In March 2018 the European Commission published its action plan: financing sustainable growth , calling in Action 1 for an EU classification system for sustainable activities, or Taxonomy that led in in May 2018 to a proposal for a regulation on the establishment of a framework to facilitate sustainable investment (taxonomy regulation). A technical expert group on sustainable finance (TEG) was set up in July 2018 to assist in with the implementation of four key actions of the action plan, including the development of an EU taxonomy and to develop recommendations for technical screening criteria for economic activities that can make a substantial contribution to climate change mitigation or adaptation, while avoiding significant harm to the four other environmental objectives:
On 18 June 2019, the TEG published its technical report on EU taxonomy. The report sets out the basis for a future EU taxonomy in legislation. The report contains:
The EU issued a consultation on the taxonomy that runs to September 13, 2019