Please only use this link for references.
See media coverage in Responsible Investor.
See this link for the Japanese version.
The EU has embarked on an effort to introduce sustainable finance regulations, in part motivated by the need to drive climate goals through the financial sector. A key component of this is the Taxonomy which will define which economic activities can be considered “green”. An initial decision on the Taxonomy was made on 18th December 2019 and it is likely to have impacts on both finance and industry globally as a result of increased disclosure requirements and potential pressure to conduct business compliant with the Taxonomy. The Taxonomy is initially focused on climate change issues but will be expanded to cover other environmental issues. Given the implications for a range of industrial sectors, the Taxonomy process was heavily lobbied during 2018-19, with the majority of business lobbyists pushing for a weak outcome.
The InfluenceMap report, The EU’s Sustainable Finance Taxonomy, released December 2019, tracked intensive lobbying by EU trade associations representing finance and industry, on the regulatory process. This research was covered widely in the media in Europe and globally, including in the Guardian, FT and Politico. The following briefing focuses on how Japanese industry associations lobbied the Taxonomy and considers how these lobbying positions contrast with those of some leading European financial institutions.