Taxonomy Regulation
This Regulation establishes an EU classification framework for sustainable investment, setting uniform technical screening criteria to determine whether an economic activity qualifies as environmentally sustainable. It applies to financial products made available by financial market participants, corporate bonds issued, related measures adopted by Member States and the Union, and undertakings that publish a non-financial statement. Its core aim is to channel capital towards environmentally sustainable economic activities and to prevent greenwashing through transparency and disclosure requirements.
Timeline
- 12 Jul 2020Entry into force
- 31 Dec 2020- Article 10 (climate change mitigation) and Article 11 (climate change adaptation)
- 31 Dec 2021- Article 12 (water resources), Article 13 (circular economy), Article 14 (pollution prevention), Article 15 (biodiversity)
- 31 Dec 2021AuthoritiesCommission report on extension
- 1 Jan 2022- Climate-related environmental objectives (Article 9(a) and (b))
- 13 Jul 2022AuthoritiesDeadline for Commission report: first report by
- 1 Jan 2023- Other environmental objectives (Article 9(c) to (f))
Key facts
- Reference
- Regulation (EU) 2020/852
- Adopted
- 18 Jun 2020
- Published
- 22 Jun 2020
- Status
- In force
- Topic
- Sustainable Finance
- Industries
- Cross-sector, Financial Services
Main compliance requirements
Paid members only
The main compliance requirements, applicability questions and penalties are available in the ZC Smart Compliance Hub. Paid members and clients can sign in to the Hub to view them.
Related legislation
- Amends Regulation (EU) 2019/2088, extending to the sustainability disclosure obligations of financial market participants
- relates to the non-financial statement requirements of Directive 2013/34/EU
- linked to the definition of issuer in Regulation (EU) 2017/1129
- applies, on a supplementary basis, the supervisory framework established by Regulations (EU) No 1093/2010, 1094/2010 and 1095/2010 (European Supervisory Authorities).
Official sources
Regulation (EU) 2020/852 on the establishment of a framework to facilitate sustainable investment