On Wednesday 30 November 2022, EU-ASE President Monica Frassoni spoke at an event by ERCST titled: The transition plans – beyond sustainable finance?
The idea of presenting a transition plan – i.e., ensuring that the business model and strategy of the undertaking are compatible with the transition to a sustainable economy and with the limiting of global warming to 1.5 °C, in line with the Paris Agreement – will soon turn into a concrete legal obligation. It is mandated by the Corporate Sustainability Reporting Directive and contemplated in other pieces of European sustainable finance legislation: the Corporate Sustainability Due Diligence Directive and the EU Green Bonds Standard. But this kind of requirement expands beyond the sustainable finance realm. For example, the European Parliament wants to reduce the amount of ETS free allocations for companies not having a decarbonisation plan or failing to meet their milestones.
However, it remains unclear how to turn those very forward-looking and complex commitments into real change by individual companies throughout the various business models.
The event aims at identifying the objective, scope, and challenges in addressing the requirement of presenting transition plans in and beyond the EU corporate sustainability framework.
Hosted by the European Roundable on Climate Change and Sustainable Development (ERCST), this hybrid event took plance online and in person.
Find more information about the event here.