PRI statement on draft European Sustainability Reporting Standards

This PRI statement welcomes the latest draft European Sustainability Reporting Standards (ESRS) by the European Financial Advisory Group (EFRAG) and sets out five priority elements that co-legislators should retain within the final standards:

• Maximum possible interoperability with global sustainability reporting standards and frameworks
• All information that investors need to meet their regulatory reporting obligations, including mandatory SFDR Principal Adverse Impact indicators
• Requirements and guidance on the materiality assessment
• Reporting on climate-related scenario analysis, transition planning, policies, targets, action plans and metrics
• Reporting on material sustainability matters of subsidiaries