CSDDD Future Uncertain as Vote Pushed Back

Fears that abstentions could derail the EU’s Corporate Sustainability Due Diligence Directive (CSDDD) have been realised, as a planned vote on the directive was pushed back indefinitely. It was previously reported that Germany could abstain from the vote, with several other member states potentially following suit. Earlier this week, Germany’s abstention was confirmed, joined by Finland. Italy had not confirmed a stance, but it was widely thought the country would have also abstained. EU Council approval of CSDDD would require support from 15 or more member states, representing at least 65% of the EU population. Isabella Ritter, EU Policy Officer at ShareAction, branded the decision to postpone the vote as “outrageous”, calling the delay a “leadership failure, jeopardizing lives and the well-being of the planet”. The most likely scenario at this stage is at least some parts of CSDDD will be renegotiated between Council and Parliament. It is also unlikely there will be any notable movement ahead of the EU elections later this year, significantly delaying the legislation. “Today’s postponement endangers the four years of work done in good faith,” said Julia Otten, Senior Policy Officer at Frank Bold, an independent purpose-driven law firm. “It is now the moment for the Belgian presidency to ensure agreement within the Council while preserving the key elements of the political agreement reached in December. We call on all member states to constructively finalise this crucial piece of legislation.” 

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