The EU Taxonomy Regulation is an important aspect of the EU Sustainable Finance Action Plan, designed to redirect capital towards sustainable investments, address financial risks associated with climate change, and enhance transparency in financial and economic operations.
Economic activities eligible under the EU Taxonomy Regulation must meet specific criteria. They should substantially contribute to at least one of six climate and environmental objectives, avoid significant harm to other objectives, and adhere to minimum safeguards. There are three categories of eligible activities: those with their own performance, enabling activities, and transitional activities.
This regulation establishes a classification system identifying economically sustainable activities that significantly contribute to the EU's climate and environmental goals.
The EU Taxonomy Regulation has had a considerable impact and is referenced across various regulations, including the SFDR, Non-Financial Reporting Directive, MiFID sustainability preferences, and EU Green Bond Standard.
Companies are mandated to report their alignment with the EU Taxonomy Regulation through a phased approach. Large EU companies, listed SMEs, and certain non-EU companies must disclose their alignment as part of the Corporate Sustainability Reporting Directive (CSRD) phase-in.
Our ESG consulting service offers a tailored approach to help your non-financial undertaking navigate the complexities of the EU Taxonomy and ensure compliance with the regulation. Our team of experts will provide quantitative eligibility and Taxonomy alignment reporting, ensuring that your company meets the requirements of the Taxonomy Regulation (EU) 2020/852.
This product enables your company to precisely evaluate and report its alignment with the EU Taxonomy's criteria in a quantitative manner. By doing so, it facilitates compliance with regulatory obligations, enhances transparency, and showcases your firm's dedication to sustainable economic activities. Ultimately, this service boosts your company's credibility and improves its access to capital, positioning it as a leader in sustainable business practices.
- Assess the eligibility of your company's activities with the taxonomy objectives.
- Determine whether eligible activities meet substantial contribution criteria.
- Assess whether eligible activities "do no significant harm" to any other taxonomy objectives.
- Ensure that eligible activities comply with minimum social safeguards.
- Provide quantitative eligibility and Taxonomy alignment reporting to the Taxonomy Regulation (EU) 2020/852.
Our team will also help you understand the EU Taxonomy and its relationship with other reporting obligations, clarify the way your company can communicate its activities concerning taxonomy, and provide an overview of the EU Taxonomy and its impact on other business activities.
Our ESG consulting service offers a comprehensive and tailored approach to help your financial undertaking navigate the complexities of the EU Taxonomy and ensure compliance with the regulation. Our team will assist you in assessing the eligibility of your products and determining their compliance with the EU Taxonomy, taking into account the SFDR nexus.
This provides your company with a clear understanding of whether your products align with the EU Taxonomy's sustainability criteria.
Eligibility Assessment: Our team will assess the eligibility of your investment products with the taxonomy objectives, ensuring that they meet the sustainability criteria outlined in the EU Taxonomy.
Compliance Determination: We will determine whether your eligible investment products meet the substantial contribution criteria and do not cause significant harm to any other taxonomy objectives.
Minimum Safeguards: Our experts will ensure that your eligible investment products comply with the minimum safeguards as per the EU Taxonomy, further solidifying their alignment with sustainable economic activities.
Quantitative Reporting: We will provide quantitative eligibility and Taxonomy alignment reporting to the Taxonomy Regulation (EU) 2020/852, enabling your financial undertaking to accurately assess and report its alignment with the EU Taxonomy's criteria in a quantitative manner.
SFDR Compliance: Our team will assist you in complying with the Sustainable Finance Disclosure Regulation (SFDR) by helping your company disclose the proportion of your investments that are aligned with the EU Taxonomy, the methodology used to determine this proportion, and the criteria used to determine the taxonomy alignment.
