Green finance

The EU taxonomy can strengthen SMEs in the green transition

Small and medium-sized companies stay exempt from the new disclosure rules on the EU’s sustainable finance taxonomy starting in 2022. However corporate leaders would be well-advised to follow its implications, including SMEs, writes Finn Wendland.

How the European Commission is underselling climate action

A blanket 10% rate of interest on borrowing is being assumed for the European Commission's upcoming 2030 package of climate and energy laws. This fails to take into account the present low rates across most European countries, writes Ursula Woodburn.

Climate transition depends on shifting finance

The criteria for the EU sustainable finance taxonomy can show investors and businesses the way to climate neutrality globally and getting the taxonomy right would make the EU a global trailblazer, argue Krista Mikkonen and Bas Eickhout.

Why the Commission is getting it wrong on climate number-crunching

The European Commission's cost-benefit analysis for its upcoming 'Fit for 55' package of green laws for 2030 is outdated, assuming an eye-watering 10% cost of capital for climate action, writes Brook Riley.

How the EU taxonomy can be the tool for dynamic climate transition

The EU’s “sustainable Taxonomy” has been sometimes portrayed as a binary tool defining which economic activities are sustainable and which ones are not. In fact, it can benefit a wide cross-section of Europe’s economy, writes Nathan Fabian.

Adaptation: a backdoor to the sustainable finance taxonomy for fossil gas?

While all eyes have been fixed on the EU Sustainable Finance Taxonomy’s climate change mitigation threshold, the parallel process for climate adaptation has received less attention – to potential detrimental effects, writes Jonas Helseth.

EU taxonomy should be led by science to drive sustainable investment

Meeting the climate target requires rapid realignment and mobilisation of finance at a massive scale. To avoid greenwashing, the EU's sustainable finance taxonomy needs to establish screening criteria, rooted in science and linked to the metrics of climate change, writes Peter Sweatman.

EU green finance rules at risk of deviating from science

Some of the draft emission thresholds contained in the EU's sustainable finance taxonomy are not aligned with climate neutrality and deviate from scientific evidence, raising concerns about political and industry pressure, write Tsvetelina Kuzmanova and Sara Dethier.

The EU’s green finance taxonomy: an Orwellian mechanism

The European Commission’s sustainable finance taxonomy bears all the hallmarks of failed governance: opacity, imprecision, and subjectivity with a punitive approach albeit not assumed, writes Daniel Guéguen. In short, it’s an Orwellian mechanism, he argues.

Finance: becoming green while in the red

Money talks, but it also needs to listen: listen to the demand for change for a financial system that takes account of non-financial issues, from climate change to social inclusion, writes Commissioner Mairead McGuinness.

It’s time for recovery finance to step up

Development banks and finance institutions must step up if we are to make the sustainable recovery needed after the COVID-19 pandemic, write Rachel Kyte and Laurence Tubiana.

Commission must issue green bonds to finance the green recovery

The European Commission has a unique opportunity to issue green bonds to finance the EU's coronavirus recovery plan and ensure overall investment coherence with the Green Deal, write Pascal Canfin and Bas Eickhout.

Green recovery hinges on the right data

EU policymakers are promoting a green recovery. A public-private agency rating companies’ climate performance would help keep it on track, argue Steven Tebbe and Laurent Babikian.

EU climate neutrality is essential, or recovery will be short-lived

A growing number of businesses have recognised the economic benefits of the transition to a carbon neutral economy. It is now critically important that Europe commits to strengthening the Green Deal with a 55% greenhouse gas reduction target for 2030, write Eliot Whittington and María Mendiluce.

Europe needs mandatory non-financial reporting to underpin COVID recovery

With a public consultation in progress for the Non-Financial Reporting (NFR) Directive, the EU Commission has an opportunity to lead the world in refocussing corporate efforts in a post-COVID-19 world, writes Carol Adams.

Emission thresholds in EU green finance taxonomy are too high. Here’s why

Carbon dioxide emission limits in the EU taxonomy suggested by the technical expert group are too high and will make it virtually impossible to reach EU climate goals for 2030 and 2050, argues a group of Swedish lawmakers.

COVID crisis reinforces need for governments to go green

As the world's largest single market, the EU is an influential leader for setting global sustainability reporting standards. While we’ve seen significant growth in the number of organisations reporting sustainability impacts, more needs to be done to improve the disclosures, writes Tim Mohin.

Climate change in the time of coronavirus: How we can green the ECB

If, like Cicero wrote, the sinews of war are infinite money, let’s make sure the funds are being used for the right battles, write Brook Riley and Peter Sweatman.

Europe’s €1.2 trillion low-carbon opportunity

European companies are starting to reap the benefits of low-carbon investment, but must double down on green spending to realise its full potential, write Steven Tebbe and Rob Bailey.

Piecing together Europe’s climate finance puzzle

The climate neutrality puzzle is massive. As EU affairs ministers meet in Brussels today (27 January), they should ensure €260 billion are invested annually to lead a fair and just transition away from fossil fuels, campaigners write.

Juncker Commission stalls EU climate bank in starting blocks

While the European Investment Bank is making efforts to end fossil fuel funding, the Juncker Commission is doing its best to frustrate it – and to undermine Ursula von der Leyen, writes WWF’s Sébastien Godinot.

Why we should back the EIB on ambitious energy policy

As part of putting the Paris Agreement into action, the EU and its Member States should back the European Investment Bank’s proposal to cease fossil investments, writes Sir Graham Watson.

Sustainable finance drive can help address EU’s political challenges

Sustainability and inclusivity have correctly been placed as guiding principles for Europe’s finance policy. The next few months – with decisions on the EIB and the start of a new European Commission – will be decisive in order to put those principles into action, write Tom Jess and Sandrine Dixon-Declève.

European Green Deal calls for a green EU budget

Torn between the cuts caused by Brexit and the investments that the European Green Deal requires, negotiations over the next EU budget after 2020 are getting tough. The EU must not, however, pass on the challenge and use 40% of its funds to support climate action, writes Markus Trilling.