Strategy
5
mins
10 best software to comply with the EU Taxonomy
Updated on
26/11/25
The 10 Best Software Solutions to Comply with the EU Taxonomy
Let’s Talk About the EU Taxonomy and Its Role in Sustainable Finance
What Article 8 of the Taxonomy Regulation Requires
How the Taxonomy Relates to CSRD, ESRS, and SFDR
How EU Taxonomy Software Helps Ensure Compliance
Dcycle: The ESG Solution that Simplifies EU Taxonomy Compliance
Frequently Asked Questions (FAQs)
These are the 10 best software solutions to comply with the EU Taxonomy in 2025:
Complying with the EU Taxonomy has become a challenge for many companies that must classify and report their activities accurately.
Having a software solution to comply with the EU Taxonomy allows companies to automate ESG data collection, apply technical criteria, and generate financial indicators with traceability and consistency. All this without relying on manual templates or scattered processes.
This regulation requires companies to demonstrate with verifiable data how their operations contribute substantially to environmental objectives, without causing significant harm and while meeting the minimum safeguards.
That is why centralizing ESG information is the first step to align revenue, CapEx, and OpEx with the Taxonomy and facilitate later verification.
In practice, companies that already measure and manage their ESG data are those best prepared to adapt to the regulation and use it as a competitive advantage.
Throughout this article, we will see how to structure reporting, which criteria to apply, and which tools make compliance easier, in a simple, traceable, and scalable way.
Dcycle is a SaaS sustainability management solution created so that companies can collect, structure, and report their ESG data without relying on spreadsheets or external consultants.
We are not auditors or advisors, but rather a platform designed for companies seeking to comply with the EU Taxonomy, CSRD, or ESRS in an automated, simple, and traceable way.
With Dcycle, all ESG data is integrated into a single environment, making it easier to identify eligible and aligned activities with the EU Taxonomy criteria.
The system automatically calculates the KPIs for revenue, CapEx, and OpEx, applying the technical screening criteria (TSC) and maintaining the traceability required for audit and digital tagging.
In addition, the same information can be reused across other frameworks or certifications, such as EINF, SBTi, or ISO standards, avoiding duplication and ensuring consistency among the different reports.
In this way, all ESG information is centralized in one place, saving time and reducing errors.
Dcycle enables exporting data in XBRL format, incorporating data quality alerts and maintaining full control over the evolution of key indicators and metrics. All this with a clear goal: turning regulatory compliance into a strategic lever that boosts organizational competitiveness and efficiency.
Main advantages of Dcycle:
In summary, Dcycle is the ideal solution for companies that want to move from mere compliance to managing sustainability as a real competitive advantage.
Greenly is a digital Carbon Footprint management platform designed for companies that want to start measuring and managing their ESG data quickly.
Its focus is on automated data collection related to consumption, energy, and mobility, facilitating the estimation of Scope 1, 2, and 3 emissions.
The tool allows mapping activities and expenses against EU Taxonomy criteria, generating basic reports that help identify which operations are eligible or aligned.
Although its technical scope is more limited, it is useful for companies that are taking their first steps in ESG reporting.
Highlights of Greenly:
Persefoni is a corporate-level carbon accounting software, designed for companies that need to comply with complex regulatory frameworks and produce advanced climate reporting.
Its main strength lies in its ability to integrate large volumes of data and calculate the carbon footprint according to recognized standards, as well as offering simulation tools and financial analysis linked to ESG performance.
Key aspects of Persefoni:
Watershed combines emission measurement with continuous ESG performance management in a unified interface.
It allows companies to automate sustainability data collection and align results with the EU Taxonomy, CSRD, or SBTi requirements, providing complete traceability from source to indicator.
Its proposal stands out for offering a consolidated view of corporate progress, connecting operational indicators with strategic decisions. It also includes internal collaboration and data validation features.
Strengths of Watershed:
Workiva is a corporate reporting orchestration platform that connects financial, operational, and ESG information within a single workflow.
Its greatest value lies in the integrated management of controls, traceability, and internal auditing, which is key for complying with both the EU Taxonomy and the CSRD.
The tool helps consolidate scattered data and automate review processes, eliminating manual errors in reports and facilitating collaboration between sustainability, finance, and compliance teams.
Main advantages of Workiva:
These solutions represent different approaches and levels of technological maturity, but all share a common goal: to make EU Taxonomy and ESG reporting more efficient, traceable, and aligned with today’s regulatory demands.
