The European Association of Co-operative Banks welcomes the ambitious environmental and sustainability agenda of the European Union. Our members are deeply committed to supporting the European Green Deal and financing the transition towards a climate-neutral and sustainable economy.
However, the rapid expansion of EU environmental legislation over the past decade has created increasing complexity, overlap, and uncertainty. While the objectives are laudable, the cumulative effect of multiple directives, regulations, and implementing rules risks placing disproportionate burdens on financial institutions and their clients, particularly small and medium-sized enterprises (SMEs). Complexity can ultimately slow down, rather than accelerate, the financing of the green transition.
The EACB therefore strongly supports the Commission’s simplification agenda, reflected in the Omnibus I and subsequent proposals and the broader “better regulation” commitment. We believe that EU environmental legislation should be streamlined and made as practicable as possible.
At this phase in the legislative process, the EACB wishes to highlight two targeted priorities where adjustments would greatly improve clarity and proportionality, relating to the Green Claims Directive and the Deforestation Regulation.