{"id":17659,"date":"2022-09-17T11:18:22","date_gmt":"2022-09-17T11:18:22","guid":{"rendered":"http:\/\/legalblog.ie\/?p=17659"},"modified":"2022-09-25T14:18:26","modified_gmt":"2022-09-25T14:18:26","slug":"sustainable-investment-assessment","status":"publish","type":"post","link":"https:\/\/legalblog.ie\/sustainable-investment-assessment\/","title":{"rendered":"Sustainable Investment Assessment [EU]"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_63 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/legalblog.ie\/sustainable-investment-assessment\/#Assessing_environmentally_sustainable_investments\" title=\"Assessing environmentally sustainable investments\">Assessing environmentally sustainable investments<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/legalblog.ie\/sustainable-investment-assessment\/#Action_plan_on_sustainable_growth\" title=\"Action plan on sustainable growth\">Action plan on sustainable growth<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/legalblog.ie\/sustainable-investment-assessment\/#Criteria\" title=\"Criteria\">Criteria<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/legalblog.ie\/sustainable-investment-assessment\/#Environmental_objectives\" title=\"Environmental objectives\">Environmental objectives<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/legalblog.ie\/sustainable-investment-assessment\/#Activity_list\" title=\"Activity list\">Activity list<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/legalblog.ie\/sustainable-investment-assessment\/#Application_Background\" title=\"Application &amp; Background\">Application &amp; Background<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/legalblog.ie\/sustainable-investment-assessment\/#MAIN_DOCUMENT\" title=\"MAIN DOCUMENT\">MAIN DOCUMENT<\/a><\/li><\/ul><\/nav><\/div>\n<h3><span class=\"ez-toc-section\" id=\"Assessing_environmentally_sustainable_investments\"><\/span>Assessing environmentally sustainable investments<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Regulation (EU) 2020\/852 on establishing a framework to facilitate sustainable investment<\/p>\n<p>It aims to allow investors to know whether an economic activity is environmentally sustainable by setting common EU-wide criteria.<br \/>\nIt amends Regulation (EU) 2019\/2088 on sustainability-related disclosures in the financial sector.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Action_plan_on_sustainable_growth\"><\/span>Action plan on sustainable growth<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>This \u2018taxonomy\u2019 regulation is one of a number of actions designed to help achieve the 3 objectives of the action plan, which are:<\/p>\n<p>to reorient capital flows towards sustainable investments to achieve sustainable and inclusive growth;<br \/>\nto manage financial risks stemming from climate change, natural disasters, environmental degradation and social issues; and<br \/>\nto foster transparency and a long-term outlook for financial and economic activity.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Criteria\"><\/span>Criteria<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The regulation sets out the following criteria to be applied by the EU and EU countries to decide whether an economic activity is environmentally sustainable.<\/p>\n<p>It contributes substantially to 1 or more of the environmental objectives set out in the regulation.<br \/>\nIt does not significantly harm any of these environmental objectives.<br \/>\nIt is carried out in compliance with the minimum safeguards set out in the regulation.<br \/>\nIt complies with technical screening criteria set up by the European Commission in accordance with the regulation.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Environmental_objectives\"><\/span>Environmental objectives<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>For the purpose of the regulation, environmental objectives are:<\/p>\n<p>climate change mitigation*;<br \/>\nclimate change adaptation*;<br \/>\nthe sustainable use and protection of water and marine resources;<br \/>\nthe transition to a circular economy;<br \/>\npollution prevention and control;<br \/>\nthe protection and restoration of biodiversity and ecosystems.<br \/>\nThe regulation sets out the steps that an economic activity must take to make a substantial contribution or to not significantly harm any of these objectives.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Activity_list\"><\/span>Activity list<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The regulation requires the Commission to set out a list of environmentally sustainable activities by defining technical screening criteria for each environmental objective. These criteria will be established by means of delegated acts.