ESRS standard · Environment

ESRS E5

Resource use and circular economy

ESRS E5 covers resource use and the circular economy: the materials flowing into and out of your business, and how you keep resources in use and reduce waste. It applies where resource use and circular economy are material - common for manufacturing, packaging, construction and consumer goods.

ESRS E5 in brief

Material inflows and outflows, waste and circularity.

Back to all ESRSHow materiality decides if this applies

In scope

What ESRS E5 requires

  • Policies, actions and targets on resource use and circular economy.
  • Resource inflows (materials and products entering the business).
  • Resource outflows, including products, materials and waste.
  • Waste generated, diverted and disposed of.
  • Anticipated financial effects from resource-related impacts, risks and opportunities.

These requirements sit in the ESRS, adopted as Delegated Regulation (EU) 2023/2772, under the CSRD, Directive (EU) 2022/2464.

Datapoints are changing under the revised ESRS

The ESRS are being simplified under the Omnibus. The Commission published a draft revised delegated act for consultation from 6 May to 3 June 2026, cutting mandatory datapoints by around 60 to 70% and clarifying the materiality filter, with adoption targeted around 17 September 2026 and application from FY2027. The specific disclosure requirements in ESRS E5 may be restructured. Treat the current ESRS 2023/2772 as the law until the revision is adopted. Commission consultation

FAQ

ESRS E5: common questions

What does ESRS E5 cover?
Resource inflows, resource outflows (including products and materials), and waste - plus policies, actions and targets aimed at keeping resources in use and reducing waste.
Who needs ESRS E5?
Companies for which resource use and the circular economy are material - typically manufacturers, packaging-intensive businesses, construction, and consumer-goods companies.

Work out which ESRS apply to you

Your double materiality assessment decides which topical standards you must report. Start there, then explore the rest of the ESRS.

Double materiality guide

This is guidance, not legal advice

This is guidance to help you understand ESRS E5 (Resource use and circular economy), not legal advice. For decisions specific to your business, confirm with the official sources we link or a qualified adviser.

Sources

  1. [1]Delegated Regulation (EU) 2023/2772 (ESRS Set 1) (EUR-Lex)retrieved 8 Jun 2026
  2. [2]Directive (EU) 2022/2464, the CSRD (EUR-Lex)retrieved 8 Jun 2026
  3. [3]EFRAG: European Financial Reporting Advisory Groupretrieved 8 Jun 2026
  4. [4]European Commission: consultation on revised ESRS (6 May 2026)retrieved 8 Jun 2026

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