EFRAG will set up an ESRS implementation support function to work on an initial three key areas: materiality assessments, value chains and inventory of datapoints.
The European body will also open an access point for stakeholders to submit questions and provide input on the three areas of focus.
These decisions were taken by EFRAG's Sustainability Reporting Board (SRB) following a speech from EU Commissioner Mairead McGuiness last month which called on EFRAG to "prioritise its efforts on [the] first set of horizontal standards over preparatory work for the sector standards", particularly on helping support companies apply the first set of ESRS.
SRB chair Patrick de Cambourg said he would welcome a "direct communication" from the European Commission and that he expected additional information on EFRAG's timeline in June or July. In the meantime, the SRB and EFRAG's Sustainability Reporting Technical Expert Group (TEG) have taken preliminary steps to restructure their workplans.
"We have decided to be responsive to the call for the introduction of an implementation guidance support function so we have considered our internal resources and had a look at the time that our Board members and TEG members could dedicate," De Cambourg said.
EFRAG has made significant progress with the development of two sector-specific standards, one for oil and gas and one for coal and mining. It will continue work to "stabilise" these but will not publish exposure drafts for public consultation in order to reduce confusion for stakeholders.
As the standard for listed SMEs is a delegated act, De Cambourg said EFRAG would continue to work on its development whilst waiting for further information on how to proceed. It will simultaneously continue developing the voluntary standard for unlisted SMEs so that both SME standards can be delivered at the same time. Although on the latter, Corporate Disclosures understands very little developments have taken place.
A standard for financial institutions' value chains and a standard for ethnicity will remain on EFRAG's agenda but will be worked on with more limited resources due to the reallocation of resources to the implementation support function.
