CSRD Directive: what changes for fleet management?

Fleet management is about to undergo some major changes. The European Corporate Sustainability Reporting Directive (CSRD) will come into force on December 7, 2023. This law aims to harmonize sustainability reporting, improve corporate responsibility in terms of sustainable development and transparency in their CSR approach.

Find out in this article about the main changes to be expected and the new features that will have an impact on fleet management.

1 What is the CSRD Act?

The European CSRD Directive is a new regulation that will be phased in gradually, according to certain criteria. It will require over 50,000 companies to disclose information on corporate social responsibility (CSR) issues. This will have to be included in their financial reports from January 2024.

This directive replaces the NFRD (Non-Financial Reporting Directive). In other words, companies will have to include more qualitative and precise information on their social and environmental impact in their "traditional" financial reports.

2. Am I concerned by the CSRD?

European companies

3. Changes and consequences for fleet management :

• Mandatory reporting on CO2 emissions. Companies will have to provide information on the CO2 emissions of their vehicle fleets. They will also have to report on the measures taken to reduce these emissions. In this respect, fleet management solutions such as the OptimumThey provide valuable indicators of the environmental impact of vehicle fleets. They also enable concrete actions to be taken to reduce and optimize vehicle CO2 emissions. More broadly, it contributes to optimizing professional mobility. For example, by analyzing and optimizing driving behavior, car-sharing/car-pooling, alternative mobility.

• An analysis of the business risks associated with climate change. Companies are encouraged to identify, mitigate and report on the negative impacts and risks of climate change on their business.

• Taking negative externalities into account. Companies will have to take into account negative externalities, such as air pollution and road accidents, in their fleet management. This includes assessing the impact of these externalities on the company's financial performance, and implementing strategies to mitigate them.

4. What's new and what needs to be changed :

• Harmonized sustainability reporting. Companies will have to use a standardized format for their sustainability reports, which will make it easier to compare companies and improve transparency.

• External verification of sustainability reports. Sustainability reports must be verified by an independent third party, to reinforce the reliability of the information provided. (Statutory auditor or accredited independent third-party organization)

• An extension of the directive's scope. The CSRD will apply to a greater number of companies than at present.

5. CSRD implementation timetable

In a nutshell

The climate emergency is now very real. Companies of all sizes are encouraged to make their contribution. For several years now, there has been a proliferation of measures (LOM, ZFE, etc.) aimed at minimizing the environmental impact of vehicle fleets and business travel. To facilitate this transition to more sustainable mobility, it is imperative that companies equip themselves with tools to measure and reduce their carbon footprint.

Specializing in connected vehicles and professional mobility since 2006, Optimum helps companies and public authorities optimize their mobility, both financially and environmentally.