General Counsel

Apr 30, 2025

6 min. read

NIS2 directive regulations and implementation in Estonia

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NIS2 directive regulations and implementation in Estonia

Estonia’s reputation as a digital society means any regulatory change affecting cybersecurity ripples across industries fast. With the looming full implementation of the NIS2 directive (Network and Information Systems 2 Directive) and CER directive (Critical Entities Resilience Directive), businesses and public bodies alike are preparing for a major compliance shift. Let’s explore exactly where Estonia stands with NIS2 transposition, what the new landscape looks like, and how you can position yourself to thrive.

Key take-aways on NIS2 estonia implementation

Estonia has taken a clear, structured approach to adapting the NIS2 directive. The omnibus amendment bill, known officially as the “Küberturvalisuse seaduse ja teiste seaduste muutmise seadus,” serves as the vehicle for implementation. After a public consultation period in early 2024 and a coordination round in early 2025, the government endorsed the draft on 3 April 2025. As of today, it is queued for formal submission to the Riigikogu (Estonian Parliament) with urgency.

Estonia’s approach expands the regulatory scope significantly, from around 3,500 to between 5,500 and 7,000 essential and important entities, with specific thresholds based on employee size and turnover. The lead authority remains the Information System Authority (RIA), working closely with sector-specific regulators and ministries.

The table below outlines the essential categories and standards now shaping Estonia’s NIS2 regulatory framework:

CategoryDefinitionKey Requirements
Essential Entities≥ 250 employees or €50 million turnover24/7 security operations, board-level accountability, compliance audits every 3 years
Important Entities≥ 50 employees or €10 million turnoverGovernance controls, compliance audits every 5 years
Public SectorMinistries and municipalities with ≥ 50,000 inhabitantsMandatory compliance without monetary fines

Transitioning from today’s compliance frameworks to this expanded NIS2 model will reshape risk management expectations across sectors. The clear message: be ready, be early.

Important deadlines and timelines to know

The roadmap for Estonia’s NIS2 implementation” is methodical, but the clock is ticking. If you are part of an affected entity, understanding these key dates is crucial for compliance preparation.

Here’s a consolidated timeline to help you stay on track:

DateMilestoneStatus
16 Feb 2024Consultation draft publishedCompleted
18 Mar 2024Consultation closes (73 comments received)Completed
10 Feb 2025Draft enters inter-ministerial coordinationCompleted
3 Apr 2025Cabinet endorsement of the draftCompleted
May–June 2025Submission to Riigikogu & two readings (urgent procedure)Pending
Sept 2025Publication in Riigi Teataja (official gazette)Planned
1 Jan 2026Law enters into force; CERT-EE portal opensTargeted
1 Apr 2026Self-registration deadlineTargeted
1 Jan 2027Organisational governance controls requiredTargeted
1 Jan 2028Full technical controls and first auditsTargeted

The transition periods for compliance, especially self-registration and implementing internal controls, offer preparation windows but not room for complacency.

How Estonia is implementing the NIS2 directive

The Estonian approach to NIS2 is comprehensive and customized to local needs. Rather than creating an entirely new framework, the government opted to amend its 2018 Cybersecurity Act, layering NIS2 obligations onto familiar structures.

Key features of Estonia’s NIS2 directive transposition include the adoption of all Annex I and Annex II sectors outlined by the European Union, with a national addition to include research institutions. Entities must self-register within three months of the law taking effect.

Risk management obligations, based on Article 21 of NIS2, will be detailed in a regulation aligned with Estonia’s national “E-ITS baseline controls.” Meanwhile, incident reporting introduces a rapid ladder system: early alerts within 24 hours, updates within 72 hours, and a full incident report within 30 days, coordinated via a new CERT-EE/NCSC portal.

By maintaining the RIA as the national CSIRT and designating the Ministry of Economic Affairs and Communications (MKM) as the policy driver, Estonia balances national leadership with sector-specific oversight.

