Sustainability regulations

Policies with a direct financial impact
affect the costs of goods and services through taxes or incentives.

Carbon Border Adjustment Mechanism (CBAM)

In brief: A reporting obligation for importers that will impose a carbon cost based on the embedded emissions of certain goods brought into the EU.

Corporate Sustainability Reporting Directive

In brief: Requires large companies to disclose information on their environmental, social, and governance impacts.

Corporate Sustainability Due Diligence Directive

In brief: Obligations for large companies regarding actual and potential adverse impacts to human rights and the environment, with respect to their own operations and those of their subsidiaries and business partners.

EU Emissions Trading System

In brief: A cap-and-trade system on emissions in the EU that will increase prices for industry, transport and aviation, shipping, and the built environment.

Green Claims Directive

In brief: Aims to tackle false or misleading environmental claims by ensuring that buyers receive reliable, comparable, and verifiable information (not yet adopted).

EU Deforestation Regulation

In brief: Is intended to ensure that relevant commodities and products that are imported, traded, or exported in the EU are “deforestation free.”

Foreign Subsidies Regulation

In brief: An EU enforcement mechanism designed to address distortions caused by foreign (non-EU) subsidies in the EU’s internal market.

Sustainable Finance Disclosure Regulation

In brief: Requires financial market participants to disclose how they integrate sustainability risks into their investment decisions.

Single-Use Plastics Directive

In brief: Restricts the use of certain single-use plastic products to reduce marine litter.

Energy Taxation Directive

In brief: Sets minimum tax rates for energy products and electricity to promote energy efficiency and environmental protection (not yet adopted, legislative procedure is ongoing).

Taxonomy Regulation

In brief: Establishes a classification system for environmentally sustainable economic activities.

Ecodesign for Sustainable Products Regulation

In brief: A framework to set design requirements for specific product groups in order to improve their circularity, energy performance, and other environmental attributes.

European Hydrogen Bank

In brief: Supports the development and deployment of hydrogen technologies and infrastructure.

Energy Efficiency Directive

In brief: Sets binding measures to help the EU reach its energy efficiency targets.

Packaging and Packaging Waste Regulation

In brief: Aims to reduce the impact of waste on the environment (not yet adopted, legislative procedure is ongoing).

Just Transition Fund

In brief: Provides financial support to regions and workers affected by the transition to a low-carbon economy.

Non-Financial Reporting Directive

In brief: Requires large public-interest companies to report on social and environmental matters.

Forced Labour Regulation

In brief: Bans products made with forced labor from being sold in the EU market (not yet adopted, legislative procedure is ongoing).

Innovation Fund

In brief: EU subsidy for innovative low-carbon technologies and projects.

Ecolabel 

In brief: Provides criteria for awarding the EU Ecolabel to products and services that meet high environmental standards.

Critical Raw Materials Act

In brief: Aims to secure EU access to a sustainable supply of critical raw materials from EU and other sources.

Net-Zero Industry Act

In brief: Creates incentives and penalties to boost the competitiveness of EU industries and technologies crucial for decarbonization.

Fuel EU Maritime Regulation

In brief: Promotes the use of sustainable fuels in the maritime sector to reduce greenhouse gas emissions.

Conflict Minerals Regulation

In brief: Aims to ensure that trade in minerals does not contribute to conflict, human rights abuses, or other adverse impacts in conflict-affected and high-risk areas.

REPowerEU

In brief: Seeks to reduce dependence on Russian fossil fuels and accelerate the green transition.

ReFuel EU Aviation Regulation

In brief: Encourages the use of sustainable aviation fuels to reduce the carbon footprint of air travel.

Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) Regulation

In brief: Regulates the production and use of chemical substances to protect human health and the environment.

InvestEU Fund

In brief: Provides funding for sustainable infrastructure projects across the EU.

Water Framework Directive

In brief: Establishes a framework for the protection of inland surface waters, transitional waters, coastal waters, and groundwater.

Renewable Energy Directive

In brief: Sets targets for the share of renewable energy in the EU’s energy mix.

EU Pay Transparency Directive

In brief: Aims to ensure wage transparency and address the gender pay gap within the EU.

Waste from Electrical and Electronic Equipment (WEEE) Directive

In brief: Regulates the collection, recycling, and recovery of electrical and electronic equipment waste.