Ten questions on GRI and the ESRS

1. What do the European Sustainability Reporting Standards (ESRS) underthe CSRD mean for the relevance of the GRI Standards?
Strong alignment has already been reached between the GRI Standards and the ESRS.
This means GRI reporting is highly relevant for companies seeking to comply with
the impact requirements of the ESRS – both now and in the future.

2. How has the alignment between the ESRS and the GRI Standards beenachieved?
EFRAG and GRI have worked together to share technical expertise and co-construct thefirst set of ESRS. Definitions, concepts and disclosures in the ESRS are aligned asmuch as possible with the GRI Standards.

3. What resources are available to help companies to utilize GRI reporting tomeet the new ESRS requirements?
Interoperability and mapping tools have been published to assist companies inpreparing for a first ESRS report. GRI Academy courses are available to explain theCSRD and ESRS, while the new reporting linkage service gives feedback on how toalign a GRI report with the ESRS.

4. What additional support can be expected soon?
GRI and EFRAG are continuing to collaborate, with a key focus on delivering educationand training for ESRS preparers and users. This will include further courses, as well asaligned XBRL digital reporting taxonomies.

5. How will continued alignment between GRI and the ESRS be secured?
GRI and EFRAG are deepening engagement on standards development, including for
sectors and companies outside the EU. New workstreams to deliver practical resources forreporting companies and information users.

6. How does alignment between the GRI Standards and the ESRS contributetowards a well-functioning global reporting system?
The EFRAG partnership is an important part of GRI’s wider engagement with standard settersand regulators around the world, to drive global momentum behind impact reporting,underpinned by the widely-adopted GRI Standards.

7. How are perceptions over double reporting and excessive reporting burden
being addressed?
Interoperability between GRI and the ESRS prevents the need for double reporting andsupports a user-friendly disclosure system. Companies can leverage their existing GRI
reporting to meet and complement CSRD requirements.

8. What are the main differences between the GRI Standards and the ESRS?
GRI has 40 standards on the full sustainability spectrum, whereas the ESRS so far has 12standards. While the GRI Standards and ESRS both focus on the impacts of a company’sactivities on the world, the ESRS also encompass how sustainability topics relate tofinancial health of a company.

9. How does the ESRS relate to GRI's engagement with the International
Sustainability Standards Board (ISSB)?
Alongside GRI’s work with EFRAG on EU standards, we continue to engage with the ISSB on
the new IFRS Sustainability Disclosure Standards. This collaboration reflects a sharedrecognition of benefits for all stakeholders of common disclosures and terminology toequally address impacts as well as financial risks and opportunities.

10. How do the different approaches to materiality used in the ESRS, GRI
Standards and ISSB standards fit together?
The CSRD has a double materiality perspective, requiring companies to report on risks andopportunities for the business and impacts on the wider world. The GRI Standards address
impact materiality on sustainability issues to meet the needs of all stakeholders, while theISSB standards focus on financially material information for investors.

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