StepChange focuses on practical decarbonization with guided workflows. It helps collect relevant data, set roadmaps, and connect actions with indicators aligned with the EU Taxonomy.
It is useful when we want to move quickly from diagnosis to execution.
It integrates tasks, responsibilities, and deadlines, allowing us to prioritize measures by impact and cost. This ensures coherence between what we measure, report, and implement in the annual plan.
In short:
Futureproof offers an agile setup and a clear approach for mid-market companies that need to structure their ESG processes without initial complexity.
It allows us to centralize information, create basic indicators, and generate useful outputs for CSRD and EU Taxonomy.
Its strongest point is operational simplicity. We can start quickly, validate the data model, and scale up as data volumes grow or regulatory requirements become more technical.
In short:
Emitwise is focused on supply chain and Scope 3, ideal when we need traceability with suppliers and higher data quality for emission factors.
It helps map categories and improve estimates using primary data.
For the EU Taxonomy, it facilitates linking expenses and investments to activities and documenting assumptions, which is key when consolidating information from multiple subsidiaries and suppliers.
In short:
VelocityEHS integrates EHS and ESG in the same environment.
It provides risk, incident, and compliance management, connecting operational data with reporting. It is valuable when EHS processes already exist and we want to unify data.
It allows traceability from operational data to Taxonomy KPIs, with controls and evidence for internal and external audits.
In short:
Cority is an EHS/ESG suite focused on data governance, permissions, and change control.
It helps normalize information, maintain historical records, and ensure that every indicator has a clear source and version.
For the EU Taxonomy, it is useful for groups with multiple sites, where it is necessary to achieve criteria convergence, common templates, and consistency in assumptions.
In short:
Consistency in criteria and calculation assumptions.
The EU Taxonomy is one of the pillars of the new regulatory framework that aims to organize sustainability information and make it comparable across companies and sectors.
Its goal is not to create a label or seal, but rather to establish a common language that allows investors, financial institutions, and companies to understand which activities are environmentally sustainable according to objective criteria.
For companies, knowing and applying this classification is no longer optional.
It is a central component of regulatory reporting under the CSRD and ESRS, and it is part of the set of indicators that investors use to assess each company’s position and risk. Understanding and applying it correctly is essential to comply with obligations and remain competitive in the market.
Beyond regulatory compliance, the EU Taxonomy operates as one of several sustainable finance frameworks that guide how environmental and social data are integrated into financial decision-making. These frameworks help investors compare sustainability performance and ensure capital flows toward genuinely sustainable activities.
The EU Taxonomy is a classification system for economic activities developed by the European Union.
Its purpose is to determine which activities genuinely contribute to the EU’s environmental objectives and to ensure that investment flows are directed toward activities with a positive and measurable impact.
In practice, it helps identify, calculate, and report which parts of revenue, investments (CapEx), and operating expenses (OpEx) are eligible or aligned with the technical criteria defined by the regulation.
This analysis is essential to prepare the reports required under Article 8 of the Taxonomy Regulation, which must be integrated into the company’s annual or sustainability reports.
Applying it correctly requires well-structured, traceable, and verifiable data. That is why having a solution that centralizes all ESG information and adapts it to different regulatory frameworks (CSRD, ESRS, SBTi, ISO standards, etc.) is key to complying efficiently and reliably.
The Taxonomy is based on a clear framework combining environmental objectives, technical criteria, and governance principles.
Each economic activity must be assessed according to this framework to determine whether it can be considered aligned or not.
This system is built around four main components that define the evaluation and reporting process: the six environmental objectives, the Technical Screening Criteria (TSC), the Do No Significant Harm (DNSH) principle, and the minimum safeguards.
The Taxonomy identifies six environmental objectives that cover all key areas of business impact.
These are: climate change mitigation, climate change adaptation, sustainable use of water and marine resources, transition to a circular economy, pollution prevention and control, and protection and restoration of biodiversity and ecosystems.
For an activity to be aligned, it must contribute substantially to one or more of these objectives, always under technical criteria defined by the European Commission.
The Technical Screening Criteria (TSC) define in detail the conditions an activity must meet to be considered aligned with the Taxonomy.
These criteria vary by sector and environmental objective, and include threshold values, calculation methodologies, and performance requirements for environmental or energy outcomes.
The European Commission publishes these criteria through Delegated Acts, which are periodically updated to incorporate new activities or adjust existing parameters.