Sanctions and board liability

Estonia’s approach to sanctions under NIS2 is robust and escalating. The stakes are notably higher for non-compliance, with both financial penalties and reputational risks.

The transition to fines based on global turnover ensures proportionate impact, discouraging both casual and systemic non-compliance. Here is how the sanction framework stacks up:

Entity ClassMaximum fineNotes
Essential Entities€10 million or 2% of global turnoverWhichever is higher
Important Entities€7 million or 1.4% of global turnover
Lesser Breaches€300,000 to €2 millionDepends on severity

Beyond monetary fines, failure to comply can result in compulsory penetration tests, cost-recovery mechanisms for supervisory activities, public naming of non-compliant entities, and even a three-year management ban under the Commercial Code for repeated negligence.

This creates a new paradigm where boardroom-level awareness and involvement are non-negotiable. Cyber resilience is no longer a technical issue alone; it is now a core governance matter.

Sector-specific impact

The breadth of industries affected under the new Estonian NIS2 landscape cannot be overstated. This marks a massive shift from narrowly defined critical sectors to a sweeping inclusion of manufacturing, healthcare, and digital infrastructure.

Here is an overview of sector-specific impacts:

SectorChanges vs. previous lawNew duties
Manufacturing (food, wood, electronics)Newly regulated as importantOT/IT segmentation, supplier risk management, annual red-team testing
Energy & UtilitiesLNG, hydrogen, district heating now essentialContinuous monitoring, SBOM sharing, KPIs to regulators
HealthcareFrom ±30 to 150+ providers now essentialISO 27001 compliance, 24-hour incident reporting, quarterly backups
Digital Infrastructure (cloud, DC, DNS, MSP)Essential regardless of size24/7 EU-based SOC, zero-trust architecture, vendor risk management
FinanceHarmonisation with DORA regulationThreat-led penetration testing, dual reporting duties
Public AdministrationMinistries and municipalities now essentialCISO appointment, baseline cybersecurity compliance

Each sector’s expanded duties reflect a fundamental shift: cybersecurity is no longer optional or sector-limited but a national imperative.

What companies should know and do now

If you are a decision-maker in an Estonian organisation, action must start immediately. Early compliance efforts will save time, money, and reputational harm later.

First, review the final draft (EIS 24-1266) and await MKM’s online entity status checker, expected in Q3 2025. Collect and prepare registration data, including EMTAK classification codes and cyber-responsible contacts.

Second, perform a gap analysis against Article 21 requirements, focusing on areas such as multi-factor authentication for privileged users, third-party supplier clauses, and incident drill procedures. Draft standard operating procedures for 24-hour and 72-hour incident reporting timelines, ensuring integration with GDPR data breach workflows.

Finally, involve your board early. Cybersecurity programme approval must be formally recorded, and budget allocations should reflect the demands of initial audits scheduled by 2028 for essential entities.

For a deeper understanding of obligations, consult the European Commission’s official NIS2 Directive page and Estonia’s Information System Authority portal.

Are you ready for Estonia’s new cybersecurity era?

NIS2 represents a watershed moment not just for compliance, but for operational resilience across Estonia’s economy. From essential digital infrastructure firms to medium-sized manufacturers, no organisation can afford to underestimate the sweeping changes under NIS2 Estonia.

Preparation today will ensure you not only meet new legal thresholds but also strengthen your organisation’s capacity to withstand and recover from cyber threats in a rapidly evolving digital landscape. Estonia is setting a high bar — and that, ultimately, is a good thing for everyone relying on its digital economy.

Without hesitation, the time to act is now.

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General Counsel

He is regulatory compliance strategist with over a decade of experience guiding fintech and financial services firms through complex EU legislation. He specializes in operational resilience, cybersecurity frameworks, and third-party risk management. Nojus writes about emerging compliance trends and helps companies turn regulatory challenges into strategic advantages.
  • DORA compliance
  • EU regulations
  • Cybersecurity risk management
  • Non-compliance penalties
  • Third-party risk oversight
  • Incident reporting requirements
  • Financial services compliance

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