The EU wants your full climate story — both ways.
Under the CSRD, large and listed companies publish a yearly report covering Scope 1, 2 and 3 emissions, plus how climate change could hurt the business financially — this is called 'double materiality'. The numbers need independent assurance. A related rule, CBAM, taxes the carbon content of certain imports like steel, cement and aluminium.
Who it applies to
- Large and listed EU companies — and, in practice, their value chains
- Non-EU groups with significant EU activity, phased in
- Scope 1, 2 and 3, plus a transition plan and reduction targets
- CBAM applies if you import steel, cement or aluminium into the EU
What your report must include
- Scope 1, 2 & 3 emissions
- Energy consumption and mix
- Double-materiality assessment narrative
- Transition plan and reduction targets
- Governance description
- Limited assurance statement from an independent verifier
Do you sell into, or operate in, the European Union?
- Scope
- Scope 1–3
- Standard
- ESRS · IFRS-aligned
- Assurance
- Limited (reasonable later)
- Related
- CBAM on certain imports
Common questions
Who has to report under the CSRD?+
Large and listed EU companies — and, in practice, their value chains. Non-EU groups with significant EU activity are phased in over time.
What is double materiality?+
Reporting in both directions: your impact on the climate (Scope 1, 2 and 3 emissions) and how climate change could hurt your business financially. The CSRD requires both perspectives in one report.
Does the CSRD require Scope 3 emissions?+
Yes — Scope 1, 2 and 3, plus a transition plan and reduction targets, with limited assurance from an independent verifier.
What is CBAM?+
A related EU rule that taxes the carbon content of certain imports into the EU, such as steel, cement and aluminium.