The ESRS (European Sustainability Reporting Standards) framework consists of three primary
categories of standards:
ESRS 1 (General Requirements):
ESRS 1 sets out the fundamental principles and requirements for sustainability reporting.
It provides an overview of the structure and drafting conventions of the ESRS framework, defining
the categories of ESRS standards: cross-cutting, topical, and sector-specific.
It also establishes the double materiality principle as the basis for sustainability disclosures.
ESRS 2 (General Disclosures):
ESRS 2 outlines the core disclosure requirements applicable to all sustainability topics, ensuring
comparability and completeness.
It includes general governance, strategy, impact, risk, and opportunity management disclosures
applicable to all sustainability topics.
These disclosure requirements apply to all undertakings regardless of the specific sustainability
topics being reported.
Topical Standards:
The ESRS framework includes ten topical standards covering the three key dimensions of
sustainability:
Environmental (E): ESRS E1 (Climate Change), ESRS E2 (Pollution), ESRS E3 (Water & Marine
Resources), ESRS E4 (Biodiversity & Ecosystems), and ESRS E5 (Resource Use & Circular Economy).
Social (S): ESRS S1 (Own Workforce), ESRS S2 (Workers in the Value Chain), ESRS S3 (Affected
Communities), and ESRS S4 (Consumers & End-users).
Governance (G): ESRS G1 (Business Conduct).
These standards provide specific requirements on sustainability matters, complementing the general
disclosure requirements in ESRS 2.
Sector-Specific Standards:
Sector-specific ESRS are currently under development.
These will address sustainability matters specific to different industries, ensuring that sectoral
nuances are properly considered.
They aim to fill gaps not sufficiently covered by the topical standards by defining industry-specific
impacts, risks, and opportunities.
Why is C. ESRS 1; ESRS 2; topical standards; sector-specific standards the correct answer?
ESRS 1 (General Requirements) comes first, setting the foundation.
ESRS 2 (General Disclosures) follows, providing cross-cutting disclosure requirements.
Topical standards are next, covering specific sustainability topics.
Sector-specific standards are the final category, though they are still in development.
Thus, the correct order aligns with the official structure of the ESRS framework as mandated in
Commission Delegated Regulation (EU) 2023/2772​.
Official Commission Delegated Regulation (EU) 2023/2772, various EFRAG guidance documents, and
CSRD-related
