At a glance
- The standard would govern the limited assurance those companies must obtain from an independent external reviewer.
- The Commission asked the Committee of European Auditing Oversight Bodies for technical advice on the text.
- The draft would put EU Taxonomy eligibility and alignment inside the assurance engagement, so those figures would be assessed rather than simply published.
The European Commission opened consultation Nov. 12 on a draft assurance standard for companies reporting under the EU's Corporate Sustainability Reporting Directive. The standard would govern the limited assurance those companies must obtain from an independent external reviewer. The Commission left the mandatory start date open, listing 2027, 2028 or a later date as options.
The Commission asked the Committee of European Auditing Oversight Bodies for technical advice on the text. CEAOB based the draft on ISSA 5000, released in 2024 by the International Auditing and Assurance Standards Board for use across multiple sustainability frameworks, and adapted it to the EU's legal framework.
The draft would put EU Taxonomy eligibility and alignment inside the assurance engagement, so those figures would be assessed rather than simply published. For allocators, that makes the taxonomy criteria part of what the reviewer tests.
Until the Commission settles a start year, funds comparing CSRD statements across holdings do not know which reporting period first carries an opinion prepared to the same standard.
Omnibus I removed the option to shift from the current limited assurance requirement to reasonable assurance in future. The draft departs from ISSA 5000 partly through carve-outs of the IAASB's provisions covering reasonable assurance. It also sets procedures for assessing taxonomy eligibility and alignment, and adds rules for digital reporting requirements and for the use of third-party verification reports.
The consultation asks for views on the scope of assurance engagements, on treating ESRS and EU Taxonomy requirements as the applicable criteria, and on the timeline for the standard to become mandatory. It names companies preparing sustainability reports, auditors, independent assurance providers, investors, standard-setters, oversight bodies and civil society organisations among those it is seeking feedback from. The consultation is open through Jan. 18, 2027.
Reported by the Policy & Disclosure desk from ESG Today. Published . Corrections