Euro Coop Co-Signs Joint Position Paper on Omnibus I

Euro Coop, together with CNA, Legacoop and ECCO, has released a joint position paper in response to the European Commission’s Omnibus I package. The proposal introduces amendments to three key components of the EU sustainable finance framework: the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD), and the Taxonomy Regulation.

The paper provides recommendations aimed at ensuring that regulatory adjustments remain coherent with the objectives of the European Green Deal while supporting small and medium-sized enterprises (SMEs) in meeting evolving information and reporting needs.

This publication follows yesterday’s vote in the European Parliament on two important files related to the future of EU climate and sustainability policy: the amendment of the Climate Law to introduce the 2040 decarbonisation target and the Omnibus I legislative package on sustainable finance. These decisions will contribute to shaping the next steps of the EU’s climate transition and the development of its sustainable finance framework.

SMEs and the Need for Proportionate and Accessible Reporting Tools

SMEs account for a significant share of the EU economy and play a central role in the functioning of European value chains. At the same time, many SMEs currently operate outside mandatory reporting obligations, which can create challenges when responding to data requests from large companies, financial institutions, and clients.

The joint position paper highlights that a stable, proportionate, and accessible reporting framework can help SMEs:

meet increasing expectations for sustainability information

reduce administrative burden through harmonised and comparable tools

improve access to financing by providing relevant ESG data

strengthen their contribution to the EU’s long-term climate and sustainability objectives

Overview of the Recommendations

The document puts forward several recommendations to ensure that the EU framework remains effective while taking into account the specific capacities of smaller enterprises:

1. Proportionate and Scalable Reporting Standards

A phased approach aligned with company size, including SME-specific standards and simplified ESRS options for medium enterprises.

2. Sectoral Standards and Double Materiality

The use of voluntary sectoral standards and the retention of double materiality in SME standards to help companies identify relevant information and avoid unnecessary reporting.

3. Risk-Based Due Diligence

A due diligence approach grounded in the assessment of actual risks across value chains, ensuring that efforts are directed where most relevant.

4. Transition Plans

A progressive framework enabling SMEs to develop and implement credible transition plans, which are increasingly important for market expectations and access to green finance.

5. Support Measures for SMEs

Practical mechanisms to ensure accessible compliance pathways, such as:

capacity-building and training initiatives

financial support tools

shared digital infrastructure

guidance for value chain collaboration

Euro Coop’s Commitment

As the European association of consumer cooperatives, Euro Coop is committed to contributing to a regulatory environment that supports transparency, competitiveness, and effective sustainability practices across the value chain. Strengthening the capacity of SMEs—many of which are suppliers and partners of cooperative retailers—is essential to ensure consistent progress toward the objectives of the European Green Deal.

Euro Coop will continue to engage constructively with EU institutions and stakeholders to promote a balanced framework that supports enterprises of all sizes in the transition toward more sustainable business practices.

Read the full position paper