Climate Delegated Regulation 2021/2139

Commission Delegated Regulation (EU) 2021/2139 of June 4, 2021, supplementing Regulation (EU) 2020/852 of the European Parliament and of the Council by establishing technical review criteria for determining the conditions under which an economic activity is characterized as significantly contributing to climate change mitigation or climate change adaptation, and for determining whether the given economic activity does not significantly disrupt the fulfillment of any of the other environmental goals (Text with significance for the EEA).

This regulation enters into force on the twentieth day after its publication in the Official Journal of the European Union. It applies from 1 January 2022.

This regulation provides technical review criteria to determine whether economic activity significantly contributes to climate change mitigation or climate change adaptation, and whether does not significantly interfere with the fulfillment of other environmental goals.

• The Regulation emphasizes that the technical criteria should take into account the nature and scope of the economic activity, the sector, and whether the activity is transitory or supportive.
• In the case of some activities with technically complex elements, verification of compliance with technical review criteria may require an independent third party.
• The regulation recognizes that some activities, such as forestry, wetland restoration and program production, can contribute to climate change adaptation by providing adaptation solutions.
• It is important that the technical review criteria did not affect existing environmental, health, safety and social requirements set out in EU and national law.
• Regulation enters into force 20 days after publication in the Official Journal of the European Union and applies from 1 January 2022.

The regulation contains examples of technical review criteria for different activities, including:

Forestry:

• Introduction of the afforestation plan and subsequent forest management plan.
• A climate benefit analysis that demonstrates reductions in greenhouse gas emissions.
• Minimizing the use of fertilizers and banning the use of manure.
• Prohibition of soil degradation with high carbon stocks.
• Monitoring and verification of compliance with criteria by an independent certification body.

Protection and restoration of the environment:

• Restoration of wetlands
• The use of a minimum amount of fertilizers and the prohibition of the use of manure.
• Avoiding the use of harmful chemicals.

Industry:

• Aluminum production
• Production of iron and steel
• Production of hydrogen
• Carbon black production

Transportation:

• Promotion of the use of heavy commercial vehicles with zero or low emissions.
• Support for low-emission inland and maritime passenger water transport.

Energy:

• Support of pumped water power plants meeting the criteria of sustainable use of water resources.

Construction industry:

• Support for the installation, maintenance or repair of energy efficient equipment in buildings.

The regulation further states general criteria of the "do not significantly disturb" principle in relation to:

• Sustainable use and protection of water and marine resources.
• Transition to circular economy.
• Prevention and control of pollution.

Regulation too defines supporting activities, which in themselves may not contribute significantly to mitigating climate change, but enable other activities to reduce greenhouse gas emissions. These activities must meet specific technical review criteria.

The regulation is a comprehensive document with a lot of detailed technical information, therefore it is advisable to consult the entire text of the regulation and its annexes for more detailed information.