B7: Resource Use, Circular Economy and Waste Management
Disclosure requirements for circular economy principles, waste generation and material flows.
In brief
VSME disclosure requirement B7 covers resource use, circular economy and waste management, meaning the company's material use as well as the amount and treatment of waste generated. There is a reporting threshold that affects how detailed the waste data must be. The page also provides methodological guidance for calculating the share of waste diverted to recycling.
VSME Standard Reference
The following content is extracted from the official EFRAG Voluntary Sustainability Reporting Standard for non-listed SMEs (VSME), December 2024.
View original VSME Standard (PDF)Selko Insights
Reporting Threshold for Waste Data
According to the VSME standard, companies that only generate normal household waste are not required to report their annual waste generation. At Selko Report, we instruct our users to complete a full waste accounting if any waste outside of normal household waste is generated. This ensures comprehensive disclosure for companies with meaningful waste streams while reducing reporting burden for office-based businesses.
Calculating Waste Diverted to Recycling
When reporting waste diverted to recycling or reuse, Selko Report follows the VSME interpretation: report the amount of waste sorted and sent to recycling operators (e.g., waste placed in recycling containers). It is not necessary to track the amount actually recycled by the operator. Include separately collected fractions such as paper, cardboard, plastic, biowaste, glass, and metal. Residual waste (mixed waste) should not be included in this figure. Hazardous waste should only be included if you have specific confirmation from your waste operator that it is sent for recycling or regeneration rather than disposal or incineration.
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VSME disclosure B4: emissions of pollutants to air, water and soil, and how to report them.
Read moreB6: Water
VSME disclosure B6: water withdrawal and water consumption, and how to report them.
Read moreVSME standards: a guide for SMEs
What does the VSME standard require? We walk through the Basic Module B1-B11 and Comprehensive Module C1-C9 from an SME perspective.
Read moreReady to make progress?
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