What EU Taxonomy Regulation (EU) 2020/852 - Article 12: Technical Screening Criteria and Do No Significant Harm Conditions requires
Article 12 of the EU Taxonomy Regulation (2020/852) establishes the legal basis for Technical Screening Criteria (TSC) that determine whether economic activities qualify as environmentally sustainable. The Commission adopts TSC by delegated acts for each of the six environmental objectives. TSC specify: (a) the quantitative or qualitative thresholds an activity must meet to substantially contribute to an environmental objective; and (b) the Do No Significant Harm (DNSH) conditions the activity must satisfy for each of the other five environmental objectives. TSC must be based on available scientific evidence and updated as technology and knowledge evolve. The criteria balance environmental ambition with economic feasibility, and must not create undue compliance burdens for SMEs. Article 12 TSC are operationalised through the Climate Delegated Regulation (2021/2139) covering climate mitigation and adaptation, and the Environmental Delegated Regulation (2023/2485) covering the remaining four objectives (water, circular economy, pollution, and biodiversity). TSC are the technical heart of the EU Taxonomy system, determining which investments qualify as green.
Pillar: Sustainability & ESG · Authority: European Parliament and the Council of the European Union · Version: 2.0.0 · Last updated:
Primary source: https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:32020R0852
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Primary Citations — 8 traced to source
- Article 12 — EU Taxonomy Regulation (EU) 2020/852 - Article 12: Technical Screening Criteria
- Annex I (Climate Mitigation TSC) and Annex II (Climate Adaptation TSC) — EU Taxonomy Climate Delegated Regulation (EU) 2021/2139 - Climate TSC Annexes I and II
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