ESRS · the rulebook, standard by standard
ESRS explained: the twelve standards, one by one
ESRS — the European Sustainability Reporting Standards — are the rulebook for an EU sustainability statement, and the CSRD is the law that says who must use it.
This page opens the rulebook: what ESRS 1 and ESRS 2 require of everyone, and what each of the ten topical standards asks for once its topic is material, in the revised text of 2026.
Who is in scope, and when, is on the main European Sustainability Reporting Standards page.
Two instruments
ESRS and CSRD: the rulebook and the law that requires it
People search for “CSRD vs ESRS” as if they were rival frameworks, and they are two halves of one regime.
The Corporate Sustainability Reporting Directive amended the Accounting Directive, and its Article 19a is what makes a company publish.
Article 29b of the same directive empowers the Commission to adopt the standards, which it did as Delegated Regulation (EU) 2023/2772.
A directive needs national law; a regulation does not, so the content of a statement is identical across the EU while penalties and transposition dates are not.
In 2026 both halves changed: Directive (EU) 2026/470 narrowed who reports, and the revised standards cut what they report.
The Commission’s own CSRD page carries the directive; EFRAG, which drafted the standards, is at efrag.org.
| CSRD | ESRS | |
|---|---|---|
| What it is | A directive amending the Accounting Directive | A Commission delegated regulation |
| What it decides | Who reports, when, where and with what assurance | What the sustainability statement contains |
| How it reaches a company | Through each member state’s law | Directly, the same text everywhere |
| Current text | Accounting Directive, consolidated 18 March 2026 | DR (EU) 2026/1563 from FY2027; 2023/2772 still usable for FY2026 |
| Changed in 2026 by | Directive (EU) 2026/470 | Delegated Regulation (EU) 2026/1563 |
Materiality decides
How a standard becomes compulsory for a company
Revised ESRS 1 decides what is reported in two steps: find the topics tied to material impacts, risks or opportunities, then decide the information to report on each (¶25).
ESRS 2 applies whatever the assessment finds (¶29(a)).
A topical standard applies only where its topic is material, and where only a sub-topic is material, only that sub-topic’s material information is reported (¶30).
Paragraph 24 closes the other door: the company “shall not disclose” information a datapoint prescribes if that information is not material.
One standard has an exception: once own workforce is material, ESRS S1 requires S1-5 to be applied, and S1-6 where non-employees are connected to a material matter (¶1).
Climate has a check of its own: a company that omits all of E1 must give the basis for concluding climate change is not material (ESRS 2 IRO-2 ¶37(b)).
How the assessment itself is done is on the double materiality assessment.
Revised ESRS 1, ¶25 and ¶29
- Identify the topics related to material impacts, risks or opportunities.
- Apply ESRS 2 in every case.
- For each material topic, apply GDR-P, GDR-A, GDR-M and GDR-T and the topical standard’s disclosure requirements.
- Add entity-specific information where the standards do not cover a material matter.
Cross-cutting
ESRS 2: the disclosures every company makes
ESRS 1 General requirements holds the rules of the statement rather than topic disclosures; ESRS 2 General disclosures is the part of the statement that no company in scope can omit.
| Code | Disclosure requirement (revised ESRS 2) |
|---|---|
| BP-1 | Basis for preparation of the sustainability statement |
| BP-2 | Specific information if the undertaking uses phasing-in options — new in the revision |
| GOV-1 | The role of the administrative, management and supervisory bodies |
| GOV-2 | Sustainability-related performance in incentive schemes |
| GOV-3 | Statement on due diligence |
| GOV-4 | Risk management and internal controls over sustainability reporting — new in the revision |
| SBM-1 | Strategy, business model and value chain |
| SBM-2 | Interests and views of stakeholders |
| SBM-3 | Interaction of material impacts, risks and opportunities with strategy and business model, and financial effects |
| IRO-1 | The process to identify and assess material impacts, risks and opportunities |
| IRO-2 | Material impacts, risks and opportunities and the disclosure requirements reported |
| GDR-P, GDR-A, GDR-M, GDR-T | General requirements for policies, actions and resources, metrics and targets — replacing the 2023 “MDR”s |
Two of the requirements are new: BP-2 on phasing-in options and GOV-4 on internal controls over sustainability reporting, and the 2023 “minimum disclosure requirements” became the four GDRs.
