REGULATIONS
“Some view this as a step back from transparency, but I see it as a necessary recalibration”
SASKIA VAN GENDT, CHIEF SUSTAINABILITY OFFICER, BLUE YONDER
The scope is also set to be narrowed to direct suppliers and contractors, replacing the requirement to map the entire value chain with a risk-based approach. Thresholds for applicability would also rise to only cover EU companies with more than 1,000 employees and € 450m( US $ 526m) in turnover.
Reviews would be required once every five years instead of annually and the requirement to implement transition plans would be dropped.
Liability and enforcement may also be weakened with the requirement for an EU-wide civil liability system and minimum penalty of 5 % of global turnover removed. Member states allowing trade unions and NGOs to bring claims on behalf of third parties may also be eliminated.
EU Taxonomy The omnibus would reduce the scope for mandatory reporting under the EU Taxonomy and allow large companies outside of the scope to opt in and report voluntarily.
These changes would also allow companies to excuse economic activities that are not financially material using a 10 % de minimis threshold. Below this threshold, activities would not need to be assessed against the technical screening criteria.
The number of required data points would be reduced by roughly 70 % and reporting templates streamlined through removing the need to separately report activities aligning with different Taxonomy objectives.
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