EU Taxonomy

EU Taxonomy Framework and Reporting Requirements

The EU Taxonomy Regulation establishes a framework for identifying environmentally sustainable economic activities under the European Green Deal. It defines criteria for measuring and reporting sustainability performance and supports the transition to a low-carbon, circular, and resilient economy, while ensuring transparency for investors and stakeholders.

Under this regulation, NRC Group reports:

• The share of turnover classified as taxonomy-eligible, non-eligible, and taxonomy-aligned
• The share of CapEx and/or OpEx within the same categories
• Relevant contextual information supporting these KPIs 

To qualify as environmentally sustainable, an activity must:

1. Substantially contribute to at least one environmental objective
2. Do no significant harm to the other objectives
3. Comply with minimum safeguards

The figures reported are audited by Ernst & Young. 

Changes compared to last year’s reporting

No fundamental changes have been made to the EU Taxonomy methodology; however, several refinements have been introduced to improve clarity and materiality.

• NRC Group has applied the new 10% materiality threshold under the amended Delegated Act, excluding immaterial Taxonomy-eligible activities (typically 0–2% of turnover) from assessment and reporting. These activities are also excluded from CapEx, where they represent less than 2%.
• OpEx has been assessed as not material for Taxonomy reporting, as it does not influence eligibility or alignment outcomes. Therefore, only total OpEx is disclosed.
• The CapEx allocation methodology has been refined to a revenue-weighted approach to better reflect asset use across projects, although this had no impact on aligned CapEx in 2025.
• The recycling rate under DNSH Circular Economy is now assessed using a project-to-date methodology rather than a calendar-year basis, providing a more accurate reflection of lifecycle performance.

Taxonomy-Aligned Activities in 2025

The assessment of Taxonomy alignment is conducted at project level, prioritising projects with the highest revenue contribution. As railway projects represent the majority of NRC Group’s revenue, the assessment has primarily focused on activity CCM 6.14 Infrastructure for rail transport.

In 2025, 20% of NRC Group’s turnover was Taxonomy-aligned, compared to 27% in 2024. The decrease is mainly driven by lower revenue from previously aligned projects and a limited number of new alignment assessments completed during the year.

Taxonomy-aligned CapEx decreased from 15% in 2024 to 3% in 2025, primarily due to investments in machinery and equipment being allocated to projects not classified as aligned during the reporting period.

NRC Group will continue to refine its methodology and expand the scope of project-level assessments in future reporting periods.

A detailed description of the methodology is provided in the Annual Integrated Report. KPI results are presented in the table below, with full disclosures in accordance with Annex II of the Disclosures Delegated Act available in the download.