EU reviews green taxonomy rules
On 7 November, the European Commission launched a fresh call for evidence on amendments to the Climate and Environmental Delegated Acts under the EU Taxonomy Regulation. The consultation, which closes today, seeks stakeholder views on how to improve the technical screening criteria that determine which economic activities qualify as environmentally sustainable.
The EU Taxonomy, first established in 2020, forms the backbone of the EU’s sustainable finance framework. It aims to create a common classification system for green investments, supporting greater transparency and limiting greenwashing. The current initiative focuses on refining the criteria within Delegated Acts (EU) 2021/2139 and (EU) 2023/2486, following feedback that certain provisions are difficult to interpret, document, or implement consistently.
As the legislative review proceeds, a coalition of industry associations has issued a joint statement urging the European Parliament not to object to the amended Delegated Act during its December 2025 vote. They warn that last-minute changes would create regulatory uncertainty, increase compliance costs, and disrupt the implementation efforts already underway across thousands of companies. Their appeal highlights the need for stability and clarity, particularly given the fast-approaching 1 January 2026 application date.
While this is a different kind of “taxonomy” than the one familiar to XBRL professionals, it is a reminder of how evolving sustainability standards can ripple through digital reporting requirements. Any changes to the Delegated Acts could affect the data points disclosed under the Corporate Sustainability Reporting Directive (CSRD) and, in turn, the future of structured ESG data in Europe.
Read more about the consultation and its implications via EU Today.
