What happened
The European Commission adopted Delegated Regulation (EU) 2026/1560 on 3 July 2026. The measure supplements Directive 2013/34/EU and creates sustainability reporting standards that eligible entities may choose to apply voluntarily.
The regulation supplies a defined vocabulary for sustainability disclosures. Its terms address climate-change mitigation and adaptation, total greenhouse-gas emissions before removals or adjustments, biodiversity-sensitive locations, and circular-economy principles. It also covers governance, corruption, bribery, workplace safety and labour-related topics.
The social definitions extend to an entity’s employees, non-employee workers, affected communities, consumers and end-users. They include concepts relating to child labour, forced labour and human trafficking.
Why it matters
Consistent terminology can help organisations structure sustainability information across operations and value chains. For example, the regulation distinguishes emissions associated with purchased electricity, heat, steam and cooling from other reporting concepts, while defining gross emissions without deductions for carbon removals.
Its biodiversity terminology also identifies protected and scientifically recognised areas, including Natura 2000 sites, Ramsar sites and Key Biodiversity Areas. This gives preparers a reference point when describing locations and impacts.
What to do next
Organisations considering voluntary use should compare their existing data definitions with those in the regulation, particularly for emissions, workforce issues, governance and site-level environmental information. They should also identify where information from upstream or downstream business relationships may be needed.
The Official Journal text should be used as the reference for the regulation’s detailed definitions and reporting approach.
