How could the EU’s new CSRD impact your fleet – and what can you do to prepare?

Whether it’s new goals, new inspirations or a new start, the new year is the time for change. That’s been especially true for 2024 – a new year that introduced a huge change for European businesses.

New in 2024, the Corporate Sustainability Reporting Directive (CSRD) is an EU regulation requiring companies to report on risks and opportunities arising from social and environmental issues – such as climate change – and on how their activities impact people and the environment.

With environmental anxiety only trending upwards, the CSRD builds significantly on its predecessor, the Non-Financial Reporting Directive (NFRD).

The NFRD required listed companies with more than 500 employees to include non-financial statements as an integral part of their annual public reporting obligations. CSRD widens the scope of the legislation and mandates which companies need to report sustainability-related information and when.

To illustrate the impact of the change, while 11,000 companies were in scope for mandatory reporting under NFRD, an estimated 50,000 companies are in scope under the new CSRD.

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When will the CSRD impact my business?

With the CSRD’s introduction comes a new timeline, determining who the new directive applies to and when:

1.????? From 2024, stock-listed companies with more than 500 employees must record CO? emissions for 2025 reporting.

2.????? From 2025, non-stock-listed companies meeting two out of the following three criteria must record CO? data for 2026 reporting: more than 250 employees, more than €40 million in revenue or more than €20 million in total assets.

3.????? From 2026, stock-listed small/medium enterprises meeting two out of the following three criteria must record CO? data for 2027 reporting: more than 10 employees, more than €700,000 in revenue or more than €350,000 in total assets.

4.????? From 2027, companies with a non-EU parent and more than €135 million in EU turnover must start recording CO? data for reporting.

As a business looking at this timeline, you may think you have time to get your house in order – but I’m afraid that assumption could prove to be false.

Under the CSRD, an organisation is required to also report on its Scope 3 emissions – those that happen indirectly throughout its value chain – for example, emissions from suppliers’ vehicles.

So even if a business is not obliged by CSRD to report on its own fleet’s carbon footprint, it might have larger customers that do need to report to stay compliant. Those larger customers are then highly likely to request information on the CO? emissions produced by their suppliers. In this environment, businesses with the ability to accurately provide data on their CO? emissions may gain a competitive advantage.

Accurate reporting with Webfleet

Safe to say, corporate sustainability reporting in Europe is no longer exclusive to the big players. If your fleet business is one of the many that will be impacted by CSRD, it’s time to take action.

This is where Webfleet, Bridgestone’s globally trusted fleet management solution, can help.

The Webfleet CO2?Report gives you an accurate overview of your fleet’s direct CO2?emissions. Using a methodology that’s certified by TüV Rheinland1, it provides detailed information on how much CO2?your vehicles produce. As well as helping you to meet the demands of regulations such as CSRD, it gives you visibility over how, where and why your fleet is producing unnecessary CO2.

But, of course, there’s much more to decarbonisation than just reporting and compliance.

Our data-driven mobility solutions empower users to take a holistic approach to reducing their fleet’s carbon footprint. From advising fleets on electrification to optimising energy consumption and smart charging, cutting out driving habits that waste fuel, maintaining tyres at the right pressure, keeping drivers on the best routes and beyond, we’re a partner for businesses that want to take real action to run more sustainably.

Data is the key to making that happen. It is only with accurate, actionable data insights on CO2?emissions that businesses can know they are doing the right things to reduce them.

By connecting your vehicles with a leading telematics solution like Webfleet, you can get those insights. We sum it up in three steps: Connect, Measure, Reduce. That’s how you can not only reach your environmental goals but also drive business efficiency and profitability at the same time.

For more information about Webfleet CO2 Report visit our website: Webfleet CO2 Report for fleets — GB.

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Author: Frans de Rooij, Director Product Portfolio – Webfleet Europe

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1?To meet state-of-the-art scientific standards, all platform-embedded calculations and decarbonisation solutions are fully aligned with internationally recognised scientific methodologies and standards such as the Greenhouse Gas Protocol and the Science Based Targets initiative (SBTi). The scientific accurateness of the applied Corporate Carbon Footprint (CCF) calculation methodology, Scope 1, is certified by TüV Rheinland.