PEEB, together with the Work Area Finance of the GlobalABC, published a briefing on the EU taxonomy and its meaning for buildings.
The EU Taxonomy aims at pushing the financial and industrial sectors towards more investments for climate neutrality in the EU. It does so by establishing a classification framework of sustainable investments. This allows investors to identify which investments are sustainable and can be marketed as such, increasing transparency.
For buildings, technical screening criteria were developed for the construction of buildings, renovation of buildings, sale and ownership of buildings, installation of energy efficient equipment, or for manufacturing in the supply chain. Demonstrating compliance with these criteria requires collecting data and information – likely more than usually available.
The impact of the EU taxonomy is reinforced through a new corporate sustainability reporting directive and a sustainable finance disclosure regulation, which will likely require disclosure against EU taxonomy metrics. It is relevant mainly for actors outside the EU but spillover effects on other markets and jurisdictions are expected.