Applying them correctly requires a detailed analysis of data and processes, something that can be automated when using a system that integrates information from different internal sources.
In addition to contributing substantially to an environmental objective, an activity must not cause significant harm to the other objectives.
This is known as the DNSH principle (Do No Significant Harm).
To demonstrate compliance, we must assess indirect impacts and ensure that our operations, products, or services do not generate material damage in other environmental areas.
This requires cross-cutting indicators and full traceability that allow us to justify the decisions and assumptions used in calculations.
Finally, every aligned activity must comply with the so-called minimum safeguards, which refer to responsible governance principles, human-rights standards, and basic labor norms established by the OECD, the UN, and the ILO.
In practice, this means companies must demonstrate consistency between their ESG management and internal compliance policies, maintaining records that guarantee processes meet these principles.
These safeguards are not a mere formality: they ensure system integrity and reporting credibility, enabling the information disclosed under the Taxonomy to have real value for auditors, investors, and authorities.
Together, understanding and properly applying these four components is essential to comply with the EU Taxonomy in a structured, verifiable, and strategic way, and above all, to integrate sustainability as a real lever for competitiveness and business efficiency.
Article 8 of the EU Taxonomy Regulation defines how companies must report the share of their activities that are eligible or aligned with the sustainability criteria set by the European Commission.
Its purpose is to ensure transparency, traceability, and comparability among organizations, allowing investors and authorities to clearly understand what portion of each business contributes to the EU’s environmental objectives.
In practice, this article makes sustainability a measurable and comparable matter. It requires companies to link financial data with the technical criteria defined in the delegated acts and to demonstrate with evidence which operations meet the requirements.
Companies must report three key financial indicators (KPIs): revenue (turnover), CapEx (capital expenditures), and OpEx (operating expenditures).
Each KPI must show what share of the total corresponds to activities eligible and aligned with the Taxonomy.
This allows regulators to compare each company’s contribution to environmental and climate goals in terms of economic activity.
To do this correctly, it is essential to connect financial data with the Taxonomy activity structure, apply the relevant Technical Screening Criteria (TSC), and maintain full traceability of calculations.
A single misclassified data point can distort the final percentages, so consistency in data collection and control is crucial.
An eligible activity is one that appears in the official Taxonomy list and could potentially contribute to environmental objectives.
However, this does not necessarily mean it meets all technical or governance criteria.
An aligned activity, on the other hand, fully complies with the Technical Screening Criteria (TSC), the Do No Significant Harm (DNSH) principle, and the minimum safeguards. Only these can be included in the final indicators as effective contributions.
Therefore, companies must analyze each business line carefully, determine its degree of eligibility, and progressively move toward alignment through technical or governance improvements.
Complying with Article 8 requires a solid data structure, covering both ESG and financial information, along with processes ensuring consistency across all reports.
To prepare for annual reporting, it is advisable to follow a clear methodology:
A well-prepared dataset not only enables Taxonomy compliance, but also allows automatic integration into other regulatory frameworks such as CSRD or ESRS, reducing reporting effort and ensuring consistency across all disclosures.
The EU Taxonomy framework has evolved through different delegated acts, which expand and refine technical criteria. Knowing this sequence helps to apply Article 8 correctly.
2021: Climate Delegated Act
Established the first technical criteria for the climate change mitigation and adaptation objectives.
2022: Complementary Delegated Act
Included, under very specific conditions, certain gas and nuclear energy activities within the transition framework.
2023: Environmental Delegated Act
Extended the Taxonomy to the remaining four objectives — water, circular economy, pollution, and biodiversity — and introduced technical and editorial adjustments to previous texts.
2025: Simplification Package (effective 2026)
Launched a regulatory review focused on reducing administrative burden and simplifying disclosures without losing technical accuracy.
This package aims to facilitate compliance, especially for mid-sized companies and complex groups.
Understanding this evolution is key to planning proper reporting. Companies that structure their ESG information with a long-term vision will be better prepared to comply with Article 8 and to turn sustainability into a strategic lever for competitiveness and transparency.
The EU Taxonomy is not an isolated regulation.
It is part of the broader framework that defines how companies and financial institutions must measure, report, and demonstrate their ESG performance with verified data.
Its integration with the CSRD, ESRS, and SFDR creates a single system in which all sustainability information must be connected and traceable.
