EU Green Taxonomy

What is the Green Taxonomy?

The EU Taxonomy Regulation establishes a classification system to determine which economic activities can be considered environmentally sustainable. Its objective is to guide both public and private investment towards activities that support the EU’s climate and environmental goals. In practice, the Taxonomy increasingly serves as a reference framework for financial institutions when assessing the sustainability of investments. 

In 2023, the European Commission adopted a Climate Delegated Act setting out the technical screening criteria for aviation activities under the Taxonomy. The delegated act explicitly excluded business aviation from eligibility, citing concerns related to the sector’s environmental footprint. 

This exclusion has important implications. While the Taxonomy does not directly regulate aviation operations, it can strongly influence access to finance, as banks, investors and financial institutions increasingly rely on the framework to determine which sectors qualify as sustainable investments. By excluding business aviation, the delegated act risks discouraging investment in a sector that is actively pursuing decarbonisation through the uptake of sustainable aviation fuels, fleet modernisation and technological innovation. 

EBAA position

EBAA considers the exclusion of business aviation from the EU Taxonomy to be disproportionate and discriminatory. The approach fails to recognise the sector’s specific characteristics, including its limited share of total aviation emissions and its important role in supporting connectivity, economic activity and technological innovation within the broader aviation ecosystem. 

To challenge this approach, EBAA has intervened in support of Dassault Aviation in proceedings before the General Court of the European Union (Case T-77/24, Dassault Aviation v Commission). Through this intervention, the association aims to ensure that the perspective of the European business aviation sector is represented in the legal debate surrounding the Commission’s decision. 

Beyond the courtroom, we are actively advocating within the EU’s ongoing taxonomy simplification process to ensure that the framework is revised to be more inclusive and representative of our sector’s technological advancements.