Your EU Taxonomy solution

3 simple steps to your
EU Taxonomy assessment

Embark on your assessment journey with ease through three straightforward steps.

Assessment of eligibility

Following the identification of all relevant economic activities, the tool checks if your economic activities are described in the EU Taxonomy and qualify as taxonomy-eligible.

Assessment of alignment

Based on the applicable EU Taxonomy criteria (i.e. “Substantial Contribution”, “Do No Significant Harm (DNSH)” and “Minimum Safeguard” criteria), the tool assesses the economic activities' alignment with the EU Taxonomy.

Calculation of KPIs & generation of EU Taxonomy report

Finally, the tool calculates the EU Taxonomy KPIs of Turnover, CapEx and OpEx which can be displayed in the obligatory reporting template from the EU Taxonomy.

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FAQs

Your go-to resource for clarity in the world of sustainability. Discover answers to most frequently asked questions about the EU Taxonomy and CSRD.

What is the EU Taxonomy?

The EU Taxonomy is a classification system in the EU that defines criteria which determine which economic activities can be considered environmentally sustainable. By creating this common language on sustainability, it aims to help investors identify sustainable assets.

What are the goals of the EU Taxonomy?

The overarching goal is to direct investments towards sustainable activities and assets most needed for the transition to a net zero economy by 2050.

When is an economic activity considered sustainable?

According to the Taxonomy Regulation, an economic activity is considered environmentally sustainable if it i.) contributes significantly to one or more environmental objectives, ii.) does not cause significant harm to any of the other environmental objectives, iii.) complies with the Minimum Safeguards and iv.) meets the technical screening criteria set out in the Taxonomy delegated acts.

What do companies have to disclose?

The EU Taxonomy requires companies in scope to disclose in their annual reports to what extent their activities are covered by the EU Taxonomy (Taxonomy-eligibility) and comply with the criteria set out in the delegated acts (Taxonomy-alignment). This particularly includes the reporting of key performance indicators (KPIs) on turnover, capital expenditures (CapEx) and operational expenditures (OpEx) that relate to assets associated with environmentally sustainable economic activities.

Who is directly affected by the EU Taxonomy?

Any company falling under the Non-Financial Reporting Directive (NFRD) has to disclose to what extent its economic activities are associated with activities that are considered as environmentally sustainable. This applies to all listed companies with more than 500 employees. With the adoption of the Corporate Sustainability Reporting Directive (CSRD) in November 2022, a broader set of large companies as well as listed small and medium-sized companies will increasingly be affected and will hence have to report on sustainability matters.

What is the CSRD?

The Corporate Sustainability Reporting Directive (CSRD) was designed to standardize and harmonize companies' reporting on Environmental (E), Social (S), and Governance (G) issues (ESG).

Who is required to report under the CSRD?

All companies already subject to the NFRD must report under the CSRD in 2025 for the financial year 2024. Subsequently, all large EU companies are required to report for the 2025 financial year in 2026, while small and medium-sized enterprises (SMEs) are mandated to report for the 2026 financial year in 2027. Non-EU companies must also report in 2029 for the 2028 financial year, if they meet certain criteria.

What are the reporting standards within the CSRD?

The CSRD mandates a single reporting standard: the European Sustainability Reporting Standards (ESRS). This standard consists of already adopted sector-agnostic elements applicable to all companies and sector-specific elements that are currently being developed by the European Financial Reporting Advisory Group (EFRAG) on behalf of the EU Commission.

How is the EU Taxonomy linked to the CSRD?

The CSRD is closely aligned with other pivotal sustainability regulations, including the Sustainable Finance Disclosure Regulation (SFDR) and the EU Taxonomy Regulation. Notably, the EU Taxonomy will be integrated into the mandatory reporting obligations established by the CSRD, further aligning businesses with sustainable finance principles and environmental objectives.

What are the advantages of having high levels of Taxonomy alignment?

While the process of gathering all the required data for non-financial reporting can be a very time-consuming and lengthy one, it should be noted that high levels of Taxonomy alignment may lead to reputational advantages, as well as favorable financing conditions and better access to public funding programs for companies.

Why use VIRIDAD’s EU Taxonomy solution?

In contrast to conventional tools (e.g. excel), VIRIDAD’s solution covers the EU Taxonomy in its entire complexity and integrates regulatory updates on an ongoing basis. The tool helps determine the Taxonomy-eligibility and Taxonomy-alignment of a company’s economic activities, offers audit-ready calculations and reports, and ultimately saves companies time and costs.

What differentiates VIRIDAD from other SaaS solution providers?

Aside from its SaaS solution, VIRIDAD offers personalized ESG Advisory (EU Taxonomy, CSRD/ESRS, SFDR, future emerging ESG standards) and provides strong technical expertise and access to a broad portfolio of ESG products and services particularly through its strategic partnerships with the AIT Austrian Institute of Technology and First Climate, respectively.

How to access VIRIDAD’s SaaS solution?

The solution is SSO-ready and provides a web-based interface as well as an API for data integration with existing systems (e.g. ERP systems).

How much does VIRIDAD's SaaS solution cost?

Our approach is to evaluate the Taxonomy requirements of our clients in the first step. This helps us customize our offering based on the client’s specific needs. If interested in exploring our SaaS tool, please reach out to us for more details at contact@viridad.eu.

Your EU Taxonomy solution

What we offer

SaaS

ESG Advisory

Our partners & clients

3 simple steps to your
EU Taxonomy assessment

Assessment of eligibility

Assessment of alignment

Calculation of KPIs & generation of EU Taxonomy report

Who is it for

Non-financial companies

Financial companies

Consulting firms

Customer voices

Packages

FAQs

Contact us today

Join our newsletter

Your EU Taxonomy solution

What we offer

SaaS

ESG Advisory

Our partners & clients

3 simple steps to your EU Taxonomy assessment

Assessment of eligibility

Assessment of alignment

Calculation of KPIs & generation of EU Taxonomy report

Who is it for

Non-financial companies

Financial companies

Consulting firms

Customer voices

Packages

FAQs

Contact us today

Join our newsletter

3 simple steps to your
EU Taxonomy assessment