Issue 14: December 15, 2022

On December 6, the European Parliament and the Council of the EU announced that a provisional deal has been reached on a proposal to "minimize the risk of deforestation and forest degradation associated with products that are imported into or exported from the European Union." The agreement sets out mandatory due diligence rules for companies that want to place relevant products on the EU market, and proposes penalties for non-compliance including fines "proportionate to the environmental damage and the value of the relevant commodities or products concerned." It is expected that the Regulation will be in force in the course of 2024.

Standards

The U.S. Federal Reserve Board (Fed) has released a series of proposed principles for how large banks with over $100 billion in assets should monitor and manage climate-related financial risks. The Fed's plan would require banks to incorporate financial risks related to climate into their strategic planning. The proposal