The European Union’s decision to dilute its corporate sustainability rules could hurt the bloc’s efforts to fight climate change and risks rewarding companies with a poor track record, environmental NGOs and clean energy advocates say.
In a deal clinched in the early hours of Tuesday, EU leaders, the European Commission and the Parliament agreed a series of amendments to the Corporate Sustainability Due Diligence Directive (CSDDD), which will require larger companies to identify and address any environmental or human rights violations in their supply chains.
The amendments, which still need formal approval by the Parliament and EU member states, mean the due diligence requirements will apply to far fewer companies than initially targeted and maximum penalties will be reduced from 5% to 3% of a company’s annual global turnover.
In another change, the EU also scrapped a requirement for companies to publish climate transition plans setting out how they would make their business model compatible with the Paris Agreement.
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The EU Commission said the changes, which follow months of corporate lobbying, US pressure and interventions by France and Germany, will remove all requirements for many smaller companies and introduce greater flexibility for larger companies, which will help to ease administrative burdens on businesses and drive investment.
But climate campaigners and clean tech industry representatives said the watered down rules were a setback for European efforts to clean up supply chains and reduce emissions.
“By deleting the climate transition plan implementation, the EU is weakening the key legislative frameworks for businesses to prepare for climate risks and global challenges that can severely affect their operations and value chains,” said Julia Otten, who works on corporate due diligence at Frank Bold, a sustainability NGO and law firm.
“This is counter-productive for businesses, weakens accountability, and jeopardises the EU’s own plans and objectives on climate and the industrial transition,” she added.
“Extremely disappointing”
Industry leaders in clean energy technologies say that the changes undermine their sector’s climate efforts and risk putting companies that prioritise sustainability at a disadvantage.
Rachel Owens, CEO of the Solar Stewardship Initiative, a multistakeholder scheme that has set out standards for what transparent and sustainable solar value chains should look like, told Climate Home News the move was “extremely disappointing”.
Requiring companies to set out their climate transition plans would have demonstrated that the production of solar panels and other renewable energy technologies and the energy they generate have much lower emissions than their fossil fuel alternatives, she said.
For Maurice Loosschilder, global head of sustainability at Signify – a multinational company that manufactures LED lighting systems that help reduce energy consumption – the removal of the climate transition plans from the law will make it more difficult to align businesses and their supply chains with the EU’s climate goals and could reduce incentives for innovation.
Because of its large size, Signify still falls under the law’s requirement. But Loosschilder said he was concerned that the company could lose its competitive edge when faced with small companies for which the same sustainability rules do not apply.
Intense lobbying
The agreement reached on Tuesday followed intense lobbying by industry and governments.
In a letter addressed to EU leaders, the US and Qatar warned that investment and energy supplies to the EU would be harmed if the CSDDD came into effect in its original form.
Documents obtained by the Amsterdam-based Centre for Research on Multinational Corporations (Somo) show how 10 major companies lobbied to dilute the regulation. This included oil and gas majors ExxonMobil, Chevron and TotalEnergies as well as metals and minerals producer Nyrstar, a subsidiary of commodity trading giant Trafigura Group.
Total Energies defended its advocacy in Brussels and in European capitals as being “in full compliance with applicable laws and regulations”. The other companies did not respond to Somo’s requests for comment.
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NGO Global Witness accused EU leaders of giving in to lobbying by the fossil fuel industry.
“Major oil and gas giants will now be able to dodge their responsibility to act on [the] climate, largely thanks to intense US political and corporate pressure,” Beate Beller, a senior campaigner at Global Witness, told Climate Home News.
The EU’s about-face also weakens efforts to clean up the supply chains of technologies needed for the energy transition such as electric vehicles, batteries and solar panels.
“Clean tech cannot be ‘clean’ if the raw materials behind it are mined under weakened standards. This is what made the spirit of the CSDDD so promising: it paired climate transition plans to cut fossil-fuel dependence with robust human-rights and environmental due diligence across clean-tech supply chains,” she added.
