Context
Recent regulatory updates mark a temporary pause in reporting obligations for large companies.
However, the Italian production structure is predominantly composed of small and medium-sized enterprises (SMEs), which therefore represent key players in achieving the sustainability goals of the United Nations 2030 Agenda (the so-called SDGs) and the climate neutrality target by 2050 set by the European Union.
To support SMEs in their transition process, the Ministry of Economy and Finance (MEF) established the Coordination Table on Sustainable Finance (hereinafter referred to as the Table) with the goal of promoting dialogue between banks and SMEs. This initiative takes into account both the needs of stakeholders and European developments—such as EFRAG's VSME Standards—as well as national regulations, such as the introduction of insurance coverage against natural disasters included in the 2024 Budget Law.
In June 2024, the Table launched a six-week public consultation, collecting feedback from interested parties. The results were published in the updated document released in December 2024.
Key updates to the voluntary sustainability statement: what has changed after the MEF consultation?
The feedback received from stakeholders led to substantial changes across all sections of the document. Here are the main updates introduced:
General information
- The disclosure related to revenues by specific sectors has been removed.
- Greater detail is now required regarding organizational structure: a more in-depth description is requested, especially in the presence of more structured corporate governance, even in cases of voluntary compliance with corporate governance principles.
- More emphasis is placed on business strategy, including:
- the requirement to explain how sustainability goals are defined,
- an outline of the strategies adopted to improve ESG performance (particularly if the company has adopted or intends to adopt a transition plan for climate change mitigation).
EU Taxonomy (climate mitigation and adaptation objectives)
- The KPI related to operating expenses (OPEX) has been removed.
- Disclosures have been eliminated regarding:
- revenue from high climate impact sectors,
- the value of assets exposed to transition risk.
Environment
- New objectives have been introduced concerning:
- reduction of water consumption,
- protection and restoration of biodiversity,
- improvement of circular resource management.
Society and workforce
- In addition to policies on workers’ rights, a section has been introduced on the procedures adopted by the company to ensure their effectiveness.
- The disclosure on the human rights due diligence process has been removed.
- The reporting window for human rights violations has been extended to the last three fiscal years.
- Greater detail on protected categories: the disclosure has been expanded regarding the number of employees belonging to these categories, both in relation to legal minimums and to company needs.
- Training: the disclosure now includes details on the type of training (mandatory and non-mandatory), with specific information on the topics covered.
- A new section has been added outlining the impact on workers, communities, and local areas, with the goal of describing initiatives undertaken to minimize negative impacts, mitigate risks, and promote opportunities.
Governance and Business Conduct
- A distinction has been introduced between types of sanctions (monetary and prohibitory) for violations of laws against active and passive corruption.
- Information regarding sanctions for environmental violations has also been added.
Why these updates are relevant for SMEs
These changes represent a significant step toward clearer and more consistent reporting within the national context.
For SMEs, the updates offer the opportunity to strengthen their market positioning, access public tenders and subsidized loans, and adequately prepare for future changes.
Technesthai, with its financial planning product - Dynamic Business Planner (DBP) - has activated the Dynamic Sustainability Report module with the specific goal of supporting SMEs in ESG reporting: the module already includes the ability to create a sustainability report aligned with the MEF methodology and compliant with European regulations, as well as enabling specific investment plans to improve ESG performance.
Visit our Products page to learn more.