Initial Insights On The ESG Rating Activities Regulation Proposal

The current regulatory environment develops with an increased speed, in particular, in the area of Sustainable Finance. In the context of EU Commission's renewed sustainable finance strategy adopted in July 2021, the Commission published on 14 June 2023 its proposal for a Regulation on the transparency and integrity ESG rating activities (the Proposal). Following the initial discussions with the Council of the European Union and its preparatory bodies, an amended version of the Proposal was published on 14 July 2023. The text will be submitted to the European Parliament for its first reading. If adopted as such, or at least, without substantial amendments, this regulation would play an important role in the fight against unsubstantiated sustainability related information.