Two progress reports have been submitted by EFRAG to Commissioner McGuiness and have been published on EFRAG’s website.
On 25 June 2020, the European Commission (EC) issued a request for technical advice mandating EFRAG to undertake preparatory work for the elaboration of possible EU non-financial reporting standards in a revised Non-Financial Reporting Directive (NFRD), the ultimate objective being to allow for the swift development, adoption and implementation of European standards, should that be the choice of the European Union following the wider revision of the NFRD.
This preparatory work is being carried out by a multi-stakeholder Project Task Force (PTF-NFRS) that was appointed by the Steering Group of the European Reporting Lab @EFRAG (European Lab), within which the project operates.
In line with the requirements of the EC mandate to EFRAG, the PTF-NFRS submitted a progress report to the EC on 6 November 2020.
This progress report provides a view of the PTF-NFRS organisation and activities up to 31 October 2020, and the preliminary high-level assessment points emerging from the assessment phase of the project, which is still under finalisation.
Patrick de Cambourg thanked the PTF-NFRS members for their commitment and contribution to the project, commenting: “I am grateful to what the PTF-NFRS has managed to achieve so far, and for the speed and efficiency with which the progress report has been produced. The Task Force is open to input from stakeholders, in particular through outreach activities that will be undertaken between now and the end of January.”
The PTF-NFRS will continue with the next phases of its work, involving the development of proposals and outreach activities to stakeholders, aiming to conclude its work by the end of January 2021.
The EC also issued a separate ad personam mandate, inviting EFRAG Board President and European Lab Steering Group Chairman, Jean Paul Gauzès, to consider the possible need for changes to the governance and financing of EFRAG, if it were to be entrusted with the development of European non-financial reporting standards under a revised NFRD. Jean-Paul Gauzès submitted his progress report on his mandate to the EC on 6 November 2020. The report included preliminary proposals for the future governance of EFRAG. The input received from stakeholders through the invitation for the contribution of views launched on 1 October 2020 was considered in these preliminary proposals. The progress report, the input received and additional contributions expected will form the basis of a public consultation document that will soon be published, inviting public comments on these preliminary proposals of Jean Paul Gauzès.