Double materiality. The guiding principle for sustainability reporting Double materiality, in essence, reflects the new practical nature of sustainability reporting and the recognition that impact, and financial reporting are interconnected and that reporting ideally should be one holistic process For more information on taking this approach, please contact policy@globalreporting org
GRI - Understanding materiality can unlock accountability The basis of this overarching system has to be double materiality That is the only way to achieve the comparable and effective reporting needed to drive corporate accountability ” The GRI Perspective is a regular series, launched in January 2022, that dives under the surface of topical themes in the world of sustainability reporting
The double-materiality concept - Global Reporting Initiative The double-materiality concept as ‘guiding principle’ in the GRI Standards From climate change and biodiversity loss, to growing inequality, modern slavery, and scarcity of resources, our society and planet face the most significant challenges of all times The task of building a sustainable future is a shared responsibility for us all By doing business in a way that aligns long-term
500 - globalreporting. org A flexible framework for creating standalone sustainability or non-financial reports, or integrated ESG reports Download the Standards Access individual Standards or the entire set for free Sector program Find out about reporting within sectors, and our new Sector Standards Program Global Sustainability Standards Board (GSSB) GRI’s standard setting activities are governed by the GSSB
CSRD ESSENTIALS - Global Reporting Initiative materiality ’ They will also have to gauge how sustainability issues, in turn, affect their bottom-line or ‘sustainability-related financial materiality ’ This will help make economic activity more ethical and clea
The materiality madness: why definitions matter Financial materiality and impact materiality together under the umbrella of ‘double materiality’ are the only relevant forms of materiality, with both perspectives needed in a two-pillar structure - for financial and sustainability reporting - with a core set of common disclosures and each pillar on an equal footing
Impact materiality: a pre-condition for financial resilience Embracing impact materiality is a necessity for measuring financial resilience According to Peter Paul, disclosing corporate sustainability impacts is becoming essential to financial decision-making
Global Reporting Initiative They provide crucial input for identifying financial risks and opportunities related to the organization’s impacts, and for financial valuation This in turn helps in making financial materiality judgments about what to recognize in financial statements
‘Double materiality strengthens EU’s competitiveness’ In a letter to the European Commission by GRI’s newly appointed CEO Robin Hodess, she outlines that double materiality strengthens Europe’s competitiveness and delivers the decision-useful data required by investors and other stakeholders