EU Taxonomy
Introduction to Sustainable Taxonomy
The introduction of legislation such as the EU Taxonomy (EU) 2020/852 (hereafter: “the Taxonomy”) is an integral part of the EU’s commitment to achieve CO2 neutrality in Europe by 2050, a legally binding target thanks to the European Climate Law . The Taxonomy for sustainable activities is a classification system of economic activities that are determined by the EU to make a substantial contribution to environmental sustainability. A common classification for sustainable activities can help investors and other stakeholders identify sustainable companies and ensure capital flows are directed to the most sustainable companies. Reporting under the Taxonomy, companies must initially determine if their economic activities are Taxonomy-eligible, i.e., fit under any of the sustainable activities of the Taxonomy. For an eligible activity to be considered Taxonomy-aligned, companies must ensure that the activity substantially contributes to one of the six environmental objectives while not doing any significant harm to any of the other five environmental objectives (DNSH criteria) and comply with the Minimum Safeguards.
Our Taxonomy Reporting
In 2023, we report 99% of our revenue as Taxonomy-aligned, 97% of our capital expenditures (CAPEX) as Taxonomy-aligned, and 92% of our operating expenditures (OPEX) as Taxonomy-aligned. 76 percent of the aligned revenue is related to activity 3.1: Manufacturing of Renewable Energy Technologies, and 23% of the aligned revenue is related to activity 4.3: Electricity Generation from Wind Power. The 1% of revenue that is not Taxonomy-aligned relates to 'over-the-counter' sale of spare parts, which we have concluded to be not eligible under any of the six environmental objectives.
Please refer to our Sustainability Report 2023 for more information on our Taxonomy-reporting.
Eligibility and Alignment
Both our manufacturing, construction, development, and service activities are eligible under the Taxonomy. Our manufacturing activities substantially contribute to climate change mitigation by manufacturing renewable energy technologies that are critical for transforming global energy systems to be powered by renewable energy. Our development, construction and service activities substantially contribute to climate change mitigation by developing, constructing, and servicing wind farms and thereby generating or supporting renewable electricity generation from wind power. In line with regulation (EU) 2020/852 and supporting regulation (commission notices of 20th of October 2023), our manufacturing and construction activities are reported as eligible under Activity 3.1: Manufacture of Renewable Energy Technologies, while our service and development activities are reported as eligible under Activity 4.3: Electricity Generation from Wind Power.
Key Performance Indicators
Below is a summary of our reporting on revenue, OPEX and CAPEX.
For more information on our Taxonomy reporting please refer to page 66-71 in our Sustainability Report 2023.
