Legal & Regulatory News

International Platform on Sustainable Finance publishes first phase of the Common Ground Taxonomy

On 4 November 2021, the International Platform on Sustainable Finance (the IPSF) released the first phase of its work on the Common Ground Taxonomy (CGT), which is the result of an in-depth comparison exercise, and which puts forward areas of commonality and difference between the EU and Chinese green taxonomies.

This first phase of the work on the CGT is not intended to form a common taxonomy or standard that is mandatory for IPSF member jurisdictions. The CGT was created using analysis of 80 activities across six sectors set out in the International Standard Industrial Classification of All Economic Activities (ISIC), Rev. 4, namely: (i) agriculture, forestry and fishing; (ii) manufacturing; (iii) electricity, gas, steam and air conditioning supply; (iv) water supply, sewage, waste management and remediation activities; (v) construction; and (vi) transportation and storage. The CGT includes a table which maps out all activities in both the EU and Chinese taxonomies against ISIC as a neutral code so that they can be more easily compared.

The IPSF has called for feedback on the first phase of the CGT by 4 January 2022.

Click here to access the first phase of the CGT.