The proposed changes to the Omnibus in sustainability regulation have caused a stir. At ClimateCamp, we see this moment not just as a setback, but as an opportunity—if we have the courage to act.

‍

Changes to Omnibus

‍

Before exploring why these changes present an opportunity, let’s first break down what’s being proposed. Keep in mind, these adjustments still need approval from the EU Parliament before they take effect.

• The implementation of CSRD has been delayed. for 2 years for wave 2 and 3 companies. They now will have to report in 2028-2029. For companies out-of-scope who still want to report, VSME is being recommended.
• Scope will be reduced and aligned with CSDDD. Which means only companies with more than 1,000 employees and a turnover of more than €50 million or a balance sheet of more than €25 million will have to report. This reduces the potential of CSRD by 80% when we look at amount of companies having to report
• ESRS has been revised and simplified. Double materiality still remains the first step in preparing for CSRD.

‍

If you want to take a deeper look at all the proposed changes, you can click here.

‍

Setbacks shouldn’t halt progress

‍

Regulatory rollbacks are frustrating. Policy is a key driver of sustainability progress, helping to push change faster than organic efforts can sometimes achieve alone. But let’s not get stuck in disappointment. The reality is, many businesses—especially smaller ones—were already struggling with resource-heavy compliance requirements with regards to data collection, reporting, and communication. Switching to VSME and reporting on fewer data points, as well as having more time to prepare for CSRD, can proof to be a blessing in disguise.

We’ve spoken with companies eager to lead in sustainability, but having to direct much of their effort to CSRD prep for 2026 and beyond. The question is: Does extensive reporting always lead to meaningful impact? Some companies now see this as a chance to shift their focus from paperwork to real sustainability action. The Paris Agreement, the Green Industrial Deal, and other EU legislation remain key drivers of future sustainability action.

‍

The proof of the pudding is in the eating

‍

We can debate what will happen next, but what truly matters is how companies choose to move forward:

• Avoid sunk costs by applying CSRD insights. Compliance investments have already been made, and businesses must find ways to capitalize on them. Let’s use the insights we got from preparing for CSRD to launch targeted sustainability projects.
• Reallocating budgets smartly. Companies committed to sustainability can now direct effort and funds toward improving carbon calculations, emissions reduction, circularity, social impact, and governance.
• Delaying action will only amplify risk. Businesses that needed CSRD to push them into action were never true sustainability leaders, and some may not redirect freed-up budgets toward sustainability efforts. However, we believe that other market forces—rising energy costs, supply chain risks, and competitive pressures—will continue to be stronger drivers than regulatory obligations alone.

‍

Why sustainability efforts still matter

‍

Regardless of regulatory changes, sustainability remains critical. Companies investing in corporate and product carbon footprint calculations will still benefit in ways that extend far beyond compliance, including:

• Commitment over compliance: Over 10,000 companies have committed to SBTi, growing 29% YoY. They are moving towards reduction regardless of compliance and will start to engage at least 67% of their value chain.
• Operational efficiency: Energy and process optimization
• Risk management: Navigating higher transport, purchase and energy costs under ETS & CBAM
• Funding access: Unlocking green financing opportunities
• Future readiness: Having more time to thoroughly prepare for inevitable regulatory shifts
• Supplier Engagement: Using these insights to collaborate with your value chain and start driving change sooner

‍

Leaders will continue to lead

‍

Regulations may shift, but true sustainability leaders won’t wait to be told what to do. Many companies already go beyond CSRD requirements, not because they have to, but because they see the business value.

The push for CSRD has sparked widespread awareness—now is the time to channel that momentum into real-world impact. Less focus on reporting, more focus on reduction. Will your company seize the opportunity?

Let’s move forward.

‍