The shared goal is clear: harmonize data and avoid duplication, so that a company can prepare a single ESG data flow and reuse it across multiple reports, audits, and regulatory obligations.
The CSRD requires companies to produce comprehensive and verifiable sustainability reports, and the ESRS (European Sustainability Reporting Standards) define their content and structure.
Within this framework, the EU Taxonomy integrates directly, since data reported under ESRS must include Taxonomy indicators (revenue, CapEx, and OpEx) and be presented with digital tagging in XBRL format.
This means all data points must have traceability and consistency across report sections.
For example, if an activity is classified as aligned in the Taxonomy report, that same information must also appear in the financial section and the environmental metrics under the ESRS.
In other words, XBRL tagging enables regulators and auditors to automatically verify the consistency between financial and sustainability reports, reducing the risk of errors and increasing transparency.
The SFDR (Sustainable Finance Disclosure Regulation) requires investment funds and asset managers to disclose the sustainability profile of their financial products.
To do so, they directly use the EU Taxonomy alignment percentages published by companies.
In other words, the KPIs we report under the Taxonomy become essential inputs that investors use to evaluate and classify their portfolios based on sustainability performance.
This creates a coherent chain of information: companies report under CSRD and ESRS, the data is digitally tagged, and funds reuse it to meet their SFDR obligations.
Hence, it is crucial to have a system ensuring data quality and traceability from the source.
One of the greatest advantages of the new European framework is that different standards share the same ESG data base.
If data is well structured from the beginning, it can feed all regulatory frameworks from a single dataset, avoiding repetitive tasks.
The key is to maintain a unified data model, where each ESG data point has an identifier, source, date, and traceability.
This way, CSRD, Taxonomy, or SFDR reports are not rebuilt from scratch every year but automatically updated.
This not only reduces workload, but also improves reliability and consistency, which is crucial when reports are subject to external review or verification.
Applying the EU Taxonomy involves a series of structured steps that go beyond indicator calculation. It requires data governance, technical documentation, and verification processes.
Here are the key elements every company should consider:
First, companies must identify their economic activities and map them against the categories and codes in the Taxonomy Compass, the official tool of the European Commission.
This allows them to determine which parts of their operations are eligible.
Each eligible activity must be assessed against the Technical Screening Criteria (TSC) and the Do No Significant Harm (DNSH) principle.
It is essential to keep evidence showing how each criterion is met, including methodologies, thresholds, performance data, or impact reports.
Once activities are identified and documented, the next step is to calculate the percentages of revenue, CapEx, and OpEx corresponding to each one.
These indicators reflect the company’s alignment level with the Taxonomy and serve as the basis for Article 8 reporting.
All information must be managed within a control and versioning system, where it is clear who entered each data point, when it was validated, and under which criteria.
This approach ensures auditability and prevents inconsistencies between reporting periods.
The European Commission has announced a simplification package for 2025, to be applied from 2026.
This will bring changes to report structures and reduce administrative burden. Keeping active regulatory monitoring will allow companies to adapt systems and processes in time, avoiding report rework or duplicated effort.
Overall, the connection between Taxonomy, CSRD, ESRS, and SFDR reinforces the idea that sustainability is no longer a bureaucratic task, but an integrated system of management and competitiveness.
Companies that structure their data properly today will be ready to comply, benchmark, and continuously improve their ESG performance without duplication or manual processes.
Complying with the EU Taxonomy requires handling large volumes of financial, technical, and operational data with precision and traceability.
Doing so without technological support multiplies the risk of errors, inconsistencies, and wasted time. That is why using specialized EU Taxonomy software has become a necessity rather than an option.
A well-designed system allows us to centralize all ESG information, link it to regulatory criteria, and generate the required indicators with full consistency.
In this way, reporting stops being a burden and becomes an opportunity to optimize processes, anticipate audits, and improve data quality.
The first step to comply with the Taxonomy is to collect and normalize the company’s ESG data.
This means connecting internal sources such as ERP systems, spreadsheets, or technical reports and converting all that information into a common and verifiable format.
Specialized software automates this process and detects inconsistencies or missing data, ensuring that each metric has a source, unit, and date.
This eliminates duplication and minimizes manual processes.
Once the data is structured, the next step is to link each activity to the Technical Screening Criteria (TSC) defined by the European Commission and apply the Do No Significant Harm (DNSH) principle.
The system facilitates this task through pre-configured mappings or templates that relate activities, indicators, and technical requirements.
