*Helen Downes, CEO, Shannon Chamber pictured at the CSRD seminar with (from left): Peter Murphy, marketing and CSR, Ei Electronics; Paul Murphy, CEO, and Naomi Barker, corporate reporting lead, Climeaction; and Barry Gavin, chair, Mid-West Sustainability Network. Photo by Eamon Ward
COMPANIES who attended a recent Shannon Chamber event enhanced their expertise on corporate sustainability reporting following a presentation by Climeaction’s Naomi Barker on the world of sustainability acronyms.
As corporate reporting lead with Climeaction, a company that has helped organisations in a wide range of sector to reduce emissions, cut costs and enhance overall environmental, social and governance (ESG) performance, Naomi set out to demystify and simplify what is regarded as a very complex area of sustainability reporting.
CSRD regulations came into effect on July 6th 2024 for companies with more than 500 employees. Companies with a balance sheet greater than €25 million, turnover greater than €50 million and more than 250 employees came under the scope of the regulation in January 2025, with listed SMEs set to become accountable from January 1st 2026. The purpose of the briefing was to equip attendees with the knowledge and tools to navigate the regulations.
Companies in scope must report on a double materiality basis, which requires them to disclose not only the risks they face from a changing climate and other ESG matters (financial materiality), but also the impacts they themselves may have on climate and society (impact materiality). Companies will also have to provide information on their value chain. To assist companies with the transition to the new requirements, for the first three years of reporting, where information on the value chain is not available, they may elect to explain their inability to obtain the information.
While many companies attending the briefing don’t yet fall under the scope of the Directive, Ms Barker did advise them to become familiar with the requirements and be prepared.
“Start with mapping out your company’s sustainability reporting requirements. CSRD is only one of the many reporting requirements coming down the track,” she said.
She cited CSDDD, which requires companies to report on their due diligence processes across their supply chain with a focus on human rights, whereas CSRD requires companies to report on sustainability activities and material issues. She said that other regulations, such as the packaging and packaging waste directive (PPWR) could, when introduced, impact companies given that it will require packaging to be at least seventy per cent recyclable or a product may not be listed.
“The time to start preparing for these changes is now,” she stated. “It’s a world of acronyms but if it ends in the letter D, it’s a directive tasking companies to report. While there is a lot going on, it is possible to meet all the requirements of European Sustainability Reporting Standards (ESRS) through preparing one report. Sector-specific guidelines will also assist companies to compile data”.
On how to begin the process, Naomi outlined, “Start by identifying the data available in your organisation. Then establish the full scope of your activities across your upstream and downstream value chain. Mapping your company’s value chain is a critical tool for identifying relevant stakeholders, affected communities, potential risks, and operations subject to regulatory oversight. Once your company’s data and value chain have been mapped, the next key step is to determine your material issues and undertake a double materiality assessment”.
While the event was heavy on detail, Naomi introduced a practical element on the day, asking groups of attendees to assess their own businesses’ materiality impacts with many worried faces becoming less stressed once they understood what was involved.
CEO of Shannon Chamber, Helen Downes acknowledged, “CSRD is not easy to understand. We have held several seminars on the topic and it’s only by doing exercises such as undertaken at this seminar that the requirement of the Directive become clearer. Companies will certainly find it difficult but with the right assistance, from companies such as Climeaction and from partaking in our Mid-West Sustainability Network events, and networking with companies already on the reporting journey, the process will become a lot clearer. We will continue to keep CSRD on our radar and assist companies when required”.
The simplifying CSRD seminar was one of a series of workshops being organised by Shannon Chamber’s Mid-West Sustainability Network. The next event, which is focused on energy management, will take place on Thursday March 13th. It will be hosted in Ei Electronics’ Centre of Excellence and involve presentations from Climeaction’s energy experts.