Lower bar on supply chain oversight
The rules will now only apply to companies established in the EU with at least 5,000 employees and a net global turnover of 1.5 billion euros. It had originally applied to companies with at least 1,000 employees and turnover of 450 million euros. Member states have until July 2028 to transpose the requirements into national law.
When assessing their supply chains, companies will need to follow a risk-based approach and focus on areas that carry the biggest potential for harm. For example, an EV maker might focus on the production of the battery, which requires a range of different minerals whose extraction and processing carry high risks.
However, companies are no longer required to carry out comprehensive mapping of their direct and indirect suppliers. Instead, they will need to conduct “a general scoping exercise” based on “reasonably available information”.
Johannes Blankenbach, a senior researcher at the Business and Human Rights Centre, told Climate Home News that it is important that companies identify risks beyond their direct suppliers.
That’s because the most severe risks typically lie further up the supply chain, for example, where raw materials are sourced or extracted from the ground, he said.
In addition, harmonised rules across the EU to allow victims of harms to take companies to court have been removed, which will make it more difficult for communities to find legal remedies, Blankenbach added.
While the EU Commission said the less onerous requirements should help drive investment, Sonia Dunlop, CEO of the Global Solar Council, a trade body for the solar industry, said investors in solar farms wanted guarantees about the origin of solar panels and battery storage equipment.
“They want to know where it was made, and they want to know that it was properly made according to the highest environmental, social and governance standards,” she said, citing industry initiatives to boost supply chain transparency and standards such as the Solar Stewardship Initiative.
She said the initiative had been spurred by both the EU’s plan to tighten due diligence laws as well as industry concerns over the use of forced labour in the production of polysilicon used in solar panels in China’s Xinjiang region.
The post EU weakening of corporate sustainability rules ‘jeopardises’ climate action, critics say appeared first on Climate Home News.
EU weakening of corporate sustainability rules ‘jeopardises’ climate action, critics say
ADELAIDE, Friday 24 JULY — Labor’s National Conference has today committed to support a global moratorium on deep sea mining just days before the International Seabed Authority (ISA) Assembly is due to meet in Kingston, Jamaica, on Monday.
The commitment, agreed under the platform’s third chapter which covers climate and environment, outlines that Labor will “ensure the Australian Government leads ambitious international efforts for global agreements on… a moratorium on deep sea mining in international waters.”
Dr. Susie Byers, Head of Advocacy at Greenpeace Australia Pacific, said from the Conference: “This commitment to support a moratorium on deep sea mining is the strongest from Labor yet and is very welcome. The eyes of the world are now on Australia ahead of the ISA’s Assembly meeting next week, where delegates will discuss the future of deep sea mining and protection of the sea floor.
“Deep sea mining is a destructive new industry that, if allowed to start, will risk irreversible damage to the ocean and communities worldwide who depend on it, with disproportionate impacts on Pacific nations, cultures and economies.
“Labor must not agree to strong action at the Conference today and then stay quiet in front of the world at the ISA come Monday. Australia must hold its nerve or risk letting down the many thousands of Australians who want to see this destructive industry stopped – not to mention our friends, including many of our Pacific family, who want to see the world’s precious deep seas protected from greed and destruction.
“This year, Labor moved to ratify the Global Ocean Treaty, the most significant ocean protection agreement in history. To be true leaders in ocean protection, Australia must now fortify their position with a moratorium on deep sea mining in international waters.”
More than 40 countries, including seven Pacific nations, have called for a moratorium or precautionary pause on deep sea mining.
The Government has not yet announced opposition to deep sea mining, despite it being revealed that former LNP prime minister Scott Morrison and the international weapons industry, with links to AUKUS, were behind a global push to start the practice.
— ENDS —
Labor must follow through on promise to stop deep sea mining
The UK’s new prime minister Andy Burnham remained tight-lipped on his views on climate change during his leadership campaign.
