ESRS Flashcards
ESRS1
General Requirements (cross-cutting)
- Establishes universal principles, reporting requirements, and scope.
- Introduces double materiality
- Covers sustainability due diligence, value chain, time horizons, information preparation and presentation, and structure of sustainability statements.
ESRS2
General Disclosures
(cross-cutting)
Outlines mandatory disclosure requirements for all companies, across all sustainability matters
Assessments:
- DMA
- Value Chain Mapping (upstream/downstream)
- Climate scenario analysis
BP- Basis for preparation
GOV – Governance
SBM – Strategy, business model and value chain
IRO – Impacts, Risks and Opportunities
ESRS E1
Climate Change
Assessments:
- Carbon footprint analysis
- Climate resilience analysis
- Climate scenario analysis
Example targets:
- Source 100% of operational energy through renewables
- Halve scope 1 & 2 emissions by 2030
- Reduce Scope 3 emissions by 80% by 2040
- Reduce carbon intensity of production to meet industry best practice threshold of X
- Reach net zero by 2050
ESRS E2
Pollution
Assessment principles:
- Identify sites where pollution is material
- Identify business activities with pollution material IROs
- Take consideration of local ecological thresholds
Example targets:
* X% reduction in pollutant Y to air/water/soil
* X% reduction in pollutant Y to water in water risk areas
* X% reduction of net revenue made with products and services that are or that contain substances of concern
ESRS E3
Water and Marine Resources
Assessment principles:
- Locate where in its own operations and along the value chain the interface with nature takes place
- Evaluate the dependencies and impacts
- Assess the material risks and opportunities
- Take consideration of local ecological thresholds
Example targets:
* X% reduction in water withdrawals by DATE
* X% reduction in water discharge by DATE
* X% decrease in water intensity by DATE
ESRS E4
Biodiversity and Ecosystems
Assessment focus:
a) Contribution to direct impact drivers on biodiversity loss:
i. Climate change
ii. Land-use change
iii. Direct exploitation
iv. Invasive alien species
v. Pollution
vi. Others.
(b) Impacts on the state of species (i.e., species population size, species global extinction risk);
(c) Impacts on the extent and condition of ecosystems including through land degradation , desertification and soil sealing ); and
(d) Impacts and dependencies on ecosystem services.
ESRS E5
Resource Use and Circular Economy
Assessment focus:
(a) resource inflows including the circularity of material resource inflows, considering renewable and non-renewable resources; and
(b) resource outflows including information on products and materials; and
(c) waste, including hazardous waste
Example targets:
- X% increase in the rate of product recyclability by DATE
- X% decrease in the total mass of waste generated by DATE
- X% decrease in the percentage of non-recycled waste by DATE
ESRS S1
Own Workforce
Assessment focus:
(a) working conditions, including:
i. secure employment;
ii. working time;
iii. adequate wages ;
iv. social dialogue ;
v. freedom of association,
vi. collective bargaining ,
vii. work-life balance; and
viii. health and safety.
(b) equal treatment and opportunities for all, including:
i. gender equality
ii. training and skills
iii. employment and inclusion of persons with disabilities ;
iv. measures against violence and harassment
v. diversity.
(c) other work-related rights, including those that relate to:
i. child labour
ii. forced labour
iii. adequate housing
iv. privacy.
Example targets:
- X% increase in the share of employees earning above the adequate wage benchmark
- X% increase in share of employees with protection for parental leave
- Reduction of gender pay gap to X threshold for own employees
ESRS S2
Workers in the Value Chain
Assessment focus:
a) Working conditions (secure employment, working time, adequate wages, etc.)
(b) Equal treatment and opportunities (e.g. gender equality and pay, training and skills development, the employment and inclusion of persons with disabilities, etc.)
(c) Other work-related rights (for example, child labour , forced labour , adequate housing, water and sanitation and privacy)
Example targets:
- Reduction in count of verifiable work-related injuries in the value chain
- Elimination of human rights abuses in the value chain
- Establish channels for value chain workers to raise concerns
ESRS S3
Affected Communities
Assessment focus:
(a) communities’ economic, social and cultural rights (for example, adequate housing, adequate food, water and sanitation, land-related and security-related impacts);
(b) communities’ civil and political rights (for example, freedom of expression, freedom of assembly, impacts on human rights defenders);
(c) particular rights of indigenous peoples (for example, free, prior and informed consent, self-determination, cultural rights).
Example targets:
- Establish channels for affected communities to raise concerns
- Elimination of severe human rights abuses in affected communities
ESRS S4
Consumer and End-users
Assessment focus:
(a) information- related impacts on consumers and/or end-users (for example, privacy, freedom of expression and access to (quality) information;
(b) personal safety of consumers and/or end-users (for example, health and safety, security of a person and protection of children);
(c) social inclusion of consumers and/or end-users (for example, non- discrimination , access to products and services and responsible marketing practices).
Example targets:
- X% reduction in complaints from end-users during the reporting period
- Establish anonymous channels for end-user to raise concerns
ESRS G1
Business Conduct
Assessment focus:
(a) business ethics and corporate culture , including anti- corruption and anti- bribery , the protection of whistleblowers, and animal welfare;
(b) the management of relationships with suppliers , including payment practices, especially with regard to late payment to small and medium-sized undertakings.
(c) activities and commitments of the undertaking related to exerting its political influence, including its lobbying activities ;
Example targets:
* Implement policies on anti-bribery and anti-corruption
* Implement policy on the protection of whistleblowers
