The EU Commission has pulled off a spectacular fudge by updating its draft taxonomy on sustainable investment but delaying a decision on whether natural gas and nuclear will be deemed ‘sustainable’ investments. The friction underscores how far apart different member states are in their journey towards ‘net zero’.

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The updated legislation says a separate “future delegated act” will establish whether, how and when natural gas can be included in the taxonomy. An assessment of whether nuclear is “climate-neutral energy” is ongoing.

The natural gas industry seems to be making headway in arguing its case to Commissioners. The updated draft waves a big fig leaf to gas:

“In order to acknowledge the role of natural gas as an important technology in reducing greenhouse gas emissions, the Commission will consider a specific legislation to ensure that activities contributing to emissions reductions would not be deprived of appropriate financing.”

However, it goes on to state that “transitional” invest…