When asked his views on allowing new North Sea drilling in June – a move that the oil-and-gas industry and right-wing media have pushed for in recent months – he said he had “something of an open mind” on the issue.
But a trawl of Burnham’s past comments about climate change, net-zero and fossil fuels reveals a different picture.
Just a year ago in June 2025, Burnham, while mayor of Greater Manchester, gave his support to the fossil fuel treaty – a proposed international pact on phasing out coal, oil and gas – calling it a “lifeline” that “all governments” should join.
In a video message endorsing the treaty, he also said that “there should be no turning away from net-zero”.
During his last bid to be Labour leader in 2015, he used similar language, saying:
“Labour under my leadership will never turn our back on either our duty to tackle climate change or the prospects offered by the green economy.”
Burnham has spoken about the threat of climate change since at least 2008, noting in 2021 that accelerated action could “create thousands of good jobs”, but also warning that net-zero risked becoming the “next Brexit”.
Burnham is yet to appoint his cabinet, but there is much speculation that he will select current net-zero secretary Ed Miliband as his chancellor – with their ally Miatta Fahnbulleh having a “strong chance” of taking Miliband’s former position.
Below, Carbon Brief recounts 28 things that Burnham has said about climate change, net-zero, fossil fuels, energy and transport.
Climate change
“Tackling climate change isn’t just about protecting the planet – it’s a powerful opportunity to build a fairer, greener future for our communities and businesses.”
Calling for local councils to be given more power and money for climate action, 29 November 2025
“There is little doubt that Greater Manchester’s biodiversity has taken a hit over the years, with habitats being lost, destroyed and becoming less diverse due to the impact of development, climate change, pollution and invasive species…We are committed to delivering a city-region for all residents to enjoy – a fairer, greener and more prosperous place for everyone.”
Statement after Greater Manchester declared a “biodiversity emergency”, 25 March 2022
“Over the next decade, if we accelerate our response to the climate crisis, we can create thousands of good jobs, improve homes, overhaul our transport system and make [Manchester] an even better place to live.”
Greater Manchester Green Summit, 18 October 2021
“The environment has never been higher on the national and international agenda.”
Statement after visiting a peat bog restoration project in England, 9 January 2020
“I think climate change [action] will be driven more quickly from the bottom up, if I’m honest. It’s the will of evolution if you wait for the government to act…When governments aren’t listening you get out and get your voice heard…so I think [climate protesters] deserve our encouragement, not our criticism.”
Speaking to Manchester Evening News at a student climate protest in Manchester, 24 May 2019
“Labour under my leadership will never turn our back on either our duty to tackle climate change or the prospects offered by the green economy.”
Labour leadership candidate speech, 15 July 2015
“Climate change can seem a distant, impersonal threat – in fact the associated costs to health are a very real and present danger…We need well-designed climate change policies that drive health benefits.”
Speaking to the Guardian about a study on climate and health, 25 November 2009
“The Stern report on the economics of climate change has changed the debate, in this country and around the world. It made it clear that the people who could suffer most from a failure to tackle climate change, or from a lack of ambition in our approach to it, are those living in the developing countries. They are the most vulnerable…[and] Stern said that the cost of not acting would be large. That is why the government took various measures in the recent spending review to ensure that we are prepared to face the challenges posed by climate change.”
Speaking in the UK parliament on the economic impacts of climate change on his final day as chief secretary to the Treasury, 24 January 2008
Net-zero
“There should be no turning away from net-zero.”
Speaking after giving his support to the fossil fuel treaty – a proposed global pact to introduce laws to phase out coal, oil and gas – on behalf of Manchester, 6 June 2025
“An opportunity is opening up for Britain as other countries move away from net-zero. We should seize that…We can make Britain a green leader. This is not the time to tiptoe, it is the time to commit to this path.”
Speaking at Innovation Zero World Congress in London, 29 April 2025
“[We] need a government that fully buys into the 2038 vision because the UK will not get to 2050 unless places like Greater Manchester are freed up to go faster – and we’re ready to go faster.”
