Teresa Anjinho, the EU's Ombudsman, has asked Commission President Ursula von der Leyen to explain why the executive arm of the EU bypassed standard regulatory procedures in introducing the so-called “Omnibus” package. The proposal, unveiled earlier this year, aims to reduce reporting obligations for small and medium-sized companies under the EU's green finance and due diligence frameworks.

According to the Ombudsman, the Commission failed to carry out key steps required under its own Better Regulation Guidelines, including stakeholder consultations, impact assessments, and internal reviews. The speed and manner in which the proposals were advanced have drawn criticism from civil society groups and environmental organisations, who argue that the changes could undermine the EU's broader sustainability goals.

The inquiry follows complaints received by the Ombudsman's office and adds pressure on the Commission to justify the legal and procedural basis for its initiative. In her letter, Anjinho requested that the Commission clarify how it assessed the potential consequences of the regulatory rollback and whether it adequately considered the views of affected stakeholders.

The Commission now has until mid-September to respond to the Ombudsman's questions.

The Omnibus proposal has become a focal point in the ongoing debate over how the EU balances regulatory burden with its climate and sustainability commitments. Critics warn that rolling back obligations without proper scrutiny may weaken the EU's position as a global leader in sustainable finance and corporate governance.