Sustainability reports mandatory for large companies

Published by:
Netherlands Enterprise Agency, RVO
Netherlands Enterprise Agency, RVO
< 1 min read
Nederlandse versie
Effective date: step-by-step from 2024

What has changed?

Do you run or work for a large company? Or do you do business with large companies? From 2024 all listed companies and large enterprises must report on sustainability policy and performance. This is the result of the European Corporate Sustainability Reporting Directive (CSRD). The CSRD requires businesses to disclose the environmental and social impact of their activities. Companies must have this information verified by an auditor.

Large companies

The CSRD applies to companies that meet at least 2 of the 3 following conditions:

  • net turnover of €40 million or more
  • total assets of at least €20 million
  • 250 or more employees

Step-by-step implementation

The mandatory reporting will be implemented step-by-step. It depends among others on the size and activities of a company when they must comply with this requirement. For financial years starting on or after:

  • 1 January 2024, for companies that are already subject to the Non-Financial Reporting Directive (NFRD)
  • 1 January 2025, for large companies that are not yet subject to the NFRD
  • 1 January 2026, for listed SMEs, and for small and non-complex credit institutions and insurance companies

Medium-sized and small businesses are exempted from the CSRD until at least financial year 2026. However, they will have to deal with demands from their CSRD-compliant customers or suppliers.

For whom?

  • large companies
  • entrepreneurs doing business with large (CSRD-compliant) companies

When?

This change has entered into effect on 1 January 2024, for companies that are currently subject to the NFRD.

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Questions relating to this article?

Please contact the Netherlands Enterprise Agency, RVO