Screening for Sustainability: Implementing the European Green Deal through the EU Taxonomy Regulation

The key question addressed by this project is: how can international law contribute to the implementation of the European Green Deal and its screening of sustainable economic activities?

The EU responded to the economic crisis triggered by the Covid-19 pandemic with the second largest recovery package in the world. Yet, the EU and the world also face a climate emergency, responses to which can no longer be postponed. Thus, the EU must ensure that the economic recovery is both rapid and sustainable.

To this end, EU expenditures must deliver on the promises of the European Green Deal: contribute to EU 2030 emissions targets; and achieve EU climate neutrality by 2050.

To select investments that align with such objectives, the EU Taxonomy introduces new screening criteria to identify economic activities which are environmentally and socially sustainable.

The project will examine, from an international law perspective, the way in which ‘sustainable’ economic activities will be identified in practice.

It will clarify the normative content of the screening criteria and examine their interaction with standards for sustainable investment and the implementation of the SDGs.

At a time of increased legal claims against states for climate inaction, it is vital that these screening criteria are compatible with existing international standards, to prevent delays resulting from future litigation, as this would derail action plans for climate change and the economic recovery.