BRUSSELS — The European Commission will propose deep cuts to the European Union’s environmental reporting rule book in its bid to slash red tape and boost the bloc’s struggling economy, according to a section of a draft of the upcoming omnibus legislation obtained by POLITICO.
In one of the first major pieces of legislation from the new commission, a large cohort of businesses could be exempt from complying with corporate sustainability reporting rules, bringing only the largest companies under the regulations, the leaked document shows.
Requirements to monitor environmental and human rights abuses deep in companies’ global supply chains, meanwhile, could be considerably reduced under the proposed changes.
The eagerly anticipated proposal will be a relief to many businesses worried about having to meet complicated green reporting standards, many of which they complain are overlapping and require major investment to ensure compliance.
