Stop the Clock? The climate won’t wait
Earlier this year, the OMNIBUS proposal suggested that some companies, mainly small and medium-sized enterprises, should be given more time and fewer obligations under the Corporate Sustainability Reporting Directive (CSRD). This includes delaying reporting requirements by two years and raising the reporting threshold, which would exempt thousands of companies previously included.
On paper, it’s positioned as a relief for business. But when it comes to climate, the clock is still very much ticking.
While the EU debates administrative burden, the ice continues to melt, and emissions continue to rise. Climate change is not a box to be ticked in a future report, it is a defining challenge that demands immediate and bold action. Bundling climate together with slower-moving parts of the CSRD risks delaying what simply cannot wait.
While other areas of sustainability, such as biodiversity, social responsibility, and governance, are vitally important, climate change operates on a non-negotiable timeline.Its tipping points are irreversible, and its consequences are global. That urgency makes climate reporting fundamentally different, and worthy of being treated separately.
Time to rethink what’s possible
A major reason behind OMNIBUS’ proposal appears to be the belief that reporting, especially on climate, is complex, expensive, and time-consuming. The cost-saving rationale seems to stem from legacy models of sustainability reporting that rely on manual data gathering, fragmented internal coordination, and long lead times.
That may have been true in the past. But today, the reporting landscape has changed, and fast.
Take Green Effort as an example. It’s an AI-powered platform that automates emissions measurement by connecting directly to a company’s existing invoice data. That means:
• No manual data collection, which is often the single biggest bottleneck in sustainability work
• Company-wide coverage, using actual operational data, not just a sample or selective estimation
• Activity-based emissions calculations, grounded in Life Cycle Assessment (LCA) methodology, not rough spend-based averages
• Fast, accurate outputs thanks to automation and machine learning
Green Effort is part of a new wave of digital tools reshaping the landscape. While no system is perfect, the assumption that climate reporting is inherently difficult or unaffordable is becoming increasingly outdated.
The cost-saving argument doesn’t hold up
OMNIBUS argues that by pausing or reducing reporting demands, companies will save money. But these “savings” are calculated based on outdated assumptions, where reporting requires months of internal effort, slow data collection, and costly processes.
If OMNIBUS were to do a reality check today, they’d see that modern platforms like Green Effort drastically reduce both time and cost. In fact, many of the financial burdens they’re trying to avoid through delay could be eliminated with the right tools, without sacrificing quality or credibility.
Postponing climate reporting based on outdated methods is like refusing to send an email because you think it still requires a stamp.
Let’s move climate reporting forward, not push it back
Climate change is not just another item on the CSRD checklist. It is a planetary challenge, and it should be treated with the urgency it deserves.
By separating climate reporting from the rest of CSRD, the EU has an opportunity to lead with both clarity and courage. Thanks to modern, intelligent platforms, it’s not only possible to maintain momentum, it’s possible to accelerate it.
In the face of accelerating change, where every year of inaction locks in future damage, delaying even the basics of climate reporting isn’t pragmatic, it’s perilous.
The clock hasn’t stopped. It’s time we acted like it.
Sources
• European Commission’s Omnibus Proposal via Deloitte
• IEEFA: EU Omnibus ‘stop-the-clock’ proposal: A call for compromise
• ESG Today: EU to Exempt 80% of Companies from CSRD Sustainability Reporting Requirements