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Application_Background\"><\/span>Application &amp; Background<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The regulation has applied since 12 July 2020.<\/p>\n<p>For further information see:<\/p>\n<p>EU taxonomy for sustainable activities (European Commission)<br \/>\nFinancing the climate transition (Council of the European Union).<\/p>\n<p>KEY TERMS<br \/>\nClimate change mitigation: the process of keeping the increase in the global average temperature to well below 2\u00b0C and pursuing efforts to limit it to 1.5\u00b0C above pre-industrial levels, as laid down in the Paris Agreement.<br \/>\nClimate change adaptation: the process of adjusting to actual and expected climate change and its impacts.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"MAIN_DOCUMENT\"><\/span>MAIN DOCUMENT<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Regulation (EU) 2020\/852 of the European Parliament and of the Council of 18 June 2020 on the establishment of a framework to facilitate sustainable investment, and amending Regulation (EU) 2019\/2088 (OJ L 198, 22.6.2020, pp. 13-43)<\/p>\n<p>RELATED DOCUMENTS<br \/>\nCommunication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions: The European Green Deal (COM(2019) 640 final, 11.12.2019)<\/p>\n<p>Regulation (EU) 2019\/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability\u2010related disclosures in the financial services sector (OJ L 317, 9.12.2019, pp. 1-16)<\/p>\n<p>Successive amendments to Regulation (EU) 2019\/2088 has been incorporated into the original text. This consolidated version is of documentary value only.<\/p>\n<p>Regulation (EU) 2019\/2089 of the European Parliament and of the Council of 27 November 2019 amending Regulation (EU) 2016\/1011 as regards EU Climate Transition Benchmarks, EU Paris-aligned Benchmarks and sustainability-related disclosures for benchmarks (OJ L 317, 9.12.2019, pp. 17-27)<\/p>\n<p>Communication from the Commission \u2013 Guidelines on non-financial reporting: Supplement on reporting climate-related information (OJ C 209, 20.6.2019, pp. 1-30)<\/p>\n<p>Directive (EU) 2018\/2001 of the European Parliament and of the Council of 11 December 2018 on the promotion of the use of energy from renewable sources (OJ L 328, 21.12.2018, pp. 82-209)<\/p>\n<p>Directive 2013\/34\/EU of the European Parliament and of the Council of 26 June 2013 on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, amending Directive 2006\/43\/EC of the European Parliament and of the Council and repealing Council Directives 78\/660\/EEC and 83\/349\/EEC (OJ L 182, 29.6.2013, pp. 19-76)<\/p>\n<p>Regulation (EU) No 525\/2013 of the European Parliament and of the Council of 21 May 2013 on a mechanism for monitoring and reporting greenhouse gas emissions and for reporting other information at national and Union level relevant to climate change and repealing Decision No 280\/2004\/EC (OJ L 165, 18.6.2013, pp. 13-40)<\/p>\n<!--themify_builder_content-->\n<div id=\"themify_builder_content-17659\" data-postid=\"17659\" class=\"themify_builder_content themify_builder_content-17659 themify_builder tf_clear\">\n    <\/div>\n<!--\/themify_builder_content-->\n","protected":false},"excerpt":{"rendered":"<p>Assessing environmentally sustainable investments Regulation (EU) 2020\/852 on establishing a framework to facilitate sustainable investment It aims to allow investors to know whether an economic activity is environmentally sustainable by setting common EU-wide criteria. It amends Regulation (EU) 2019\/2088 on sustainability-related disclosures in the financial sector. Action plan on sustainable growth This \u2018taxonomy\u2019 regulation is [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[219,215],"tags":[],"_links":{"self":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/17659"}],"collection":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/comments?post=17659"}],"version-history":[{"count":2,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/17659\/revisions"}],"predecessor-version":[{"id":18397,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/17659\/revisions\/18397"}],"wp:attachment":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/media?parent=17659"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/categories?post=17659"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/tags?post=17659"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}