Leaked Memo Reveals Proposed Changes to EU Sustainability Law

Financial Sector May Be Excluded, Critics Warn of Potential Greenwashing

A leaked memo reveals proposed changes to the EU's Corporate Sustainability Due Diligence Directive that could significantly weaken its enforcement.
The changes include potentially excluding the financial sector from the law, despite its significant contribution to global warming through financing and insuring new oil and gas projects.
The new proposal could also allow firms to merely have plans to hit low carbon targets, rather than actually delivering them, which critics argue could lead to greenwashing.
France is identified as the driving force behind these changes, with a document authored by French officials proposing the removal of legal obligations for the financial sector to address environmental harms linked to its financing activities.
The European Parliament and the Council of the European Union are currently at a standoff over the final text of the law, with many member countries concerned about the impact of stringent regulation on their economies.