Double Materiality Assessment

A double materiality assessment is a requirement of the Corporate Sustainability Reporting Directive (CSRD). The assessment facilitates the identification of disclosures which are material and therefore should be included within the CSRD report. Whilst you may be aware of this requirement, Ecomatters can provide you with further guidance on how to apply the double materiality process within the implementation of your company’s CSRD.

A two-sided assessment, double materiality requires companies to evaluate the relevance of a sustainability matter from two perspectives. These are:

1. Inside looking out: This is how your company’s operations and objectives impact environmental, social, and governance (ESG) issues. For example, the use of virgin material within your product decreases natural reserves.
2. Outside looking in: This aspect considers your company in the broader context and considers the influence that external risks and opportunities associated with sustainability have on the financial well-being of your company. For example, extreme weather events disrupt the supply chain.

• Determine your company’s impacts, (financially relevant) risks, and opportunities as required for the CSRD
• Understand internal and external stakeholders’ opinions and perspectives on ESG
• Kick-start the CSRD report development process by understanding what is material

We offer a streamlined approach to double materiality. In a short timeframe, we help you determine which ESG topics are material. External stakeholders are consulted, and internal risk and opportunity identification is facilitated. Outcomes and processes followed are documented for audit purposes in a pragmatic and professional manner. Afterwards, you can move on to the next steps of the CSRD process with confidence.

We have a long track record of executing materiality assessments for GRI and other frameworks and currently support clients with completing the double materiality assessment for their CSRD. We can support you in the following ways:

• Support your double materiality assessment process, either fully or partially.
• Act as an expert on matters or topic level.
• Workshop facilitation and organisation and executing interviews with stakeholders.
• Impact, risk, and opportunities scoring and cut-off decision support.

If you are looking for guidance and support with your materiality assessment or your CSRD reporting, our expert team are happy to help. Contact us through the form below or schedule a call with one of our consultants.

Would you like to discuss double materiality in more detail with one of our experts?