This simplifies verification of which business areas meet the required criteria and enables documenting every decision in a traceable and auditable way.
One of the greatest benefits of EU Taxonomy software is the automatic generation of mandatory KPIs: revenue (turnover), CapEx, and OpEx.
The system accurately calculates what percentages are eligible and aligned according to the rules established in Article 8 of the Regulation.
It also allows real-time updates whenever financial data or activity conditions change, preventing manual recalculations and interpretation errors.
Compliance with the Taxonomy requires reports to be submitted with digital tagging (XBRL or iXBRL) so that supervisors can automatically read and compare the data.
Specialized software generates these exports automatically, following the technical taxonomy defined by EFRAG and ensuring compatibility with European validation systems.
This not only streamlines formal submission but also reduces audit costs and rejection risks due to technical errors.
A Taxonomy software solution must not operate in isolation. Companies that seek efficiency need their ESG system integrated with the frameworks of CSRD, ESRS, and SFDR.
Interoperability ensures that the same data used to calculate Taxonomy KPIs automatically feeds sustainability reports, financial metrics, and investor disclosures.
Thus, we maintain a single source of truth and avoid duplicated work.
This integration not only improves reporting quality but also allows data-driven decision-making, understanding the regulatory and strategic impact of each activity.
Trying to comply with the EU Taxonomy without an appropriate system can become a slow, costly, and risky process.
Dispersed data, departmental silos, and lack of traceability often lead to inconsistencies in calculations and delays during audits.
Moreover, each year the regulation introduces technical adjustments and new obligations, making manual control practically unfeasible.
Without a tool that consolidates and updates data automatically, the margin for error increases and the cost of compliance skyrockets.
Therefore, companies that aim for rigorous and efficient compliance are increasingly adopting technological solutions that automate ESG reporting, unify data, and turn the Taxonomy into a strategic lever for competitiveness, transparency, and risk management.
Complying with the EU Taxonomy involves managing vast amounts of financial, technical, and ESG data. Doing this manually greatly increases the risk of errors and workload.
Implementing dedicated Taxonomy software enables us to automate processes, maintain data coherence, and ensure rigorous, traceable compliance.
Having a centralized tool also helps connect sustainability with business strategy, turning regulatory reporting into a continuous improvement process.
One of the main advantages is the centralization of all ESG information. Instead of keeping data scattered in spreadsheets or emails, the system consolidates everything in a single environment.
This allows us to see the complete data journey, from its origin to the final report.
Such traceability is essential for audits, internal validations, and regulatory reviews, while also preventing duplication or outdated versions.
Automating data collection, classification, and indicator calculations saves hundreds of work hours otherwise spent on repetitive tasks.
Specialized software eliminates human error, updates metrics automatically, and lets teams focus on analysis, planning actions, and improving data quality.
The technical standards (RTS) and delegated acts of the Taxonomy are periodically updated. A capable system keeps criteria current, automatically applying any regulatory changes.
This ensures that calculations, indicators, and formats are always aligned with the latest European Commission requirements, without manually checking each update.
The software facilitates documentation of evidence, version control, and traceability of every calculation.
This makes audits faster and more transparent, since all information can be reviewed easily.
Moreover, a structured environment allows companies to demonstrate compliance with the DNSH principle and minimum safeguards, which are critical for full alignment under the EU Taxonomy.
One of today’s greatest challenges is ensuring consistency between financial and sustainability reports.
A good Taxonomy software solution connects both worlds, synchronizing financial KPIs with ESG indicators.
This guarantees coherence across reports under CSRD, ESRS, and SFDR, ensuring that all published information is verifiable, comparable, and auditable under the same criteria.
Choosing the right tool is essential to ensure efficient and scalable compliance.
Good EU Taxonomy software should combine regulatory precision, technical automation, and ease of use.
It must allow integration of data from internal systems (ERP, accounting, environmental management, HR) and connection to external ESG sources or reports.
The goal is to avoid duplication and ensure that all calculations are based on real, traceable, and updated information.
The regulatory environment evolves every year. Good software includes automatic updates of Technical Screening Criteria (TSC) and delegated acts, applying changes without manual intervention.
This guarantees that we are always working with the latest version of the regulation and prevents errors from outdated parameters.
Compliance with the Do No Significant Harm (DNSH) principle and minimum safeguards requires rigorous data control.
The tool should include automatic validation modules to check criteria, assumptions, and evidence, keeping a record of each evaluation and decision made.
