ISS ESG’s EU Taxonomy Alignment Solution enables financial market participants to identify the level of alignment of their investments and financial products with defined taxonomy activities. The solution quantifies respective revenues, capital expenditure, and operational expenditure in order to comply with the upcoming disclosure obligations.
EU Taxonomy reporting obligations alongside additional use cases
ISS ESG EU Taxonomy solution incorporates directly reported data to meet entity-level reporting requirements under Article 8 of the EU Taxonomy Regulation, as well as modeled data for companies that do not report which can be used during the investment decision-making process.
Assess the Taxonomy Alignment of Company Activities
Eligible activities are economic activities defined by the EU Taxonomy.
Reported and estimated capital expenditure and revenues are attached to eligible activities.
For each relevant activity, the taxonomy defines specific substantial contribution criteria which need to be met in order to be considered environmentally sustainable.
Compliance with the respective DNSH criteria is assessed for each company, including if it has been involved in environmental controversies.
It must be verified that the company has not been subject to (allegations of) failing to meet minimum social safeguards in their operations.