SGI Europe comments on the EU Taxonomy Delegated Act
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On Wednesday 21 April 2021, the European Commission presented its new Sustainable Finance Package, including the EU Taxonomy Climate Delegated Act completing the Taxonomy Regulation adopted in 2020.
Reacting to the EU Taxonomy proposal, Valeria Ronzitti, General Secretary of SGI Europe, said:
"We welcome the adoption of this first delegated act, which provides some reassurance about SGI activities, particularly in the bioenergy sector and in new and innovative technologies, such as hydrogen. However, the Delegated Act remains a very complex proposal which could put off sustainable investors, and leaves questions such as the potential of natural gas to act as a transition fuel pending.”
“For the assessment of ‘Do No Significant Harm’, the principle of proportionality (in terms of company size, investment size, risk profile) should prevail in accordance with risk management practices. As presented, the proportionality principle is impossible to apply in practice, and we call for re-assessing this criterion and providing concrete guidance on its implementation.”
“Whilst recognising the need to act fast in the fight against climate change, the timeframe for implementation of the Taxonomy – from 1st January 2022 – is unrealistic. As it stands now there will be significant practical challenges to implement the Taxonomy, not leaving enough time for the concerned actors to familiarise themselves with the criteria before implementation.”
“As a partner active in the Sustainable Finance Platform, SGI Europe will continue to provide inputs and to further develop the EU Taxonomy and ensure that the Taxonomy concretely supports the EU in meeting its climate and energy ambitions."
You can find more on SGI Europe messages and priorities on our website: www.sgieurope.org.