IRO-1 describes the process the company used to find what is material, and IRO-2 reports the result, including a list of the disclosure requirements complied with (¶37(d)).
The policies, actions and targets disclosures in the topical standards are framed by the GDRs rather than restated in each standard.
E1 to E5
The five environmental standards, by sub-topic
| Standard | Sub-topics (¶6) | Disclosures a reader will look for |
|---|---|---|
| E1 Climate change | Climate change mitigation; climate change adaptation; energy | E1-1 transition plan; E1-2 climate risks and scenario analysis; E1-3 resilience; E1-6 targets; E1-7 energy consumption and mix; E1-8 gross Scope 1, 2 and 3 emissions; E1-9 removals and carbon credits; E1-11 anticipated financial effects |
| E2 Pollution | Pollution of air, water and soil; microplastics; substances of concern, including substances of very high concern | E2-1 policies; E2-4 pollutants emitted to air, water and soil; E2-5 substances of concern |
| E3 Water | Water use including withdrawal; water consumption; water discharge; water stored | E3-1 water policies, and sites in areas of water stress not covered by them; E3-4 water metrics, including water recycled and reused |
| E4 Biodiversity and ecosystems | Drivers of biodiversity change; state of species; condition and extent of ecosystems; ecosystem services | E4-2 policies covering sites in or near biodiversity-sensitive areas; E4-5 activities negatively affecting those areas |
| E5 Resource use and circular economy | Resource inflows; resource outflows from products and services; outflows as waste | E5-1 policies, with how circular principles or eco-design are built into key products; E5-5 waste, including non-recycled, hazardous and radioactive waste |
E1 is the standard most UK readers meet first, and its emissions requirement is specific: gross Scope 2 on both the location-based and market-based methods, and Scope 3 “from each significant scope 3 category as a total and per category” (E1 ¶30).
A company with no transition plan that has the key features the standard lists must say so, and whether and when it expects to adopt one (E1 ¶13).
The environmental standards divide the ground carefully: the seven greenhouse gases sit in E1, other air pollutants in E2, water use in E3 but pollutants emitted to water in E2, and marine resources in E5.
Anticipated financial effects survive only in ESRS 2 and E1-11; the separate disclosures that ended E2 to E5 in 2023 are gone, according to the adopted Annex I.
How the UK treats value-chain emissions is on Scope 3 under UK SRS.
G1
G1 Business conduct: one governance standard
G1 lists three sub-topics in ¶5: corporate culture, including anti-corruption, whistle-blower protection and animal welfare; supplier relationships, especially late payment to SMEs; and political influence, including lobbying.
Board-level governance of sustainability is not in G1; it is ESRS 2 GOV-1 to GOV-4, and every company in scope reports it.
A company already subject to national law transposing the EU whistle-blower directive can meet the whistle-blower limb by saying so (G1 AR 2).
The UK has no single governance standard of this kind; the nearest UK reading is on ESG and ESG reporting requirements in the UK.
| G1 disclosure | What it asks |
|---|---|
| G1-1 | Business conduct policies; whether anti-corruption policies are consistent with the UN Convention against Corruption; whether whistle-blowers are protected; the roles most at risk of bribery |
| G1-2 | Actions, including on relationships with suppliers |
| G1-4 | Convictions and fines for breaches of anti-corruption and anti-bribery laws |
Appendix A
Datapoints that come from other EU law
Some ESRS datapoints exist because another EU law needs the number: sustainable finance disclosures, benchmark rules, bank Pillar 3 reporting or the EU Climate Law.
Revised ESRS 2 Appendix A lists them, and IRO-2 ¶37(g) requires a table of every one, showing where it is reported or that it is “not material”.
