The EU’s General Court has upheld the European Commission’s decision to classify nuclear and gas-fired power as sustainable investments, rejecting a legal challenge brought by Austria. Under pressure from countries including France, Poland, or Romania, the Commission decided in 2022 to label both energy sources as sustainable under the EU’s new sustainable finance taxonomy — a framework that defines which technologies can be considered green for investment purposes. Austria filed a lawsuit against the decision later that year.
In September 2025, the General Court dismissed Austria’s case, ruling that the Commission was within its rights to consider nuclear energy as having near-zero greenhouse gas emissions. The court also noted that alternative low-carbon sources were not available at sufficient scale to meet current energy needs.
Austria may still appeal the ruling before the EU Court of Justice, the bloc’s highest judicial authority.
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