Thread by @bbaue

.@kmac hits the nail on the head!

Europe Should Keep Its Green Bar High, Even If Many Can’t Meet It

Only a small fraction of today’s economic activities would pass a rigorous, science-based assessment for sustainability

bloomberg.com/news/articles/…

@kmac "the taxonomy’s purpose … is to set a very high bar based on what scientists [say] is needed ... to avoid the worst effects of climate change. Instead of assessing sectors or companies as they are now, the taxonomy identifies … what...activities ... will lead to a safer planet"

@kmac This sets it apart from other frameworks, such as the @FSB_TCFD which seek to identify risks arising from climate change.

Or the sustainability reporting project being developed by the @IFRSFoundation, which hosts accounting standards used across the world."

@kmac @FSB_TCFD @IFRSFoundation "It’s also very different from commercial sustainability ratings systems, which often provide a 'best in breed' selection—the companies with, for example, the lowest emissions or best disclosure in their sector."

@kmac @FSB_TCFD @IFRSFoundation "These approaches all seek to make incremental improvements to finance and industry as they currently are, rather than benchmarking them against where they should be if the whole world is to keep temperatures from rising more than 1.5°C from pre-industrial levels."

@kmac @FSB_TCFD @IFRSFoundation "Our current level of emissions would render much of the planet uninhabitable if it continues unchecked for decades.

It’s hardly surprising that only a small fraction of today’s economic activities would pass a rigorous, science-based assessment for safety and sustainability."

@kmac @FSB_TCFD @IFRSFoundation “ @Eurosif ... sums up the issue: 'The real problem is not the taxonomy, but the fact that according to estimates by McKinsey, around 50% of the investments in Europe required to meet net-zero by 2050 are not profitable in the current policy environment.’”

@kmac @FSB_TCFD @IFRSFoundation @Eurosif In sum, the problem is our economy, not the Taxonomy.

The irony is that the Taxonomy seeded this incrementalist equivocation with its politicized definition of thresholds, as we at @r3dot0 identified in our Sustainable Finance Blueprint…

r3-0.org/wp-content/upl… (p41)