Implementation of the CSRD into national law: Government presents draft

22 August 2024 2 min read

By Barbara Angene

At a glance

  • Germany was supposed to implement the Corporate Sustainability Reporting Directive (CSRD) into national law by 6 July 2024.
  • However, there is currently only a government draft which is dated 24 July 2024.
  • The draft does not go beyond the requirements of the directive with regard to its reporting obligations.

Update: 31 March 2025

Federal elections were held on 23 February 2025. With the formation of a new Federal Parliament, all bills and proposals that were not passed by the previous Federal Parliament must be reintroduced and renegotiated. A new governing coalition is currently being negotiated. For more information on the status of legislative processes following the election, please refer to this news item.

After the implementation deadline expired on 6 July 2024, the European Commission opened infringement procedures against Germany as well as 16 other Member States in September 2024. This may lead to a new federal government reintroducing the proposal without extensive revision in the near future. However, it should also be taken into account that the Commission has adopted a proposal on a possible amendment of the CSRD (see this news item). This may again result in further delays of the implementation.

Under the CSRD, companies in scope are required to report and disclose information on sustainability matters which includes environmental impacts as well as social impacts.

The CSRD was to be transposed into national law by 6 July 2024. However, in Germany, there is currently only a government draft dated 24 July 2024, which does not go beyond the requirements of the directive with regard to its reporting obligations

The draft will be discussed in the Bundestag in the coming months. It is not clear yet when the legislative process will be finalised.