Taxonomy

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Canada taxonomy defers oil and gas abatement category.

The Council behind Canada's Voluntary Green Finance Taxonomy will research the contested category starting in 2027.

The final methodology for Canada's Sustainable Finance Taxonomy, published on October 20, includes no category for oil and gas emission cuts.

An activity is either aligned or not, since the Council dropped any partial designation.

Safeguards on environmental harm and social standards work on a disclose or explain basis under which users state whether they meet the criteria or explain why they cannot.

The Council said a voluntary taxonomy cannot determine compliance with those standards and plans to revisit the approach in three to five years.

Minimum social safeguards will include Indigenous rights criteria, criteria for six sectors, due by end of 2027.