DRSC publishes Briefing Paper on the Overlap Between CSRD and CSDDD

On October 9, the DRSC released a detailed Briefing Paper examining the personal and temporal scopes of the CSRD and CSDDD for EU companies. This document provides crucial guidance for organizations, outlining when the new regulations will apply and how to align internal processes with the reporting obligations.

Key Insights on CSRD and CSDDD

The CSRD and CSDDD share thematic overlaps. A central provision is that EU companies (as well as third-country entities) are exempt from submitting a separate declaration under CSDDD if they are already subject to CSRD sustainability reporting or voluntarily prepare a corresponding report.

This regulatory alignment is already reflected in the current government draft for the CSRD's implementation: Companies that prepare an audited sustainability report are exempt from the reporting requirement under § 10 Abs. 2 LkSG. In such cases, the sustainability report must be published on the company’s website in lieu of the report required under § 10 Abs. 2 LkSG (§ 10 Abs. 5, 6 LkSG-E).