Certo ESG Compliance Agent

What it is

Certo ESG Compliance Agent checks a company's sustainability reporting against the European Sustainability Reporting Standards (ESRS) required under CSRD. It reads sustainability reports and related documents, flags standards with missing or partial disclosures, and produces an HTML report that lists the supporting documents for each standard. Questions are answered by a language model running on local hardware, so confidential documents can be analysed without sending them to an external AI service. The intended users are large and mid-cap companies in Poland and the EU that must report under CSRD.

How it works

Documents are split into chunks, embedded with BGE and indexed in FAISS for semantic search. Retrieved passages go to a Granite 4.0 Tiny model, quantised to 4 bits and run locally through llama.cpp, which answers questions in five context modes: ESRS, general ESG, regulation, gap analysis and summarisation. The HTML report applies fixed rules: each standard is rated complete, partial or missing depending on how many matching documents are found, and the ratings are averaged into a 0–100 score. The documentation lists 26 data sources, including EUR-Lex, ESMA, company reports, market data and climate data.

• E1–E5: climate change, pollution, water and marine resources, biodiversity, circular economy
• S1–S4: own workforce, value-chain workers, affected communities, consumers and end-users
• G1: business conduct

Evidence graph and Regulatory Radar

Later versions added two layers. A relational evidence graph links each regulatory requirement to the controls that address it, the evidence behind those controls and the IT systems in scope, and reports coverage gaps. Regulatory Radar sorts incoming alerts into dismiss, review or escalate, with a short note from the local model on why each one matters; accepted alerts become tasks with an owner and a deadline, exportable as a compliance dossier. The same workflow runs in an offline Electron desktop app. Alerts still come from sample data.

Status

Development has been paused since February 2026; the last commit on the main branch landed on 24 February 2026, and the repository is private. The CSRD/ESRS pack is the most developed; NIS2 is in beta, and DORA and the AI Act remain experimental. The code is a pre-pilot prototype: security hardening and a customer pilot would come before any deployment.