Remiss Skickades

SSMA’s response to ESMA’s Consultation Paper on Technical Standards under the Regulation on transparency and integrity of Environmental, Social and Governance rating activities

SSMA’s response to ESMA’s Consultation Paper on Technical Standards under the Regulation on transparency and integrity of Environmental, Social and Governance rating activities

The Swedish Securities Markets Association (SSMA) has responded to the ESMA Consultation Paper on Technical Standards under the Regulation on transparency and integrity of Environmental, Social and Governance (ESG) rating activities.

The Technical Standards, when adopted, provides further details to the rules set out in the Regulation on the transparency and integrity of ESG rating activities which was published in the EU Official Journal on 27 November 2024.

The SSMA welcomes the simplification approach taken by ESMA in the consultation, but considers that even more could be done to simplify processes and information requirements, e.g. in relation to information about analytical resources.

The SSMA further notes that a balance must be struck between what could be proprietary information that an ESG rating provider has a legitimate interest in keeping inhouse, and transparency, and post questions e.g. regarding the reference to “methodologies that are based on scientific evidence” in areas where there is not yet an established scientific methodology.

The SSMA also notes that there is a concern amongst some rated companies that ESG rating providers do not communicate with them and that providers fail to correct information that is incorrect or incomplete. Against this background, the SSMS would like to see further clarity about when there is an obligation to correct and the timeframe for such corrections.

SSMA’s response to ESMA’s Consultation Paper on Technical Standards under the Regulation on transparency and integrity of Environmental, Social and Governance rating activities – June 2025