Article 27, Penalties.
1. Member States shall lay down the rules on penalties, including pecuniary penalties, applicable to infringements of the provisions of national law adopted pursuant to this Directive, and shall take all measures necessary to ensure that they are implemented. The penalties provided for shall be effective, proportionate and dissuasive.
2. In deciding whether to impose penalties and, if such penalties are imposed, in determining their nature and appropriate level, due account shall be taken of:
(a) the nature, gravity and duration of the infringement, and the severity of the impacts resulting from that infringement;
(b) any investments made and any targeted support provided pursuant to Articles 10 and 11;
(c) any collaboration with other entities to address the impacts concerned;
(d) where relevant, the extent to which prioritisation decisions were made in accordance with Article 9;
(e) any relevant previous infringements by the company of the provisions of national law adopted pursuant to this Directive found by a final decision;
(f) the extent to which the company carried out any remedial action with regard to the subject matter concerned;
(g) the financial benefits gained or losses avoided by the company due to the infringement;
(h) any other aggravating or mitigating factors applicable to the circumstances of the case concerned.
3. Member States shall provide for at least the following penalties:
(a) pecuniary penalties;
(b) if a company fails to comply with a decision imposing a pecuniary penalty within the applicable time limit, a public statement indicating the company responsible for the infringement and the nature of the infringement.
4. When pecuniary penalties are imposed, they shall be based on the company’s net worldwide turnover. The maximum limit of pecuniary penalties shall be not less than 5 % of the net worldwide turnover of the company in the financial year preceding that of the decision to impose the fine.
Member States shall ensure that, with regard to companies referred to in Article 2(1), point (b), and Article 2(2), point (b), pecuniary penalties are calculated taking into account the consolidated turnover reported by the ultimate parent company.
5. Member States shall ensure that any decision of the supervisory authorities concerning penalties related to the infringements of the provisions of national law adopted pursuant to this Directive is published, remains publicly available for at least five years and is sent to the European Network of Supervisory Authorities set up under Article 28. The published decision shall not contain any personal data within the meaning of Article 4(1) of Regulation (EU) 2016/679.
Note: This is the final text of the Corporate Sustainability Due Diligence Directive (CSDDD), published in the Official Journal of the European Union in July 2024.