Speaking about Greater Manchester’s aim to reach net-zero by 2038, 19 October 2022
“In Greater Manchester we have plans to build 30,000 net-zero social rented homes because we recognise that a successful city region needs good quality, affordable accommodation for everyone.”
Speech on the future of cities, 24 June 2022
“By building a broad consensus behind the drive to net-zero, we can ensure that the transition is a fair one that delivers social justice as well as climate justice. This is an opportunity for all of us to show how cutting carbon emissions in our cities can make a real difference to our communities – away from the abstractions and rooted in the real world.”
Panel discussion in Glasgow during the COP26 climate summit, 12 November 2021
“To the extent that people have picked up anything from COP26, it’s a sense that the drive to net-zero will mean cost and inconvenience for ordinary people and offsetting for the wealthy and entitled. All of a sudden, you can feel how net-zero could become the new Brexit – a debate that gets very divided on class grounds…This has got to be a wake-up call. We cannot let this happen. We need to act now to build a broad social consensus behind the drive to net-zero. How to do that? It starts with taking control of the climate narrative from those steering it in the wrong direction and turning it around…We must show how, if done in the right way, the drive to net-zero is actually an opportunity to reduce the cost of living; to make people’s lives better and society fairer.”
Writing for the London Standard, 5 November 2021
“The drive to net-zero is a chance to re-industrialise the north of England, this time in a clean way. Create really good jobs, future-facing jobs for people, better public transport, improve people’s homes…If we go quickly towards net-zero, it’s the quickest way to level up the country.”
ITV interview at COP26, 1 November 2021
“If we really embrace the drive to net-zero, that is the route to level up the country…But it needs substantial investment, upfront, now, of the kind that Rachel Reeves, shadow chancellor [and chancellor under Keir Starmer’s government], has been talking about. We need long-term predictable funding.”
Interview with GB News at COP26, 1 November 2021
“I would have preferred to hear slightly less about carbonated wine and much more about a decarbonised economy.”
Referencing a UK budget, which included tax cuts for sparkling wine and other drinks, 28 October 2021
“Decarbonising is not just about lowering costs on to people. It’s the route to get better, cheaper public transport. It’s the route to getting homes that are cheap to run. It’s actually the way we can create thousands of good jobs for the people who live in Greater Manchester. This is the route to levelling up the country by going further and faster on decarbonisation.”
Speaking to Manchester Confidential, 20 October 2021
“[I am] asking people to stop seeing the environmental agenda as a cost and a burden agenda. I think this is a barrier that we’ve got to get over. Already in the media interviews I’ve done today, people are saying ‘can you afford it?’, ‘can it be achievable when times are tough?’.
“My answer to that is, at some point in the 21st century, all homes will be zero-carbon. At some point in this century, all buildings of any kind will be zero-carbon…All cars will be zero-carbon, all public transport will be zero-carbon…The question is: when? And surely the places that embrace those things first are putting themselves in a position of economic strength when it comes to facing up to the future. Rather than seeing the whole agenda as a burden, we’ve got to see it for the benefits that it can bring.
“There may be a greater upfront cost in a zero-carbon home, but let’s stop thinking, as we tend to do in Britain, of the short-term, the short-termist approach to life. Surely let’s start talking to the public about the lifetime cost.”
Greater Manchester Green Summit, 21 March 2018
Fossil fuels
“I’ve got something of an open mind, you know. I don’t have a sort of fixed position.”
Speaking on the issue of new North Sea oil and gas in a New Statesman interview, 3 June 2026
“We would fight this in GM [Greater Manchester]…Communities across the north would face all the danger and disruption while big oil and gas walk away with all the profits.”
In response to Reform’s call for fracking, on X, 25 August 2025
“I am proud to endorse the fossil-fuel treaty proposal today on behalf of Greater Manchester. It’s not just a plan – it’s a lifeline. It’s a call to end coal, oil and gas, hold polluters accountable…I urge all governments, nationals and subnationals to join this fight.”