To comply with Article 8 of the Taxonomy Regulation, the software must generate reports in XBRL or iXBRL format, consistent with the official EFRAG taxonomy.
This ensures digital tagging as required by the European Commission and facilitates interoperability with CSRD and ESRS reports.
Finally, the tool must guarantee data security and controlled access, with permission systems and change logs.
Version control is essential: every modification must be recorded to maintain traceability, comply with audit standards, and avoid reporting errors.
A good software solution not only simplifies compliance but also turns the EU Taxonomy into an ongoing process of improvement, bringing order, control, and strategic value to a company’s ESG management.
Complying with the EU Taxonomy should not be seen merely as a regulatory obligation, but as a strategic opportunity.
Every piece of data we report demonstrates our ability to show transparency, efficiency, and control over ESG performance.
When this information is well managed, we do more than comply — we gain an edge over competitors who have not yet structured their processes.
The key lies in turning compliance into a management tool.
If we can measure activities precisely, link them to Taxonomy criteria, and maintain traceability for every decision, we can identify improvement opportunities, optimize investments, and strengthen trust among clients, investors, and auditors.
The adoption of specialized software marks the turning point between reactive compliance and strategic data management.
Before implementation, it is advisable to define a clear plan that allows information to be structured and aligned with the European regulatory flow.
The first step is to identify the company’s economic activities and determine whether they are included in the EU Taxonomy.
This involves reviewing processes, revenue streams, investments, and operating expenses to assign them to the categories defined by the European Commission.
At the same time, we must analyze the quality and availability of our ESG data, detecting gaps, inconsistencies, or non-digitalized information.
This initial evaluation will help prioritize actions and define the appropriate reporting structure.
Not every company needs to report on all environmental objectives.
It is essential to define the scope of the analysis, identifying which objectives — mitigation, adaptation, water, circularity, pollution, or biodiversity — are relevant to the organization’s operations.
Defining scope allows us to focus resources on the most significant activities and ensures that the report accurately reflects the company’s reality without adding unnecessary complexity.
A proper EU Taxonomy software must help automate the calculation of KPIs (revenue, CapEx, and OpEx), link data with Technical Screening Criteria (TSC), and generate reports compatible with digital tagging (XBRL or iXBRL) as required by the regulation.
It is important to select a solution that not only covers the technical part, but also integrates with internal systems and allows data reuse across frameworks like CSRD, ESRS, SBTi, or ISO standards.
This way, we achieve a single data ecosystem without duplicating effort or wasting time on manual tasks.
Compliance is not only about reporting; it is about demonstrating how each figure was obtained.
Therefore, we need internal controls that ensure data traceability, including versions, responsibilities, and sources.
Documenting evidence of compliance with the DNSH principle, minimum safeguards, or substantial contribution is what guarantees report reliability during audits or external verifications.
Having everything structured from the start reduces risks and prevents last-minute corrections.
The European regulatory framework is not static. In 2025, the simplification package of the Taxonomy will come into effect, applicable from 2026.
This implies new reporting formats, revised criteria, and streamlined processes for medium and large companies.
Being prepared for these changes means keeping the system updated, reviewing the activity mapping, and adapting templates or workflows in advance.
This prevents improvisation with each new update and helps maintain a stable, consistent, and audit-ready compliance structure.
In short, when we manage the EU Taxonomy with a strategic vision, we move from complying out of obligation to competing through efficiency.
Measuring, automating, and anticipating regulatory changes allow us to transform sustainability into a real lever for growth and market differentiation.
In an increasingly demanding regulatory environment, complying with the EU Taxonomy requires precision, traceability, and control over ESG data.
At Dcycle, we understand that companies do not need more bureaucracy, but a technological solution that automates processes and removes complexity.
We are not auditors or consultants, but a solution designed for companies that want to measure, manage, and communicate their sustainability in a rigorous and efficient way.
Our platform unifies everything in a single environment to capture, validate, and report ESG information, connecting Taxonomy requirements with other frameworks such as CSRD, ESRS, and SFDR.
Thus, we transform regulatory compliance into a strategic management tool.
Dcycle automatically collects ESG data from different internal sources, normalizes and validates it to guarantee consistency.
Each data point includes complete traceability, from origin to the final report.
This means all information is integrated into a single structured database, eliminating duplication and reducing manual errors.
Moreover, data is automatically distributed across the various regulatory frameworks, avoiding the need to rebuild or duplicate reports.
