Omnibus Package: On the Way to Sustainability Reporting
Author: Georg Weinand
Omnibus Package: On the Way to Sustainability Reporting
The European Union's Omnibus Package has fundamentally changed the rules for sustainability reporting.
Many medium-sized companies are no longer covered by the Corporate Sustainability Reporting Directive (CSRD). However, even without this obligation, it can still be worthwhile to report in accordance with the new Voluntary Standard for Small and Medium Enterprises (VSME). DEKRA Assurance Services supports companies – from the initial record to the strategic sustainability report that builds trust and secures competitive advantages.
The European Union's Omnibus Package introduced key changes to sustainability reporting. The low thresholds originally envisaged by the CSRD would have also placed obligations on many smaller and medium-sized businesses. “The originally envisaged 250-employee limit has been scrapped since Omnibus,” explains Dr. Zoe Rost, Team Leader Corporate Sustainability Services at DEKRA Assurance Services. At present, political discussions are focusing on 1,000 employees as the new minimum threshold, with some proposals even suggesting 3,000. This significantly reduces the number of companies affected, but implementation remains challenging for those involved.
As sustainability has evolved from a voluntary to a mandatory task, the introduction of the Corporate Sustainability Reporting Directive (CSRD) marks a critical milestone. What does CSRD entail and where do European Sustainability Reporting Standards (ESRS) set in? You can find more information
here
.
For those who will continue to be subject to CSRD requirements, the use of the European Sustainability Reporting Standards (ESRS) means a complex reporting framework. Although the original draft is currently being simplified, the effort involved remains high, especially for companies with no experience in reporting on environmental, social, and governance (ESG) issues. “Creating a CSRD report is a challenge for beginners because it involves gathering information from all areas of the company, defining responsibilities, and drawing up everything in accordance with the standard,” says Rost.
What simplifications does the EU's Omnibus Package 2025 bring?
Smaller SMEs are likely to be exempt from the obligation. Nevertheless, the European Commission recommends that these companies document their sustainability commitments – in future, preferably in accordance with the new VSME standard (Voluntary Sustainability Reporting Standard for SMEs) of the European Financial Reporting Advisory Group (EFRAG). This voluntary framework was developed specifically to enable small and medium-sized businesses to report in a more structured but streamlined way. Zoe Rost emphasizes: “Ideally, a sustainability report is a compilation of the company's successes in positioning itself responsibly and sustainably in the long run. This should be communicated credibly and transparently to all stakeholders – even without a legal obligation.”
Sustainability reporting with DEKRA
DEKRA Assurance Services supports companies from the first step to the finished sustainability report. First, a comprehensive inventory is taken: What data is already available, where are there gaps, which departments provide relevant information? On this basis, the advisory team develops a roadmap for creating structures to gather data and embed processes sustainably within the company. The report itself is drawn up to meet the selected standard in its entirety, whether ESRS, VSME, Global Reporting Initiative (GRI), or German Sustainability Code (DNK).
Consultants often find that the process itself provides valuable insights. “Many companies are surprised when they see where they are already doing well – and areas where there is still room for improvement,” says Rost. This “eye-opener” is not only valuable for management, but also creates a deeper awareness for sustainability within the company. At the same time, once a compliant report has been drafted, it greatly facilitates external communication. Large scale customers, banks, investors, and even ratings agencies such as EcoVadis are increasingly demanding evidence regarding ESG issues; instead of responding to numerous individual inquiries, companies can simply refer to their report.
CSRD: Transparency is a key factor
Nevertheless, potential pitfalls exist, and the time required is often underestimated. Particularly for the very first report, it is necessary to identify contact persons in all departments, to collect data, and to verify its plausibility. Some companies also shy away from publication if not all key figures are satisfactory. Rost advises not to see this as an obstacle: “Sustainability reporting is a continuous improvement process. Hardly any report is going to be perfect from the beginning. Transparency is crucial—it’s okay to say where you are doing well already and where you would like to do better.”
DEKRA supports companies not only in traditional ESG reporting, but also in all other areas of sustainability, depending on the company's stage of development. From developing a holistic sustainability strategy, calculating a greenhouse gas balance (CO₂e balance) or a product carbon footprint (PCF), preparing a climate risk analysis, or sustainably optimizing supply chains – companies receive support in all sustainability issues relevant to them. For companies that want to build up their own expertise in various sustainability topics, DEKRA offers
practical training courses
on all relevant sustainability topics. Whether it's a basic seminar for aspiring sustainability managers or a specialized seminar on
EU taxonomy
, companies can choose from a broad portfolio of application-oriented training courses to educate their employees on ESG topics.
The Omnibus Package significantly shifts the regulatory framework – many companies are exempt from an obligation, but still face the strategic question of how to make their sustainability performance visible. A structured, credible report – whether mandatory according to CSRD or voluntary according to VSME – can be crucial in order to build trust, improve processes, and remain competitive in the long term.
Further details, services, and information on corporate sustainability and sustainability reporting can be found at