European Commission may add natural gas, nuclear to green investments

Feb. 2 (UPI) -- The European Commission on Wednesday started probing how natural gas and nuclear power could fit into its green investment on a limited basis, much to the chagrin of some environmentalists and its own members.

The commission will debate if both can be added to what is known as the European Union's taxonomy, which defines a sustainable investment in order to guide spending toward projects that are in line with the group's climate goals.

Mairead McGuinness, the European Union's commissioner for financial services, financial stability and capital markets, talked about how natural gas and nuclear would fit into the EU Taxonomy Complementary Climate Delegated Act.

"We are putting in place strict conditions for their inclusion in the taxonomy," McGuinness said in a statement. "They are subject to clear limits and phase-out periods. So on nuclear, the Delegated Act, if you like, rewards improvements and advanced technology in safety standards and waste management.

"When it comes to gas, there are strict conditions including limits on emissions, and that facilities must replace high-emitting plants as well as being compatible with low-carbon fuels."

McGuinness said "high standards" would be set for natural gas and nuclear along with transparency rules.

"Investors will be able to see whether a potential investment includes nuclear or gas activities, and they will remain free to choose if they want to invest in nuclear or gas -- or not," McGuinness said. "You will know that we consulted the Platform on Sustainable Finance, member states and of course the European Parliament on this Delegated Act.

"I think it's fair to say that overall, that feedback we received showed that positions are widely divided. In all of our institutions, there are different views."

The proposal, though, has already faced significant backlash, with Austria's climate minister calling it a "cloak-and-dagger" operation and Greenpeace denouncing it as a "license to greenwash."

The advisory EU Platform on Sustainable Finance rejected the reasoning for adding natural gas while anti-nuclear countries like Germany have pointed to the high cost of construction and dealing with nuclear's hazardous radioactive waste.