Consultation Responses

Response to consultation on EU Taxonomy Minimum Safeguards

ShareAction welcomes the Platform for Sustainable Finance's report on minimum Safeguards, and the opportunity to provide feedback. The Minimum Safeguards are a key, yet often overlooked, element of the Taxonomy Regulation. The Minimum Safeguards stipulation ensures that the Taxonomy Regulation incentivizes a just transition, in which social crises are not aggravated by solutions aimed at addressing climate and environmental crises. A further elaboration of the Minimum Safeguards is required to provide businesses and investors that wish to declare their activities as Taxonomy compliant with much needed clarity. Without this clarity, interpretation is left to the market which will cause confusion and may facilitate “social washing”. We strongly urge the European Commission to swiftly follow up on the report by developing a delegated act that follows the key recommendations of the report.