The Omnibus I package was presented by the European Commission as a set of simplification measures to reduce regulatory and reporting burdens in the area of sustainable improvement and strengthen the competitiveness of the EU economy. In particular, the amendments to specified acts as the Sustainable improvement Reporting Directive (CSRD), the Corporate due diligence directive (CSDDD), Taxonomy and the border price adjustment mechanics including CO2 emissions (CBAM). The European Commission estimates that the proposed changes will bring crucial administrative savings and increase the investment capacity of companies. An important, already adopted part of this package is the "stop-the-clock" – a mechanics for temporarily stopping the dates of entry into force of part of the reporting obligations. It gives companies breath and creates a space to refine and simplify reporting rules in Omnibus I.
Assuming Omnibus I in a form akin to the 1 presently being negotiated is yet adopted, the scope of reporting obligations after the end of the stop-the-clock period will be clearly narrower than in the current CSRD version. Firstly, a crucial ellipse of companies subject to full reporting is expected to be reduced, with the work to exempt the vast majority of the entities presently formally covered, and the thresholds for entering the reporting, as adopted by the European Parliament, are to be set at the level of very large companies (including a employment limit of 1750 employees). The turnover threshold, which remains at €450 million, has not been changed. Secondly, the reporting should have clear proportionality mechanisms and a risk-based approach, including for the value chain. In practice, this means that companies are to focus on areas that are actually applicable to the risks of the ESG and on data that are genuinely available alternatively than on a wide scope of topics.
From the position of Polish entrepreneurs – especially tiny and medium-sized companies – this means that after the end of the "stop-the-clock" period, the vast majority of companies will not be subject to the CSRD reporting work at all. Full reporting will stay the domain of a tiny group of very large entities, and for others, the relation with the regulations of the ESG will mainly be indirect – through information requirements from the largest customers and counterparties.
At the same time, we see that the largest global corporations will stay in the CSRD and CSDDD regime. It is natural that, from their perspective, the form of Omnibus I and the method details will be crucial for investment decisions, reporting structures and hazard management in cross-border groups. Therefore, European business organisations, including BusinessEurope, which is simply a associate of the Leviathan Confederation, are actively seeking to guarantee that Omnibus I yet reduces excessive burdens, ensures a advanced level of predictability and legal certainty and is feasible in practice besides for the largest players. It is worth noting that the legislative process is inactive ongoing: both the Council of the European Union and the European Parliament have agreed on negotiating mandates and the final text will only be drawn up in the trilogue negotiations which began on 18 November.
From the point of view of Polish employers, it is crucial that the Omnibus I package, according to its first assumption, is primarily deregulation and simplification alternatively than tightening the government towards business. The function of employers' organisations in Poland and in the European Union is to guarantee that the final version of this package effectively reduces bureaucracy, protects competitiveness and investment and allows companies to accomplish climate objectives and sustainable improvement in a feasible way.
For years, the Confederation of Leviathan has consistently regarded deregulation and simplification of economical law as 1 of the pillars of its mission. We are seeking transparent and proportionate regulations that support the improvement of entrepreneurship, investment and innovation alternatively than stifle them with excessive administrative requirements. We co-create standards for "better regulation", we actively participate in national and EU legislative processes and deregulation initiatives, identifying circumstantial barriers and proposing solutions that effectively reduce regulatory costs for companies.
The Omnibus I package fits in this direction, and the Leviathan Confederation will proceed to actively participate in the debate at national and European level in order to bring real simplification of responsibilities to entrepreneurs, not fresh sources of uncertainty.
Confederation of Leviathan