So these are the one place where an immaterial datapoint is still named in the statement, as a declared omission.
For a UK supplier, they are also the numbers an EU customer is most likely to ask for.
| Datapoint | Standard |
|---|---|
| Gross Scope 1, 2, 3 emissions | E1-8 |
| Pollutants emitted to air, water and soil | E2-4 |
| Water recycled and reused | E3-4 |
| Activities affecting biodiversity-sensitive areas | E4-5 |
| Non-recycled, hazardous and radioactive waste | E5-5 |
| Unadjusted gender pay gap | S1-15 |
| Risk of forced and child labour incidents | ESRS 2 IRO-2 |
| Convictions and fines for bribery | G1-4 |
2023 to 2026
What the revision changed inside the standards
E3 was “Water and marine resources” and is now “Water”; marine resources became a resource inflow in E5.
The minimum disclosure requirements became GDR-P, GDR-A, GDR-M and GDR-T in ESRS 2.
Every voluntary “may” datapoint was deleted.
The separate anticipated-financial-effects disclosures in E2 to E5 were deleted; E1-11 keeps the climate version.
BP-2 on phasing-in options, and GOV-4 on internal controls over sustainability reporting.
A top-down route to materiality in ESRS 1 ¶27.
Annex I was replaced in full, so a citation such as “ESRS 1 ¶21” means different text in the two versions.
Say which version you mean; EFRAG’s Knowledge Hub links each revised paragraph to its 2023 predecessor.
For the UK comparison, the ISSB’s own launch of IFRS S1 and S2 is here, and the UK’s adaptation is UK SRS S1 and S2.
Our side-by-side reading is UK SRS vs ESRS; the global baseline is on IFRS S1 and S2 and the IFRS hub.
The UK hubs are UK SRS, TCFD and the full list of sections; the wider family is on sustainability reporting frameworks.
UK dates are on the UK SRS timeline, UK compliance on UK SRS compliance, and UK assurance on ISSA (UK) 5000.
Frequently asked
Questions people ask
What is the difference between ESRS and CSRD?
The CSRD is the directive that requires a company to publish a sustainability statement; ESRS are the standards that say what the statement contains.
The CSRD works by amending the EU Accounting Directive and has to be written into each member state’s law.
ESRS are a Commission delegated regulation, so they apply directly and read the same in every member state.
What does ESRS stand for?
European Sustainability Reporting Standards.
The set was first adopted by the European Commission as Delegated Regulation (EU) 2023/2772 and revised by Delegated Regulation (EU) 2026/1563, published in the Official Journal on 21 September 2026.
How many ESRS standards are there?
Twelve.
ESRS 1 General requirements and ESRS 2 General disclosures are cross-cutting; E1 to E5 cover climate change, pollution, water, biodiversity and ecosystems, and resource use and circular economy; S1 to S4 cover own workforce, workers in the value chain, affected communities, and consumers and end-users; G1 covers business conduct.
The 2026 revision kept all twelve.
What is the difference between ESRS 1 and ESRS 2?
ESRS 1 sets the rules of the sustainability statement — double materiality, the value chain, time horizons, reliefs and presentation — rather than topic disclosures.
ESRS 2 contains the disclosures every company in scope makes, such as the basis of preparation, governance, strategy and business model, and the description and outcome of its materiality assessment, plus the general requirements for policies, actions, metrics and targets that the topical standards build on.
Is ESRS 2 mandatory?
For a company in scope of the CSRD, yes: revised ESRS 1 paragraph 29 requires it to apply ESRS 2 whatever its materiality assessment concludes.
Each topical standard applies only where the topic relates to a material impact, risk or opportunity.
What does ESRS S1 cover?
ESRS S1 Own workforce covers the company’s employees and non-employees such as self-employed contractors and agency workers.
Its sub-topics are working conditions, social dialogue and collective bargaining, health and safety, training and skills, diversity and equal treatment, and other labour-related human rights.
