Collusion, Coercion, and the EU’s Corporate Sustainability Directives

A European Union flag flutters outside the EU Commission headquarters in Brussels on Feb. 1, 2023. Yves Herman/Reuters

Commentary

For years, unelected regulators and global financial firms have colluded and used other people’s money to force businesses to address climate change and social issues. Under the guise of Environmental, Social, and Governance (ESG), proponents diverted capital away from the energy sector, prioritizing political activism over prudent financial stewardship. The resulting misallocation of capital is most acutely felt in Europe, where energy prices are four times higher than in the United States.