Our solution automates the calculation of indicators required under Article 8 of the EU Taxonomy: revenue (turnover), CapEx, and OpEx.
The system identifies which activities are eligible and which are aligned with the technical criteria, the DNSH principle, and the minimum safeguards.
Results are updated in real time as new financial or technical data are added, ensuring precise, traceable, and auditable reporting.
This allows the company to respond swiftly to regulatory reviews or external verifications.
Dcycle centralizes all ESG information within a unified environment connected to the main European regulatory frameworks.
The data collected for the Taxonomy are directly reused for CSRD, ESRS, or SFDR, maintaining consistency across indicators and avoiding repetitive work.
This enables sustainability, finance, and compliance teams to collaborate from a single source of information, improving efficiency and ensuring that reports are consistent, comparable, and verifiable.
Complying with the EU Taxonomy requires generating reports in digital formats (XBRL or iXBRL), as defined by EFRAG.
With Dcycle, this process is fully automated.
The platform produces tagged files ready for submission to regulators or auditors, following the technical structure required by the European Commission.
This reduces preparation time, prevents formatting errors, and facilitates immediate validation of the report.
At Dcycle, we believe sustainability is not just compliance — it is a true competitive advantage.
When ESG data is properly structured, it becomes a management tool capable of improving processes, identifying risks, and strengthening corporate reputation.
By automating EU Taxonomy compliance, we help companies move from obligation to control, and from control to strategic advantage.
With a robust ESG data system, compliance ceases to be a cost and becomes an opportunity for data-driven decision-making, supported by verified, transparent, and business-relevant information.
The EU Taxonomy is a common classification system created by the European Union to define which economic activities can be considered sustainable according to objective criteria.
Its purpose is to ensure transparency and comparability, allowing companies and investors to identify activities that contribute to the EU’s environmental objectives, such as climate change mitigation, adaptation, or biodiversity protection.
In practice, the regulation defines what information companies must report, how to structure it, and which technical criteria must be met to prove that their activities have a positive and measurable environmental impact.
Reporting under the EU Taxonomy is mandatory for companies already subject to the Non-Financial Reporting Directive (NFRD) and, progressively, for those included under the Corporate Sustainability Reporting Directive (CSRD).
This covers large enterprises, financial institutions, and insurers, as well as listed companies operating within the EU.
In the medium term, non-listed SMEs will also be able to report voluntarily following a simplified standard.
The goal is for all organizations with significant economic impact to measure and disclose how their operations contribute to the EU’s environmental goals.
An eligible activity is one that appears on the list of activities covered by the EU Taxonomy, meaning it falls within the regulation’s scope.
However, that does not automatically mean it meets all technical requirements.
An aligned activity, on the contrary, fully complies with the Technical Screening Criteria (TSC), the Do No Significant Harm (DNSH) principle, and the minimum governance safeguards.
In reports, companies must clearly distinguish between eligible and aligned activities, since only the aligned ones are considered fully sustainable for regulatory purposes.
Article 8 of the EU Taxonomy Regulation establishes that companies must disclose three main financial indicators (KPIs):
To calculate these indicators correctly, companies must map their activities against the Taxonomy, apply the technical criteria, and maintain traceability of data sources and assumptions.
These KPIs must be published with clear explanations of the methodology used, and in most cases, verified through external review or audit.
Using specialized EU Taxonomy software significantly simplifies the compliance process.
It enables companies to collect and centralize ESG data, automate KPI calculations, and apply Technical Screening Criteria (TSC and DNSH) in a structured and traceable way.
These systems also generate digital reports (XBRL or iXBRL) required by the European Commission, ensuring consistency between financial and sustainability reports.
The main advantage is that companies reduce manual errors, save time, and ensure coherence across regulatory frameworks such as CSRD, ESRS, and SFDR.
Ultimately, such software allows organizations to move from reactive compliance to strategic ESG data management, turning the Taxonomy into a lever for efficiency, control, and competitive advantage.
Carbon footprint calculation analyzes all emissions generated throughout a product’s life cycle, including raw material extraction, production, transportation, usage, and disposal.
The most recognized methodologies are:
Digital tools like Dcycle simplify the process, providing accurate and actionable insights.
Some strategies require initial investment, but long-term benefits outweigh costs.
Investing in carbon reduction is not just an environmental action, it’s a smart business strategy.
.png)
.jpg)
