[ParlTrack]

Proposal for a directive
Article 1 – paragraph 1 – point 1 – point g a (new)

Article 3 – paragraph 1 – point 69 a (new)

(g a) the following point is added: (69 a) “climate neutrality” means climate neutrality as defined in Article 2 of the Regulation (EU) 2021/1119 (“European Climate Law”). Or. en https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:02013L0036- 20220101&from=EN

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG, Csaba MOLNÁR

Proposal for a directive
Article 1 – paragraph 1 – point 14 – point b

Directive 2013/36/EU
Article 76 – paragraph 2 – subparagraph 2

Member States shall ensure that the management body develops specific plans and quantifiable targets to monitor and address the risks arising in the short, medium and long-term from the misalignment of the business model and ~~strategy~~activities of the institutions, with the ~~relevant Union po~~objective to achieve climate neutralicty ~~objectives or broader transition trends towards a sustainable economy~~by 2050 at the latest, set out in Regulation (EU) 2021/1119 of the European Parliament and of the Council of 30 June 2021 (“European Climate Law”), as well as other relevant Union policy objectives in relation to environmental, social and governance factors.;

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG

Proposal for a directive
Article 1 – paragraph 1 – point 14 – point b a (new)

Directive 2013/36/EU
Article 76 – paragraph 2 a (new)

(ba) the following paragraph is inserted: ‘2a. The plans referred to in paragraph 2 of this Article should include transition plans with implementing actions and specific, science-based short-term, medium- and long-term targets, including absolute emission reduction targets for operational and attributable greenhouse gas (GHG) emissions for 2025 and 2030, reviewed every five years up to 2050, to ensure that the institution’s overall business model, strategy and activities are compatible with the transition to a sustainable economy and with the limiting of global warming to 1,5 °C in line with the Paris Agreement with no or limited overshoot and pursuant to the latest recommendations of the IPCC and the European Scientific Advisory Board on Climate Change. For the purposes of this Article, institutions that are required under Article 19a or Article 29a of Directive XXX[CSRD] to report information on environmental, social and governance matters shall integrate their transition plan into their risk management.’

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG

Proposal for a directive
Article 1 – paragraph 1 – point 14 – point b b (new)

Directive 2013/36/EU
Article 76 – paragraph 4 – subparagraph 2

(bb) in paragraph 4, subparagraph 2 is replaced by the following: ‘The management body in its supervisory function and, where one has been established, the risk committee shall determine the nature, the amount, the format, and the frequency of the information on risk which it is to receive. In order to assist in the establishment of sound remuneration policies and practices, the risk committee shall, without prejudice to the tasks of the remuneration committee, examine whether incentives provided by the remuneration system take into consideration risk, ~~capital, liquidity and the likelihood and timing of earnings.~~ including those resulting from the current, short, medium and long-term impacts of environmental, social and governance factors, capital, liquidity and the likelihood and timing of earnings.’ Or. en https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:02013L0036-20150101

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG

Proposal for a directive
Article 1 – paragraph 1 – point 17

4. Competent authorities shall assess and monitor developments of institutions’ practices concerning their environmental, social and governance strategy and risk management, including the plans to be prepared in accordance with Article 76, as well as the progress made ~~and the risks~~towards achieving the targets set in accordance with Article 76 in order to adapt their business models to the relevant policy objectives of the Union ~~or broader transition trends towards a sustainable economy~~, taking into account sustainability related product offering, transition finance policies, related loan origination policies, and environmental, social and governance related targets and limits.

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG

Proposal for a directive
Article 1 – paragraph 1 – point 17

Directive 2013/36/EU
Article 87 a – paragraph 4 a (new)

4a. The Commission shall adopt delegated acts in accordance with Article 148 to provide for the standards and reference methodologies for the transition plans and targets. Those standards shall specify the requirements that institutions are to fulfil in accordance with Article 76(2)and be in line with the requirements of the Directive XXX [CSRD].The Commission shall, at least every three years after its date of application, review any delegated act adopted pursuant to this Article, taking into consideration the technical advice of the European Financial Reporting Advisory Group (EFRAG), and where necessary shall amend such delegated act to take into account relevant developments, including developments with regard to international standards.

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG

Proposal for a directive
Article 1 – paragraph 1 – point 17

Directive 2013/36/EU
Article 87 a – paragraph 5 – subparagraph 1 – point a

~~(a) minimum standards and reference methodologies for the identification, measurement, management and monitoring of environmental, social and governance risks;~~deleted

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG, Csaba MOLNÁR

Proposal for a directive
Article 1 – paragraph 1 – point 17

Directive 2013/36/EU
Article 87 a – paragraph 5 – subparagraph 1 – point b

(b) the content of plans to be prepared in accordance with Article 76, which shall include specific timelines and intermediate quantifiable targets and milestones, in order to address the risks from misalignment of the business model and strategy of institutions with the ~~relevant policy objectives of the Union, or broader transition trends towards a sustainable economy in relation to environmental, social and governance factors~~objective to achieve climate neutrality by 2050 at the latest, set out in Regulation(EU) 2021/1119 of the European Parliament and of the Council of 30June 2021 (“European Climate Law”), as well as other relevant policy objectives of the Union;

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG

Proposal for a directive
Article 1 – paragraph 1 – point 22 – point -a (new)

Directive 2013/13/EU
Article 94 – paragraph 1 – point a

(-a) in paragraph 1, point (a), is replaced by the following: ‘(a) where remuneration is performance related, the total amount of remuneration is based on a combination of the assessment of the performance of the individual and of the business unit concerned and of the overall results of the institution and when assessing individual performance, financial and non-financial ESG-related criteria are taken into account~~; https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02013L0036-20220101~~. Half of variable elements of remuneration are linked to achievement of the targets of the institution referred to in Article 76(2) subparagraph 2;’ Or. en

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG, Csaba MOLNÁR

Proposal for a directive
Article 1 – paragraph 1 – point 23

Directive 2013/36/EU
Article 98 – paragraph 9

9. The review and evaluation 9. performed by competent authorities shall include: (i) the assessment of institutions’ governance and risk management processes for dealing with environmental, social and governance risks, as well as of the institutions’ exposures to environmental, social and governance risks; (ii) the assessment of the institutions’ plans and targets, as well as the progress made towards achieving those targets, as referred to in Article 76(2), to achieve climate neutrality by 2050 at the latest, set out in Regulation (EU) 2021/1119 of the European Parliament and of the Council of 30 June 2021 (“European Climate Law”), as well as other relevant Union policy objectives in relation to environmental, social and governance factors. In determining the adequacy of institutions’ processes and exposures, competent authorities shall take into account the business models of those institutions.;

2022/08/22
Committee: ECON

Aurore LALUCQ, Paul TANG, Csaba MOLNÁR

Proposal for a directive
Article 1 – paragraph 1 – point 25 – point a – point ii a (new)

Directive 2013/36/EU
Article 104 – paragraph 1 – point m a (new)

(ma) require the reinforcement of the climate targets, transition plans, and actions implemented in accordance with Article 76(2).

2022/08/22
Committee: ECON

11 Amendments of Aurore LALUCQ related to 2021/0341(COD)

ParlTrack - 2011-2024