16 Jan 2023 18:11

EAEU nations prepare unified criteria for 'green' projects to organize their financing

MOSCOW. Jan 16 (Interfax) - The Eurasian Economic Commission (EEC) together with Russian state corporation VEB.RF and Kazakhstan's Green Finance Center at the Astana International Financial Center (AIFC) have prepared criteria for "green" projects for Eurasian Economic Union (EAEU) countries.

The Commission's trade bloc said in a statement that the model taxonomy was approved by a high-level working group on elaboration of proposals on convergence of EAEU member states' positions within the framework of the climate agenda.

"The purpose of preparing a model taxonomy is to stimulate and align the approaches of member states within the framework of the systematic development of green financing instruments in the EAEU space, as well as to ensure freedom of capital movement," the statement said.

The EEC noted that these criteria can be used to develop or update national taxonomies. At the moment, Russia and Kazakhstan have national systems for selecting "green" projects.

"The model taxonomy can simplify the access of EAEU investor companies to the capital markets of the member countries through the placement of financing instruments on EAEU exchanges. The structure of the model taxonomy uses a sectoral approach, the choice of industries is largely determined by the carbon intensity of industries and the potential to reduce emissions," EEC Minister of Trade Andrey Slepnev was cited as saying in the message.

The EEC also said that global approaches were used in the development of the taxonomy of "green" projects for EAEU, which, as the commission expects, "will ensure a high level of compatibility of the model taxonomy with other international standards, as well as its recognition by both the international community of standard developers and international investors.

As reported, in October 2021 the Eurasian Intergovernmental Council approved the first package of measures ("a road map") on EAEU member states' cooperation on the framework of the climate agenda, one of the points of which provides for the development of a model taxonomy of "green" EAEU projects.