ESRS E4 Data Points – What You Need to Know

Introduction

Navigating ESRS can be complex, but EFRAG’s breakdown of data points simplifies the process, making it clearer what’s required for biodiversity and ecosystem reporting under ESRS E4.

Mandatory vs. Voluntary

1. Mandatory: These data points are essential for compliance, identified by “shall” in the legal text. Companies must report on these after a materiality assessment.
2. Voluntary: These data points are optional and marked by “may.” Businesses can choose to report based on their relevance.

Types of Data Points

1. Narrative: Contextual descriptions (e.g., explaining biodiversity policies).
2. Semi-Narrative: Short text responses like yes/no or dropdowns (e.g., biodiversity offsets [yes/no]).
3. Numerical: Quantitative data such as areas, numbers, or financial figures (e.g., area of sites near protected areas).

Conclusion

While purely numerical mandatory data points in ESRS E4 are few, data is still critical for semi-narrative and narrative disclosures. For instance, businesses must disclose their impact on biodiversity-sensitive areas—something only possible with the right data foundation.

At Leeana, we provide the data points you need to comply with ESRS E4. Book a demo to see how it works!

Sources

EFRAG, EFRAG IG 3 List of ESRS datapoints - Explanatory note, available at https://www.efrag.org/sites/default/files/sites/webpublishing/SiteAssets/EFRAG%20IG%203%20List%20of%20ESRS%20Data%20Points%20-%20Explanatory%20Note.pdf