Storytelling in ESG Reporting: CSRD, ESEF and iXBRL Explained

As Omnibus negotiations and due diligence continue, the first CSRD-compliant, ESRS-aligned sustainability reports are going live. These dense, detailed documents represent the hard work of stretched reporting and sustainability teams, yet meeting the technical standards alone isn’t enough. To fulfill the Corporate Sustainability Reporting Directive’s (CSRD) goal of transparency and stakeholder engagement, companies must go beyond compliance. They must tell clear, compelling stories with their ESG disclosures.

Why Storytelling Matters in ESG Reporting

As we enter the next CSRD reporting cycle, in-scope companies are evolving their sustainability disclosures to meet phase-in requirements. But effective ESG reporting is not just about meeting standards; it’s about delivering information in a way that's meaningful and accessible. Storytelling plays a vital role in:

• Engaging investors and stakeholders

• Demonstrating integrated thinking

• Showcasing long-term sustainability strategies

By connecting the dots between different data points and KPIs, companies can tell a cohesive story that highlights how they create value for people and the planet.

The Shift Toward CSRD and ESRS Compliance

The European Sustainability Reporting Standards (ESRS) and the CSRD require companies to report on a broader range of environmental, social, and governance factors than ever before. But this increase in disclosure complexity also opens the door to confusion, especially if reports are not well-structured or user-friendly. Improved design, layout, and narrative flow help stakeholders quickly find material sustainability information and understand its significance.

Digital ESG Reporting: ESEF and iXBRL Explained

The introduction of the European Single Electronic Format (ESEF) and iXBRL (Inline XBRL) for digital reporting means companies can now create sustainability reports that are both compliant and engaging. With iXBRL, ESG reports become machine-readable, searchable, and comparable, without sacrificing visual design or storytelling impact. Whether you’re aligning with GRI, ISSB, or CSRD, digital tagging formats are rapidly becoming the norm. In fact, iXBRL is expected to become mandatory for many EU issuers in the near future. As more investors and regulators rely on digital tools to analyse reports, structured data ensures both accessibility and accuracy.

Tools That Enable Compliant, Story-Driven Sustainability Reporting

Reporting experts ARKK provide an ESG digital tagging solution that allows companies to embed iXBRL tags into fully designed reports, so they stay visually appealing while meeting ESEF and CSRD standards. Their platform enables:

• Fast and accurate tagging

• Seamless integration with existing report designs

• Reports that are both compliant and compelling

Pomelo-Paradigm: Collaborative Disclosure Management

Pomelo-Paradigm, software and consulting experts, offer a collaborative platform that simplifies CSRD reporting with:

• Agile project management features

• Real-time stakeholder collaboration

• API integrations across financial, ESG, and carbon data
  With Pomelo, sustainability and reporting teams can save up to 20% of their time, centralise their workflow, and reclaim the human side of the reporting process.

Join Our ESG Storytelling Webinar

To support organisations navigating the intersection of storytelling and regulatory compliance, ARKK, Emperor, and Pomelo-Paradigm are co-hosting a free webinar:
Date: September 16, 2025
Time: 10am BST / 11am CET
We’ll explore:

• How to meet CSRD and ESRS requirements

• Ways to integrate storytelling in ESG disclosures

• Practical tools for digital compliance (iXBRL, ESEF)

FAQs

What is CSRD in ESG reporting?

The Corporate Sustainability Reporting Directive (CSRD) is an EU regulation that mandates detailed and standardised sustainability reporting for large companies operating in the EU.

What is iXBRL and how does it relate to ESG?

iXBRL (Inline eXtensible Business Reporting Language) allows ESG and financial reports to be both machine-readable and human-readable, enabling better data analysis and regulatory compliance.

Final Thoughts

The age of data-driven ESG disclosures is here, but that doesn’t mean we should lose the narrative. With the right approach, design, and tools, your company can create sustainability reports that are compliant, impactful, and memorable. Want help telling your ESG story? Join our webinar and explore how digital tools can support both compliance and creativity.