Webinar: EU Taxonomy for sustainable activities and Japan’s policy on carbon neutrality
Financing for climate change mitigation: EU Taxonomy for sustainable activities and Japan’s policy on carbon neutrality
The EU taxonomy - a classification system establishing a list of environmentally sustainable economic activities – is expected to:
- helping the EU scale up sustainable investment and implement the European green deal.
- providing companies, investors and policymakers with appropriate definitions for which economic activities can be considered environmentally sustainable.
- creating security for investors, protecting private investors from greenwashing, helping companies to become more climate-friendly, mitigating market fragmentation and shifting investments where they are most needed.
The EU Taxonomy is not the only tool set out by the EU to make the financial system more sustainable. The Strategy for financing the transition to a sustainable economy, adopted in July last year aims to support all companies and financial institutions, whatever their starting point in the transition, on a pathway toward EU’s sustainability goals. To this end, the Strategy focuses on facilitating transition finance, supporting a more inclusive sustainable finance framework, strengthening work on resilience and impact of the financial sector and adapting to a renewed global ambition.
In Japan, toward the 2050 Carbon Neutral goal and the 2030 GHG Reduction by 46%, the government has formulated the Green Growth Strategy to show the future directions of major sectors of industries. Further, recently, the government has shown the Clean Energy Strategy to guide energy conversion path on the demand side and the entire economic, social and industrial structure. METI will introduce these vision and strategy toward the net-zero goal of Japan.