Project marks a next step in aligning global and European sustainability standards
The European Financial Reporting Advisory Group (EFRAG) and GRI have joined forces on the technical work for their respective new biodiversity standards. EFRAG is to make the draft EU standard available to the Commission mid-June, while GRI’s aims to release an updated GRI Biodiversity Standard in the second half of 2022.
In July, when GRI was appointed co-constructor of the new EU sustainability reporting standards, Sean Berrigan, Director General for Financial Stability, Financial Services and Capital Markets Union, European Commission reiterated that: “European sustainability reporting standards should build on and contribute to the progress of existing standards and frameworks that are widely used by companies.” The joint development of standards for biodiversity is a concrete example. Following the due processes of both GRI and EFRAG guarantees this interplay.
Co-construction means EFRAG and GRI join each other’s technical expert groups, share information, align work plans and adjust timelines as much as possible. Importantly, the joint work will incorporate the latest developments and authoritative intergovernmental instruments in the field of biodiversity, will enable consideration of double materiality perspectives, and ensuring multi-stakeholder consensus.
In June 2021, GRI announced plans to update GRI 304: Biodiversity 2016, which is currently used annually by at least 2,000 of the more than 10,000 companies reporting each year with the GRI Standards.
An 18-member Technical Committee has been appointed by the GSSB to lead the development of a new GRI Biodiversity Standard. It has representatives from:
- Business enterprise (ConocoPhillips, DSM, L’OCCITANE Group, Rio Tinto)
- Civil society (BirdLife International, IUCN, Marine Watch International, WWF)
- Investment institutions (PBAF, World Bank)
- Labor (Department of Conservation – Wellington)
- Mediating institutions (CDP, Deloitte, Global Balance, Lancaster University, Rainforest Alliance, UEBT, UNEP-WCMC)
Within the EFRAG Project Task Force – European Sustainability Reporting Standards (PTF-ESRS), the development of the new biodiversity standard is led by members of Cluster 3 – Other environment topics: Alan Brett, Philippe Diaz, Delphine Gibassier, Fabienne Grall, and Stefan Schnell. The work is supported by an expert group comprised of: Robert Adamczyk, Emily Healy, Ingmar Juergens, Johan Lammerant, Lourdes Martín, and Rosa Pritchard.
The European Financial Reporting Advisory Group serves the European public interest in the field of financial reporting. The European Commission has tasked EFRAG to prepare for new EU sustainability reporting standards. This work is now adhering to the recommendations report by the PTF-ESRS.
[globalreporting.org 01.12.2021]