The ESG register · EU

European Green Bonds Regulation

The label requires taxonomy-aligned use of proceeds, a factsheet and an external reviewer registered with ESMA.

Identifier

Förordning (EU) 2023/2631 — CELEX 32023R2631

Status

in force

Applies

2024-12-21

Supervisor

ESMA och nationella finanstillsynsmyndigheter

Who is covered

Issuers using the European green bond designation, EuGB, when issuing in the union.

Requirements in the text

• Artikel 4

  Use of proceeds

  Proceeds from a bond marketed as a European green bond must be fully allocated to taxonomy-aligned activity before maturity, with a stated flexibility pocket for activity not yet covered by technical screening criteria. Allocation is reported in the factsheet and annual allocation reports, and pending allocation the funds may not be used beyond what the regulation permits.

  Example — A municipally owned energy group issues 2 billion kronor and reports annually how the proceeds split between district heating and a solar park, with 12 percent in the flexibility pocket.

• Artikel 11

  Pre-issuance external review

  The factsheet of a European green bond must be reviewed by an external reviewer registered with Esma before issuance. The reviewer opines on whether the factsheet meets the regulation's requirements and whether the intended use of proceeds aligns with the taxonomy. After issuance the allocation report is likewise reviewed as the regulation provides.

  Example — A reviewer notes a planned biofuel project lacks documentation against the harm criterion, and the issuer moves it out of the framework before issuance.

Counterpart in the other regime

• SEC Names Rule · United States · 17 CFR § 270.35d-1 (Release IC-35000)

Official source — EUR-Lex, förordning (EU) 2023/2631 · read 2026-09-01 · Taxonomy and financial products