations under the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD) and the EU Taxonomy.
APPLiA, representing top European home appliance manufacturers, issued the following statement in reaction.
Paolo Falcioni, APPLiA Director General said: “The Commission's Omnibus approach has the potential to transform bureaucracy for European manufacturers. Companies need streamlined reporting, clear concepts, and aligned deadlines across legislation, as well as time to implement restructured reporting requirements. Today's package sets the foundation for meaningful change, but it is crucial that we focus on simplifying the right things to achieve real impact. In this context, APPLiA has shared a solution framework with policymakers, offering concrete suggestions to address the regulatory burdens created by the EU Taxonomy, Corporate Sustainability Reporting Directive, and Corporate Sustainability Due Diligence Directive. However, the need for simplification extends beyond these, as several other pieces of legislation also require attention. We remain committed to constructive dialogue with policymakers to support this essential process and will continue to update our suggestions.”
Candice Richaud, APPLiA Corporate Policy Director said: “It is encouraging to see that the Commission is serious about rationalising sustainability reporting, with much more proportionate rules for EU businesses.
Positively, the proposal brings the Corporate Sustainability Reporting Directive to a more practical and manageable task by reducing the amount of data points to report on.
On EU Taxonomy, the recognition of the difficulty for companies to implement the ‘Do Not Significantly Harm’ criteria as per Appendix C in the Climate and Environmental Delegated Acts is welcome. Appendix C should reflect regulatory obligations so that substance use covered by valid exemptions shall be accepted to demonstrate compliance.
On the Corporate Sustainability Due Diligence Directive, the extension of maximum harmonisation to more provisions is very much needed to mitigate risks of diverging application and interpretation of the rules at Member States level. We also praise the call for a better alignment of due diligence requirements and thresholds with those in the Corporate Sustainability Reporting Directive.”
The Commission’s first simplification package also addressed CBAM, the Carbon Border Adjustment Mechanism.
Michał Zakrzewski, APPLiA Digital & Competitiveness Senior Policy Director said: “In its current form, CBAM is shrinking European manufacturing. The focus should not be solely on simplifying the Mechanism to reduce administrative burdens. CBAM must be fully developed first by expanding its scope to include downstream goods, such as home appliances, aligning it more effectively with the EU Emissions Trading System (ETS), and introducing a more flexible approach to default values (DVs) for complex products. These are the critical areas that will ensure CBAM remains effective and fair for European manufacturers.”
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