Its disclosures include health and safety metrics, the unadjusted gender pay gap and the annual total remuneration ratio.
What scopes of emissions does CSRD require?
Under revised ESRS E1 a company for which climate is material discloses gross Scope 1 emissions, gross Scope 2 emissions on both the location-based and market-based methods, and Scope 3 emissions from each significant category, as a total and per category.
Scope 1 and 2 are split between the consolidated accounting group and other emissions.
Can a company leave out ESRS E1 if climate is not material?
Yes, but it has to say why.
Revised ESRS 2 IRO-2 paragraph 37(b) requires the basis for concluding that climate change is not material, if the company reaches that conclusion and omits all of ESRS E1.
Sources
Primary sources
Every figure, date and status on this page traces to the instrument’s owner.
Secondary commentary is never the source for a number.
- EUR-LexCommission Delegated Regulation (EU) 2026/1563 — the revised ESRS (Annex I)
The twelve standards as they apply to financial years from 1 January 2027.
- EUR-LexCommission Delegated Regulation (EU) 2023/2772 — ESRS Set 1
The 2023 text, still usable for financial year 2026.
- European Commission (via the Council register)C(2026) 5010 final, Annex I — the revised ESRS as adopted
E2 ends at E2-5, E3 at E3-4, E4 at E4-5, E5 at E5-5; anticipated financial effects only in ESRS 2 and E1-11.
- EUR-LexDirective 2013/34/EU (Accounting Directive), consolidated 18 March 2026 — Arts 19a, 29a, 29b
The duty to report and the empowerment to adopt the standards.
- EUR-LexDirective (EU) 2022/2464 — the Corporate Sustainability Reporting Directive
- EUR-LexDirective (EU) 2026/470 (Omnibus I)
The €450m and 1,000-employee scope test from financial year 2027.
- European CommissionCorporate sustainability reporting — the Commission’s CSRD page
- EFRAGRevised ESRS 1 General requirements, delegated-act text (¶¶2, 22–30)
Two steps to decide what is reported; ESRS 2 always; topical standards if material; “shall not disclose” immaterial information.
- EFRAGRevised ESRS 2 General disclosures, delegated-act text (BP-1 to IRO-2, GDR-P/A/M/T, Appendix A)
IRO-2 ¶37(b) and (g); the list of datapoints derived from other EU legislation.
- EFRAGRevised ESRS E1 Climate change (¶6, E1-1 to E1-8)
- EFRAGRevised ESRS E2 Pollution (¶6)
- EFRAGRevised ESRS E3 Water (¶6)
- EFRAGRevised ESRS E4 Biodiversity and ecosystems (¶6)
- EFRAGRevised ESRS E5 Resource use and circular economy (¶6, ¶9)
- EFRAGRevised ESRS S1 Own workforce (¶1, ¶6)
S1-5 and S1-6 apply once own workforce is material.
- EFRAGRevised ESRS S2 Workers in the value chain (¶6–8)
- EFRAGRevised ESRS S3 Affected communities (¶6, ¶9)
- EFRAGRevised ESRS S4 Consumers and end-users (¶6–7)
- EFRAGRevised ESRS G1 Business conduct (¶5, ¶7)
- EFRAGESRS Knowledge Hub
The revised and 2023 standards side by side; no implementation guidance yet for the revised set.
Continue reading
Read next
European Sustainability Reporting Standards
The revised ESRS as EU law: the dates, the FY2026 choice, scope and the UK comparison.
EU CSRD
The directive itself, article by article: scope, assurance, the cap and transposition.
Double materiality assessment
How revised ESRS 1 tells a company to decide which of these standards it reports.
S1 to S4
The four social standards: four groups of people
The four social standards share one structure, so a company material on several of them reports in parallel rather than four ways.
ESRS S1 covers non-employees without changing their legal status, and it stops at the company’s own workforce; everyone else who works in the value chain is S2.
Several S1 metrics, the gender pay gap and the remuneration ratio among them, are listed in ESRS 2 Appendix A as datapoints derived from other EU legislation.