The Taxonomy Regulation: an EU classification system that establishes, with common and verifiable criteria, when an economic activity is environmentally sustainable. Directly applicable, it revolves around six environmental objectives and the 'do no significant harm' (DNSH) principle. For building it ties declared sustainability to recognisable technical thresholds.
It covers economic activities assessed for sustainable finance and reporting purposes; for the building sector it covers construction, renovation, acquisition and management of real estate. The technical screening criteria and DNSH are detailed by delegated acts and rest on energy, renewables and waste legislation. Since 1 January 2026 the art. 8 disclosure obligations have been simplified by Delegated Regulation (EU) 2026/73, which introduces a materiality threshold among other things: the substantive alignment criteria, however, are unchanged.
The Taxonomy Regulation establishes a shared classification system to say when an economic activity is environmentally sustainable. It serves to steer investment towards green and to fight greenwashing: 'sustainable' is no longer a slogan but a matter of common, verifiable criteria. It is an EU regulation: it applies directly, without transposition.
The Taxonomy revolves around six environmental objectives, equal in dignity.
| Objective | In brief |
|---|---|
| Climate mitigation | reduce greenhouse-gas emissions |
| Climate adaptation | reduce vulnerability to climate effects |
| Water | sustainable use and protection of water and marine resources |
| Circular economy | transition to a circular economy |
| Pollution | prevention and reduction of pollution |
| Biodiversity | protection and restoration of ecosystems |
Doing something green is not enough. An activity is taxonomy-aligned if it meets four conditions together: it contributes substantially to at least one objective; it does no significant harm to the others (DNSH); it complies with minimum social safeguards; and it meets the technical screening criteria set by the delegated acts.
'Do No Significant Harm' is what makes the Taxonomy serious. A building may contribute to climate mitigation but, if it wastes water, consumes land or fails to manage waste, it is not aligned. Sustainability is not a score on a single axis: it is crossing a threshold on all of them. DNSH is today required beyond finance too — for example in the recovery-fund (PNRR) projects.
Two words not to confuse. An activity is 'eligible' if it is among those described by the Taxonomy; it is 'aligned' if it actually meets all its criteria. Declaring 'eligible' as if it were 'aligned' is a subtle form of greenwashing.
For buildings the technical criteria rest on the tools we already know: energy performance (NZEB and EPC, hence the minimum-requirements decree and the EPBD), the renewables share (D.Lgs. 199/2021) and the circular management of construction and demolition waste (the Environmental Code). The Taxonomy does not invent new technical obligations: it ties the existing ones to a threshold of 'sustainability' recognised at European level.
The Taxonomy is the point where sustainability stops being a narrative and becomes a criterion: it defines, in common across the EU, what may be called green. For an architecture that wishes to compete internationally it is the language to prove — to investors, banks and clients — that the declared environmental quality is also real and financeable.
To define, with common criteria, when an economic activity is environmentally sustainable, in order to steer investment and counter greenwashing. It is an EU regulation, directly applicable.
Climate change mitigation and adaptation, water, circular economy, pollution prevention, biodiversity and ecosystems.
That it meets four conditions together: substantial contribution to an objective, no significant harm to the others (DNSH), minimum social safeguards and the technical screening criteria.
'Do No Significant Harm': contributing to one objective is not enough if the others are harmed. A low-emission building that wastes water or land is not aligned.
Eligible means the activity is described by the Taxonomy; aligned means it actually meets all its criteria. Passing one off as the other is greenwashing.
The technical criteria are based on energy performance (NZEB, EPC), renewables and the circular management of construction and demolition waste: existing tools, brought back to a European threshold.