The ESPR aims to make sustainable products the norm in the EU, replacing the current Ecodesign Directive and introducing broader measures for sustainability.
By Paul A. Davies, Cesare Milani, José María Alonso, Michael D. Green, James Bee, and Telmo Iriondo
On 18 July 2024, the Ecodesign for Sustainable Products Regulation (ESPR) entered into force. The ESPR forms part of a package of measures central to achieving the objectives of the European Commission’s 2020 Circular Economy
Denmark’s unprecedented carbon removals fund has facilitated the coexistence of corporate and national carbon claims in carbon accounting.
By Jean-Philippe Brisson, Paul A. Davies, Lars Kjølbye, John-Patrick Sweny, and Qingyi Pan
In the past few years, stakeholders in the carbon market have debated how to integrate the voluntary carbon market (VCM) and the emerging international carbon market governed by the Paris Agreement — Denmark’s recent move to allow stacking of voluntary carbon credits and nationally determined
EPA’s action finalizes aggressive emission reduction targets for certain subcategories of fossil fuel-fired power plants, based on implementation of carbon capture and sequestration.
By Stacey L. VanBelleghem, Karl A. Karg, and Phil Sandick
On April 25, 2024, the US Environmental Protection Agency (EPA) released its final rule (the Power Plant GHG Rule or the Final Rule) to regulate greenhouse gas (GHG) emissions from electric generating units (EGUs) at power plants under Section 111 of the Clean Air Act
The proposed regulation would ban forced labour-made products from the EU market, affecting companies’ supply chains and requiring compliance checks.
By Paul A. Davies, Michael D. Green, and James Bee
On 5 March 2024, the European Parliament and European Council announced that they had reached a provisional political agreement on the regulation (Regulation) that aims to prohibit any product manufactured using forced labour from being placed on or exported from the EU market.
The European Commission proposed the
The court’s decision is the latest development in the litigation over the SEC’s final rules, which have faced numerous legal challenges since their adoption.
By Paul A. Davies, Sarah E. Fortt, and Betty M. Huber
On March 15, 2024, the US Court of Appeals for the Fifth Circuit granted an administrative stay of the Securities and Exchange Commission’s recently finalized climate disclosure rules, in response to a March 8 request.[1] Petitioners had requested the stay in light
The stock exchanges of Malaysia, Indonesia, Thailand, and Singapore have partnered to advance sustainability in ASEAN through the development of an interregional ESG ecosystem.
By Paul A. Davies, Farhana Sharmeen, Michael D. Green, James Bee, and Kevin Mak
On February 15, 2024, Bursa Malaysia Berhad (Bursa Malaysia), Indonesia Stock Exchange (IDX), The Stock Exchange of Thailand (SET), and Singapore Exchange (SGX Group) released a joint statement announcing their collaboration on the development of the ASEAN-Interconnected Sustainability
The regulations aim to provide a legal framework for China’s carbon allowance trading market by strengthening requirements and designating responsibilities.
By Hui Xu, Paul A. Davies, Jean-Philippe Brisson, and Qingyi Pan
On January 25, 2024, Chinese Premier Li Qiang signed a decree of the State Council, introducing the Regulations on the Administration of Carbon Allowance Trading (the Regulations). Effective from May 1, 2024, the Regulations provide a legal framework for the operation of China’s emissions trading scheme
The target aims to set the path for climate neutrality by 2050.
By Paul A. Davies, Michael D. Green, and James Bee
On 6 February 2024, the European Commission (Commission) presented its recommendations for the EU’s 2040 climate target, following a detailed impact assessment on potential emission reduction pathways. This publication aligns with the implementation of the EU’s Climate Law, which enshrines the EU’s commitment to become climate-neutral by 2050, alongside the 2030 target to reduce net greenhouse gas (GHG) emissions by at least 55%, relative to 1990.
The Commission recommends a 90% net GHG reduction by 2040, as compared to 1990 levels. Notably, the recommendation refers to “net” GHG reduction, and therefore opens the door for the use of carbon removal technologies within the EU to meet the target.
The Eligibility List sets out the approved host countries, carbon crediting programmes, and methodologies that meet the established Eligibility Criteria in Singapore.
By Paul A. Davies, Jean-Philippe Brisson, Farhana Sharmeen, Don Stokes, Michael D. Green, Qingyi Pan, James Bee, and Kevin Mak
On 19 December 2023, the Ministry of Sustainability and the Environment (MSE) and the National Environment Agency (NEA) in Singapore published the Eligibility List under Singapore’s International Carbon Credit (ICC) Framework, which took effect from 1 January 2024 and was published on Singapore’s Carbon Markets Cooperation website.
The Eligibility List followed the signing of an inaugural Article 6 implementation agreement with Papua New Guinea on carbon credits cooperation.
Under Article 6 of the Paris Agreement, countries may enter into an implementation agreement to cooperate to achieve their nationally determined contributions (NDCs) by trading Paris Agreement compliant carbon credits. Parties to the implementation agreement must also effect certain corresponding adjustment mechanisms to ensure that any emission reductions or removals are struck from the host country’s NDC accounts to prevent double-counting.
The voluntary code aims to enhance transparency and improve comparability and reliability of ESG data and scores.
By Paul A. Davies, Farhana Sharmeen, Michael D. Green, James Bee, and Kevin Mak
The Monetary Authority of Singapore (MAS) has published a Code of Conduct for Providers of Environmental, Social, and Governance (ESG) Rating and Data Products (Code), and an accompanying compliance checklist for providers (Checklist), following a public consultation conducted from June to August 2023. The Code covers best practices on governance, management of conflicts of interest, and transparency of methodologies and data sources, including disclosure on how forward-looking elements are taken into account in data products. This disclosure is intended to allow users to better consider transition risks and opportunities when determining capital allocation.
For more details on the initial consultation, please see this Latham article.