2.1 Definition
The double materiality principle assesses the material outward impact of a company on the economy, environment, and people (including human rights), as well as the sustainability components that are financially material to the company and its stakeholders.
The double materiality principle was introduced by the European Union in its Non-Financial Reporting Directive (NFRD). This principle is also applied in the context of the European Sustainability Reporting Standards (ESRS) and the Global Reporting Initiative (GRI). Since 2023, the application of the double materiality principle has also been a requirement under Swiss regulatory guidelines.