THE EUROPEAN Parliament has adopted a new Taxonomy Regulation – a key piece of legislation that will boost private sector investment in green and sustainable projects.
It will help create the world’s first-ever “green list” – a classification system for sustainable economic activities – that will create a common language that investors can use everywhere when investing in projects and economic activities that have a substantial positive impact on the climate and the environment.
Valdis Dombrovskis, Executive Vice-President responsible for Financial Stability, Financial Services and Capital Markets Union, commented on the news: “The adoption of the Taxonomy Regulation marks a milestone in our green agenda.
“It creates the world’s first ever classification system of environmentally sustainable economic activities, which will give a real boost to sustainable investments.
“It also formally establishes the Platform on Sustainable Finance.
“This Platform will play a crucial role in the development of the EU Taxonomy and our sustainable finance strategy over the coming years.”
By enabling investors to re-orient investments towards more sustainable technologies and businesses, this piece of legislation will be ‘instrumental for the EU to become climate neutral by 2050.’
As set out by the Regulation, the Commission has also launched today a call for applications for members of the Platform on Sustainable Finance.
This platform will be an advisory body composed of experts from the private and public sector.
It will assist the Commission in the preparation of technical screening criteria (the so-called ‘delegated acts’), which will develop the taxonomy further.
They will also advise the Commission on the further development of the EU Taxonomy to cover other sustainability objectives and provide advice on sustainable finance more broadly.
The call for applications for the Platform on Sustainable Finance will be open until 16 July 2020.