Statement upon endorsing the fossil-fuel treaty, 5 June 2025
“Fracking is the past, it is not the future.”
Speech at London climate protest, 20 September 2019
“I have called for a moratorium on fracking. Far too many potential risks and unanswered questions.”
On X, 22 June 2015
Energy and transport
“What I would do, if successful, is lay out a plan for more public control over water, energy, transport, so that over the period we can get those bills down, fares down, and give people and give businesses breathing space.”
LBC interview, 2 July 2026
“I am all in favour of tough decisions at a national level. I don’t believe there should be a third runway at Heathrow, for instance. But I think those are decisions for national government.”
Guardian interview, 13 June 2019
“There is a debate to be had about aviation, isn’t there? There are changing public attitudes about aviation. Rather than just saying no to people flying, don’t we need to accelerate research into low and zero-carbon forms of aviation?”
Guardian interview, 13 June 2019
“Today, I stand alongside the mayors of some of the greatest cities in the world. I’m committed to a cleaner, greener and healthier future for Greater Manchester. Around a third of greenhouse gas emissions in our city-region come from transport.”
When signing the C40 Fossil-Fuel-Free Streets Declaration, which includes support for zero-emissions vehicles and walking and cycling, on behalf of Manchester, 14 September 2018
This article was updated on 20 July to reflect Burnham replacing Keir Starmer as UK prime minister.
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The post 28 quotes from new UK leader Andy Burnham on climate, net-zero and fossil fuels appeared first on Carbon Brief.
28 quotes from new UK leader Andy Burnham on climate, net-zero and fossil fuels
Climate Change
Greenpeace welcomes dismissal of Woodside’s anti-democratic “SLAPP suit” against climate campaigners
SYDNEY, Thursday 23 July 2026 — Greenpeace Australia Pacific has welcomed news that a ‘fishing expedition’ brought by Woodside in connection with a 2023 climate protest has been dismissed in full, celebrating it as a win for the community in their ongoing fight to stop Woodside from drilling for oil and gas at Scott Reef.
The Supreme Court of Western Australia today threw out Woodside’s case, finding it had not succeeded in establishing it might have a cause of action against an unknown party involved in a three-year-old protest to bring attention to the harmful effects of Woodside’s gas expansion on climate and cultural heritage.
It comes as public opposition to Woodside’s plans to drill over 50 gas wells at Scott Reef continues to mount.
David Ritter, CEO at Greenpeace Australia Pacific, said: “Greenpeace welcomes the news that this case has been dismissed. Woodside’s use of a SLAPP* suit of this kind is a grotesque attempt to use legal tactics to silence people. There should be no place for SLAPP suits in Australian democracy.
“Community opposition to Woodside’s dangerous plans to drill over 50 gas wells at Scott Reef is large and growing.
“Woodside’s plan to drill for gas at Scott Reef is breaking hearts in the Australian community. Their plan to drill for gas at the pristine, magnificent Scott Reef, risking precious marine wildlife like turtles and whales, oceans and the climate, is a disaster waiting to happen, and one that over half a million Australians are calling on the WA and Federal governments to stop.”
-ENDS-
Notes for editor
A petition calling on the federal and WA governments to save Scott Reef has more than 552,000 signatures.
*SLAPP stands for “Strategic Lawsuit Against Public Participation”. It is a legal tactic used by powerful corporations, particularly within the fossil fuel industry, to censor, intimidate, and silence critics by burdening them with the high costs of a legal defense until they abandon their environmental advocacy or protests.
Media contact
Lucy Keller on +61 491 135 308 or lucy.keller@greenpeace.org
Kimberley Bernard on +61 407 581 404 or kbenard@greenpeace.org
Greenpeace welcomes dismissal of Woodside’s anti-democratic “SLAPP suit” against climate campaigners
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