EU unveils deregulation package, targets sustainability rules
The European Commission will present the first package of regulations aimed at change and simplification in February. Initially, three legal documents will be reviewed. The officials will need input from the business sector, which will help them pinpoint the biggest bureaucratic problems.
In February, the European Commission plans to present the first in a series of deregulation packages, known as omnibuses, to simplify and amend existing regulations. During this process, EC officials meet with business representatives to understand what causes the most bureaucratic problems.
On February 26, the European Commission aims to present the first in a series of omnibus packages resulting from this dialogue with businesses. The omnibus will clearly outline which provisions should be changed and how. Then, this proposal will need approval from the governments of the member states and the European Parliament.
Sustainable development awaits deregulation
Brussels will focus on three legal acts: the Corporate Sustainability Reporting Directive (CSDR), the Corporate Sustainability Due Diligence Directive (CSDDD), and the Taxonomy Regulation.
CSDR details the obligations regarding reporting environmental, social, and corporate governance (ESG) issues. Meanwhile, CSDDD introduces the requirement to identify, prevent, and minimize the negative impact of company operations on human rights and the environment throughout the value chain.
On the other hand, the taxonomy helps investors and companies identify climate-friendly projects and investments and counteract greenwashing (false eco-marketing).
The first in the series of omnibuses marks the beginning of a broad deregulation effort, which Ursula von der Leyen, President of the European Commission, has prioritized. The goal is to create a more business-friendly environment.
