Sustainability and ESG Reports

What a sustainability report is

A sustainability report, also known as an ESG report, is the document through which an organisation communicates its environmental, social and governance (ESG) performance to its stakeholders: shareholders, clients, employees, public authorities and financiers. It includes quantitative data (emissions, resource consumption, workforce) and qualitative data (policies, governance, risk management) that allow the organisation's impact and commitment to be assessed beyond its financial results.

European regulatory framework and the situation in Spain

Corporate sustainability reporting in the European Union is governed by the CSRD (Corporate Sustainability Reporting Directive), which replaced the earlier Non-Financial Reporting Directive. The Omnibus I Directive, published in 2026, has significantly amended the scope of this obligation, raising the thresholds of affected companies and simplifying the European Sustainability Reporting Standards (ESRS).

In Spain, the transposition of the CSRD is being channelled through the Sustainability Information Act (Ley de Información Empresarial sobre Sostenibilidad, LIES), whose passage has been repeatedly adjusted as the European regulatory changes progress. While this process is being completed, large companies and listed entities remain subject to Spanish Law 11/2018 on non-financial reporting, with supervisory bodies recommending early application of the European ESRS standards. Equivalent national transpositions apply across all EU member states.

Since the regulatory framework is subject to frequent changes in thresholds and deadlines, we recommend verifying the specific situation of each organisation before planning the first report, as the scope of the obligation can vary depending on size, stock-market listing and the reference financial year.

What a sustainability report contains

Regardless of the applicable regulatory framework, a rigorous sustainability report usually includes:

• Double materiality analysis, identifying which sustainability issues are relevant both for their impact on the environment and for their financial risk to the organisation.
• Environmental information: carbon footprint, resource consumption, waste management, biodiversity and land use.
• Social information: workforce, working conditions, equality, training, relations with the local community.
• Governance information: ethical policies, risk management, board composition, regulatory compliance practices.
• Quantifiable objectives and targets for improving performance in each area, with annual monitoring of progress.

Why produce a report even when it is not mandatory

Many organisations with no direct legal obligation produce sustainability reports for practical reasons:

• They are part of the supply chain of large companies that need to report their own ESG information, including their suppliers.
• Access to financing that prioritises organisations with a documented and verifiable sustainability commitment.
• Competitive advantage in public tenders that weight sustainability criteria in the award.
• Reputational communication towards clients, employees and the local community.

Common mistakes in drafting

The most common issues we find when reviewing sustainability reports are:

• Generic content without verifiable quantitative data, which reduces the document's credibility with investors and authorities.
• Absence of a double materiality analysis, merely listing actions without justifying their relevance.
• Lack of consistency between the report's data and other organisational documents (carbon footprint, financial reports).
• Failing to update the content in line with recent regulatory changes, presenting outdated information against current standards.

Why choose Ideas Medioambientales

We draft sustainability reports and ESG reports by integrating the rest of the corporate sustainability services we offer: carbon footprint, water footprint, equality plans and socioeconomic impact studies. This allows us to provide verifiable technical data rather than generic statements, and to keep the content up to date as the European and Spanish regulatory framework evolves.

Tell us the size, sector and situation of your organisation and we'll tell you whether you have a regulatory obligation to report and what scope of report you need.