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ESG: When it comes to the Omnibus, now we know that we know nothing

Konferencija ESG 2025. Vali Marszalek
Konferencija ESG 2025. Vali Marszalek / Image by: foto Ratko Mavar

Now we know that we know nothing, with these words at the Lider Conference ESG Sustainable Future Vali Marszalek, the director of ESG at Forvis Mazars, announced the regulatory changes that the European Commission’s Omnibus will bring. Namely, it should not be forgotten that regulatory obligations and burdens have become an obstacle to economic growth over the past few years, prompting the Commission to ease them by introducing the Omnibus, a package of proposals for simplifying and postponing certain directives and regulations related to Green business, especially those concerning ESG. Just when domestic entrepreneurs began to seriously prepare, work, and take concrete steps to report clearly and precisely on their business based on ESG criteria, news of a postponement emerged, and we unexpectedly gained more time.

– And then the Omnibus came at the end of February and turned everything upside down – emphasized Marszalek, noting that at the beginning of this month, France passed a ‘stop the clock’ law, Luxembourg will soon follow, and we are all awaiting this. The goal of the Omnibus is precisely to stop the clock that was counting down to the introduction of new obligations in non-financial reporting, and now there will be changes to numerous regulations, such as the taxonomy regulation and two directives that, immediately after their introduction, made it clear that they would impose very challenging requirements on European companies in non-financial reporting. These are the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD). However, one of her statements after the sentence that now we truly know that we do not know when they will be set again caused a real shock among the audience.

– One of the proposals was to postpone all directives until 2040 – said Marszalek to the general dismay of the audience, adding that the postponement is realistic, although it is not known for how long, and that we certainly have time to prepare.

– Now everything is really on the table – said Marszalek.

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Konferencija ESG 2025. Roberta Pozzato

foto Ratko Mavar

At the conference, Roberta Pozzato, an ESG expert at the Italian industrial company Rubinetteria Paffoni, spoke about the company’s path to sustainability, presenting their know-how. The company decided to use eco-friendly packaging for its products, reducing waste and packaging to improve production efficiency and protect the environment. In accordance with EU Directive 2018/852, which stipulates that packaging must be recycled and use recycled materials, Paffoni uses green packaging made from 100 percent recycled paper and cardboard, with eco-friendly inks. This approach not only reduces environmental impact but also allows end-users to dispose of packaging easily with minimal environmental impact.

A panel followed on practical experiences featuring Vladimir Sabo from E.On’s EIS for the markets of Croatia and Slovenia, Judita Cucilić Župa from the European Commission, Carlotta Logli from another Italian company Valvitalia, and Antonija Mršić Radas from BAT.

As the global business community faces various geopolitical and trade challenges, regulatory burdens are becoming an increasing obstacle for many companies. The European Commission heard this message, emphasized Cuculić Župa at the very beginning of the panel. However, instead of abandoning the set goals, the Commission and the European Parliament decided to simplify processes and ease their implementation to preserve competitiveness, but this does not mean that they have given up on sustainability.

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Konferencija ESG 2025. Panel “Održiva Europa – iskustva iz prakse” Vladimir Sabo, Judita Cuculić Župa, Carlotta Logli, Antonija Mršić Radas i Gordana Gelenčer

foto Ratko Mavar

– We listened to what companies want to tell us. Regulatory burdens are a problem, and we have tried to find a balance – said Cuculić Župa, highlighting the importance of achieving sustainability goals without placing unnecessary obstacles in front of the business sector with smart and proportional standards.

The Italian group Valvitalia, which operates globally in the energy, maritime, and civil industries, issued its first sustainability report last year. There were challenges and a lot of work, but we all participated in the creation of that document, from employees to unions and management, and even public administration, said Carlotta Logli from Valvitalia, a group that is very aware of the challenges posed by implementing sustainable practices, but emphasizes that the goal was to respond to ESG requirements sustainably.

A representative from E.OS spoke about how the company encourages its partners, other companies, towards sustainability, especially decarbonization, and directs them towards sustainability.

– In Croatia, we have a number of partners, such as Valamar and Žito, who have strong ESG requirements. Our work enables them to make significant strides in sustainable business – said Sabo, adding that E.OS positions itself as a financing partner, allowing users to pay only for energy, which directly impacts profitability.

The BAT corporation, which focuses on long-term sustainability, has set ambitious carbon emission reduction targets.

– By 2030, we will reduce emissions by 50 percent compared to 2020, and 50 percent of our energy will come from renewable sources – said Mršić Radas from BAT. Additionally, the company has committed to reducing water consumption by 35 percent by 2025, recycling 30 percent of water, and reducing waste by 25 percent, aiming to dispose of less than 1 percent of waste. These goals are not just declarative – results are monitored and regularly published in reports.

Martina Rupčić from ATD Solutions had a presentation on the EU taxonomy and presented the Taxonomy Regulation and the advantages and benefits of aligning business operations with this regulation.

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Konferencija ESG 2025. Martina Rupčić

foto Ratko Mavar

– The regulation has been supplemented with several defined acts that can be considered taxonomically acceptable activities, such as the renovation of existing buildings, transportation by motorcycles, personal vehicles, and bicycles. The next step is compliance with the technical criteria of the EU taxonomy, which will significantly contribute to one or more environmental goals and the criterion of not causing significant harm, as well as social criteria in which compliance with minimum protective measures is demonstrated – emphasized Rupčić, who also presented a tool that can assist in meeting the new conditions.

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