Stop me if you’ve heard this one: A sweeping ESG law is developed by the EU. Right before a vote that is typically considered a mere formality, member-state support falls apart and the legislation is pulled from the docket. No, this isn’t the CS3D, I’m talking about the EU’s Nature Restoration Law. According to ESG Today:
“The approval by the Council would have been the final major step required to pass the new law, and is normally viewed as a formality, after the text had already been agreed upon in a deal between the Council and Parliament last month. Leading up to the scheduled vote, however, several member states, including Austria, Belgium, Finland, Italy, the Netherlands, Poland and Sweden indicated that they would oppose or abstain. With the vote already at risk, Hungary subsequently announced that it would oppose the law.”
The law would have required EU countries to implement measures to restore 20% of the EU’s land and sea areas by 2030 and for all ecosystems requiring restoration by 2050. The unexpected defeat makes the law’s future uncertain, though EU officials insist that they will develop a more politically popular version to advance. However, it’s unclear if there is time before the June elections, which are expected to turn the Union government more conservative and reduce the likelihood of the law eventually passing.
If you aren’t already subscribed to our complimentary ESG blog, sign up for daily updates here: https://practicalesg.com/subscribe/
