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EFRAG Heeds Call to Prioritize General ESRS Guidance Over New Sector-Specific Standards

On March 29, the European Financial Reporting Advisory Group (EFRAG) announced that it would start to develop additional guidance for sector-agnostic European Sustainability Reporting Standards (ESRS). In making this...more

The EU ‘Fit for 55’ Package Explained, Along With Its Potential to Spur Litigation

As we have been regularly reporting, the European Union is pursuing major changes in its climate policy. The next significant development is a new legislative policy package, dubbed “Fit for 55.” The planned reforms would...more

European Commission Launches Consultation on EU Climate Targets for 2040

The European Commission has launched a public consultation and a call for evidence seeking opinions on the EU’s intermediary climate targets for 2040. This is a scheduled step in the EU’s ambition to reach net-zero emissions...more

What’s in a Name? ASEAN Taxonomy Version 2 Released

On March 27, the Association of Southeast Asian Nations (ASEAN) Taxonomy Board (ATB), representing ASEAN finance sectoral bodies, released Version 2 of the ASEAN Taxonomy for Sustainable Finance. This follows Version 1, which...more

UK Government Authorizes Consultation to Spur Investment in Nature Recovery Initiatives

On March 23, the British Standards Institution (BSI), the UK National Standards Body, announced the launch of a three-year Nature Investment Standards Programme and related consultation, which aims to stimulate private sector...more

International Accounting Standards Board to Explore Improvements to Climate-Related Disclosure in Financial Statements

On March 23, 2023, the International Accounting Standards Board (IASB) commenced a new “maintenance” project to “explore whether and how financial statements can better communicate information about climate-related risks.”...more

NGOs Urge EC Not to Label Certain Agriculture and Livestock Practices as Sustainable

On March 8, 2023, 25 organizations wrote to the European Commission concerning its treatment of agriculture in the forthcoming Taxonomy Delegated Act, urging them to follow the advice published by their own expert group. The...more

Joint ESAs-ECB Statement on Climate Disclosure for Structured Finance Products

On March 13, 2023, the European Supervisory Authorities (ESAs) and the European Central Bank (ECB), published a Joint Statement on climate-related disclosure for structured finance products. In describing the need for such...more

European Commission Aims to Tackle Greenwashing in Latest Proposal

On March 22, 2023, the European Commission unveiled a proposal, the Green Claims Directive, (Proposal) aimed at combating greenwashing and misleading environmental claims. By virtue of the Proposal, the EC is attempting to...more

UK Local Government Pensions Schemes Will Vote Against Chairs of Oil Companies Failing to Meet Climate Pledges

Border to Coast Pension Partnership (the “Partnership”), a pension pool consisting of 11 UK local government pension schemes, announced that “[o]il majors and banks must make greater progress on climate pledges or risk losing...more

G20 Call for Global Common Framework to Finance Sustainable Development Goals

At the recent G20 Finance Ministers and Central Bank Governors Meeting in Bengaluru, India, attendees called for the creation of a common global framework to facilitate financing the United Nations’ Sustainable Development...more

Global Bank Sued in France Over Fossil Fuel Financing

On February 23, three climate advocacy groups—Friends of the Earth France, Notre Affaire à Tous and Oxfam France—filed a lawsuit alleging that a global financial institution violated Article L. 225-102-4.-I of the French...more

EBA Seeks Input from Credit Institutions on Green Loans and Mortgages

On February 13, 2023, as part of the European Commission’s Strategy for financing transition to a sustainable economy, the European Banking Authority (EBA) launched an industry survey seeking input on green loans and...more

ISSB Announces First Two Sustainability Disclosure Standards to Come Into Force from January 2024

Following strong demand from investors for a timeline, the International Sustainability Standards Board (ISSB) has confirmed that draft IFRS S1 (General Requirements for Disclosure of Sustainability-Related Financial...more

Regulation: EU Reaches Agreement on Carbon Border Tax

Environmental regulators and ministers from across the EU member states provisionally approved the introduction of the world’s first major carbon border tax, the Carbon Border Adjustment Mechanism (CBAM), which will require...more

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