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MOZOM compares: EU revises CSRD standards, less reporting burden or less transparency?

Europese Commissie Economy 3 juli 2026 om 20:59

Type: Analyse Author: Paul Giezen Published: 3 juli 2026 om 20:59 Report a correction

AI image of a European factory with measuring equipment, pallets and sustainability control as an illustration in the EU review of CSRD and ESRS reporting.

Source: Europese Commissie
MOZOM headline: MOZOM compares: EU revises CSRD standards, less reporting burden or less transparency?
Original headline: European Commission adopts revised ESRS and voluntary sustainability reporting standard for smaller companies
Author: Paul Giezen
Date: 3 juli 2026 om 20:59
Subject: On 3 July 2026, the European Commission adopted revised European Sustainability Reporting Standards and a voluntary standard for smaller companies.

Summary of the original report

The European Commission adopted revised European Sustainability Reporting Standards (ESRS) on 3 July 2026, as well as a voluntary reporting standard for smaller companies. According to the Commission, the new ESRS should reduce the administrative burden while maintaining high-quality information. The Commission says that the number of mandatory data points is decreasing by more than 60 percent and the total number of data points by more than 70 percent. The expected cost savings is more than 30 percent per company. The voluntary standard is intended to help smaller companies outside the CSRD when banks, investors or larger customers request sustainability information. The value chain cap is also new: companies subject to CSRD may not ask smaller companies in their value chain for more information than the voluntary standard covers. The texts will now go to the European Parliament and Council for a review period of two months, with possible extension.

Own source research

MOZOM has placed three source layers next to each other. Layer one: the Commission presents the revision as part of Omnibus I, with more than 60 percent fewer mandatory data points, more than 70 percent fewer data points in total and more than 30 percent lower reporting costs per company. Layer two: the legal CSRD page states that the acts of 3 July 2026 are still under consideration by Parliament and the Council and will only enter into force after publication in the Official Journal. Layer three: C(2026) 5011 is not only about helping small businesses, but also about limiting information power in value chains. The own Mozom layer is that this file is not only about administration. Reporting determines which reality becomes measurable. Fewer fields can give companies air, but can also determine which environmental, social and human rights information is no longer on the table as standard later on.

Notable in this post

It is striking that the Commission is trying to keep two words at the same time: simplification and quality. That's politically convenient, but analytically exciting. If 60 to 70 percent of the data points disappear, the question is not just how much cheaper to report. The question is also which data points will disappear, for whom that information was useful and who will soon be stronger when a supplier, bank or citizen asks for an explanation.

Less Visible Context

It is less visible that sustainability reporting is not a purely administrative exercise. It determines how companies should put risks related to climate, biodiversity, employees, suppliers and human rights in a comparable language. The value chain cap protects smaller companies from overly heavy information requests, but at the same time can limit the flow of data out of the chain. As a result, the question of power shifts from 'how many rules are there' to 'who can demand what information and who can say no'.

Possible message behind the news

One possible message is that Europe wants to continue measuring sustainability, but making the yardstick lighter. The political question is whether that lighter yardstick still shows enough.

Neutral conclusion

The neutral conclusion: on 3 July 2026, the Commission adopted revised ESRS and a voluntary standard, with a significant reduction in data points, a value chain cap and still scrutiny by Parliament and the Council. The sharper Mozom reading is that this is a trade-off between cost relief and information depth. Less reporting can help companies, but transparency is only really protected if it remains clear which information should not disappear.