Legal & Regulatory News

Taxonomy Regulation: EU Parliament objects to Complementary Climate Delegated Act on nuclear and gas activities

On 14 June, the Economic and Monetary Affairs Committee and the Environment, Public Health and Food Safety Committee adopted a draft objection to the European Commission's proposal to list nuclear and natural gas economic activities as environmentally sustainable.

This objection refers to the Commission's proposed Taxonomy Climate Delegated Act ((EU) 2021/2139) and the Taxonomy Disclosures Delegated Act ((EU) 2021/2178) which seek to classify specific activities for which borrowers can raise green credit. However, both committees noted concerns that by including such activities in any Taxonomy, this would consequentially; increase the complexity of decisions making for investors; create further administrative difficulties and confusion; and ultimately undermine the very purpose of this guide documentation.

This draft objection will now be voted on in the European Parliament, following which the European Parliament will have until 11 July 2022 to decide whether to formally veto this proposal.

Click here to access the Press Release.

Click here to access the draft Objection.