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Image header Agence Europe
Europe Daily Bulletin No. 13118
ECONOMY - FINANCE - BUSINESS / Companies

Due diligence, European Parliament Committee on Environment wants to oblige company directors to have a credible transition plan

The European Parliament’s Committee on the Environment, Public Health and Food Safety (ENVI) adopted, on Thursday 9 February, its draft opinion on the Directive on the due diligence for companies (39 votes in favour, 34 against, 2 abstentions). They are calling for more obligations on compliance with the Paris Agreement and its goals. 

They adopted amendments inserting an obligation for companies to put in place a “precise plan” for the transition, aligned with the Paris Agreement’s goal of keeping global warming below 1.5°C. 

In its initial proposal (see EUROPE 12897/7), the European Commission also mentioned a plan, but without detailing its contours. The ENVI committee proposes to include in this document elements such as the company’s analysis of climate-related risks and opportunities or the actions it has taken to decarbonise.

In a direct link, the variable remuneration of company directors with more than 100 employees should take into account the development of this transition plan, according to the draft opinion adopted by MEPs. (Original version in French by Léa Marchal)

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SPECIAL MEETING OF THE EUROPEAN COUNCIL
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