Normativity and sustainability reporting regulation

Abstract

This chapter introduces the transition from a voluntary to a mandatory sustainability reporting regime. It briefly discusses the lifecycle and conditions required for the emergence of norms (i.e., practices considered binding) around sustainability reporting regulation. The chapter presents the paradigmatic case of the European Union Corporate Sustainability Reporting Directive to assess whether a norm can emerge in this setting. For this purpose, students must discuss the extent to which they consider the Directive as integrated within a coherent regulatory framework that aligns with previous practices and possesses sufficient clarity to reflect on whether the changes it introduces in sustainability reporting practices can be considered legitimate enough to be internalized by companies.