EU Taxonomy for Transport
Transport is a priority sector in the EU Taxonomy — with Technical Screening Criteria covering road vehicles, rail, aviation, shipping, and supporting infrastructure. The sector accounts for 25% of EU GHG emissions and is central to the net zero transition. Here is what qualifies and what does not.
Transport is a priority sector in the EU Taxonomy — with Technical Screening Criteria covering road vehicles, rail, aviation, shipping, and supporting infrastructure. For road transport, the EU Taxonomy Climate Mitigation TSC is straightforward: zero direct (tailpipe) emissions.
Road transport TSC — zero emission vehicles
For road transport, the EU Taxonomy Climate Mitigation TSC is straightforward: zero direct (tailpipe) emissions. Battery electric vehicles (BEVs) and hydrogen fuel cell vehicles qualify. Plug-in hybrids do not qualify under the main TSC (they have direct emissions) — they qualified under a transitional provision that expired at the end of 2025.
For fleet-intensive businesses (logistics, car rental, leasing): your BEV and FCEV fleet represents taxonomy-aligned transport activity. The revenue from operating these vehicles (passenger transport, goods delivery) and the CapEx for fleet acquisition qualify as taxonomy-aligned.
For manufacturing companies: company fleet electrification does not generate taxonomy-aligned revenue (your revenue comes from manufacturing, not transport services). However, EV fleet CapEx may qualify under a taxonomy CapEx plan if you are transitioning from a diesel fleet to BEVs as part of your Scope 1 decarbonisation plan.
EV charging infrastructure is a separately listed taxonomy activity — operators of public charging networks have a clear taxonomy alignment pathway.
Rail and public transport
Rail transport is one of the strongest taxonomy alignment opportunities — electric rail is the lowest-emission mass transport mode globally. Taxonomy TSC for passenger and freight rail: electric rail transport is directly aligned; diesel rail is eligible but not currently aligned under the standard TSC; diesel rail may qualify under a CapEx plan to electrify or transition to hydrogen traction.
For rail operators: your electric train operations qualify for taxonomy-aligned revenue. Investment in rail electrification infrastructure qualifies as taxonomy-aligned CapEx. Rolling stock acquisition (electric trains) qualifies as taxonomy-aligned CapEx.
Public transport (urban): city bus operations qualify if the fleet is electric or hydrogen-powered. Diesel and CNG bus fleets do not align. Many European cities are transitioning to electric bus fleets — the associated CapEx qualifies under taxonomy CapEx plans during the transition.
Aviation and shipping — the hard cases
Aviation: The Taxonomy covers aviation activities but current alignment is very limited. The primary TSC pathway for aviation is Sustainable Aviation Fuel (SAF) — the TSC require specific SAF blending proportions and lifecycle emission thresholds. Current SAF availability is insufficient for widespread taxonomy alignment. Most airlines currently have near-zero taxonomy-aligned revenue from passenger transport.
Airport infrastructure is covered separately — terminal construction and renovation qualifying under buildings TSC; ground handling equipment electrification under zero-emission vehicles.
Shipping: Maritime transport TSC are based on the Carbon Intensity Indicator (CII) rating — ships rated A or B on the IMO CII scale qualify. The CII is calculated as CO2 emissions per transport work (g CO2/tonne-nautical mile). LNG-fuelled ships do not typically qualify. Ammonia, hydrogen, and methanol-fuelled vessels are the primary pathway to taxonomy alignment for newbuild shipping.
Port infrastructure is covered — shore power (cold ironing) infrastructure, hydrogen bunkering facilities, and zero-emission cargo handling equipment are taxonomy-aligned activities.
Frequently asked questions
Does our company van fleet qualify for taxonomy alignment?
If your vans are battery electric or hydrogen fuel cell, yes — zero direct emission commercial vehicles are covered by the road transport TSC. Diesel, petrol, or hybrid vans do not qualify. If you are transitioning your van fleet to electric, the acquisition CapEx for electric vans qualifies as taxonomy-aligned CapEx.
We are a logistics company — what proportion of our revenue can be taxonomy-aligned?
Only revenue from transport operations using taxonomy-aligned vehicles (BEV, FCEV). Revenue from diesel HGV operations, regardless of load factor or route efficiency, is not aligned. For most logistics companies currently, taxonomy-aligned revenue is limited to the proportion of fleet that is already electric — typically low but growing rapidly.
Does investing in EV charging infrastructure count as taxonomy-aligned CapEx?
Yes — installation and operation of electric vehicle charging infrastructure is a listed taxonomy activity. The CapEx for installing EV chargers (public or workplace) and the revenue from charging services qualify as taxonomy-aligned. This is one of the clearest current alignment opportunities for real estate and infrastructure companies.