Brussels is considering classifying gas as a partially sustainable technology under its landmark green labelling system for investors who want to plough their money into sustainable finance.
In a draft legal text, seen by the Financial Times, the European Commission has paved the way for controversial technologies such as gas generated by fossil fuels to be recognised in its “taxonomy for sustainable finance”, raising fears that Brussels is engaging in “greenwashing”.
The EU’s taxonomy is designed to be the world’s first classification system for green financial products by establishing science-based criteria on what should count as truly sustainable economic activity.
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