The leaked European Commission proposal on Sustainable Finance Taxonomy is worrying and infuriating for industries and businesses in Finland and across the Nordics. If implemented, the proposed EU legislation would treat existing carbon-free technologies such as hydro and nuclear separately from new carbon-free technologies like wind and solar. This means that hydro and nuclear – which already ensures electricity production in the Nordic countries is 90% CO2-free – risk becoming labelled as non-sustainable. According to the energy industry, such categorisation would have indirect and significant consequences on the sector since only wind and solar would be eligible for financing. As investing in nuclear and hydro would thus be riskier, investors are more likely to avoid including them in their investment portfolios.
Euractiv 19th Nov 2020 read more »