CENSATIMWhat is the EU Taxonomy? →Methodology
How Censatim assesses
EU Taxonomy alignment
A transparent account of what the tool does, how it reaches a view, what the ratings mean, and, just as importantly, what it does not claim to do. Every assessment carries an abridged version of this page; this is the full reference.
The three dimensions of alignment
For an activity to be Taxonomy-aligned it must do three things at once: contribute substantially to an environmental objective, avoid significant harm to any of the others, and be carried out with adequate social safeguards. A shortfall in any one prevents alignment.
Substantial Contribution
The activity must meet the Technical Screening Criteria for at least one of the six environmental objectives: the specific, often quantitative thresholds that define a substantial contribution.
Do No Significant Harm
It must not significantly harm any of the other five objectives, assessed against the DNSH criteria and the generic appendices (climate risk, water, pollution, circularity, biodiversity).
Minimum Social Safeguards
The undertaking must operate in line with minimum social and governance standards. This is an entity-level assessment, applied irrespective of the specific activity.
New to the EU Taxonomy? Read our plain-language guide →
How the assessment works
The process is designed to be simple for you. All you need to do is describe the asset in concise, accurate detail, then upload any supporting documents and answer a few short questions when prompted. Censatim does the rest: it identifies the matching Taxonomy activity, determines eligibility, assesses alignment across the three dimensions above, and produces a report.
Eligibility is free and takes under a minute. The deeper alignment assessment (assess and report) is the paid stage, and its depth depends on the scope you select. The quality of the result reflects the quality of the detail and evidence you provide, which is why clear description and supporting documents matter.
How the assessment reaches its conclusions
The assessment works dimension by dimension. Every criterion is judged on the evidence and rated In-line, Not aligned or, where the evidence needed to decide was not provided, Undetermined. Criteria are never scored partially: they are met, not met, or not yet determinable. Where the dialogue establishes that a required assessment, document or process does not exist, the criterion is rated Not aligned, because the assessment reflects the current state; Undetermined is reserved for evidence that was not provided or remained unclear. Every finding in the report cites the answers or documents it rests on, all of which are reproduced verbatim in the report’s annexes.
1.Substantial Contribution
The asset or activity is assessed against the Technical Screening Criteria of its matched activity: the specific requirements and thresholds set out in the Delegated Acts. Evidence comes from your answers and uploaded documents. Figures you state are attributed as such in the report until documentary evidence confirms them.
2.Do No Significant Harm
The activity must avoid significant harm to each of the other environmental objectives. The Delegated Acts set much of this through generic appendices covering climate risk, water, pollution and biodiversity; Censatim applies its own practical, assessment-ready versions of those requirements, so each objective is tested with real evidence rather than abstract legal text. Every applicable objective is rated individually, and DNSH is in line only when every applicable objective passes.
3.Minimum Social Safeguards
An entity-level test spanning four pillars: human rights and labour, anti-corruption, taxation, and fair competition. It is pass or fail: all four pillars must be evidenced for the safeguards to be in line.
The three dimension results then produce the overall conclusion shown at the top of every report:
| Overall conclusion | When it applies | How to read it |
|---|---|---|
| In-line | All three dimensions are in line. | The activity meets the Taxonomy tests on the evidence assessed. |
| Partial | One or two of the three dimensions are in line. | The report shows exactly which dimension falls short and why. |
| Not aligned | None of the three dimensions is in line. | The gaps section sets out what would need to change. |
| Undetermined | No dimension is in line, and key evidence was not available. | Alignment cannot be concluded either way on the evidence provided. |
Confidence: how well-evidenced the finding is
A rating tells you the outcome; a confidence level tells you how much weight to place on it. The two are independent: a criterion can be rated In-line with only Low confidence if the supporting evidence is thin. Confidence is reported per dimension.
The evidence provided clearly supports the rating. Little material information is missing.
The rating is reasonable, but some relevant evidence is incomplete or assumed.
Key evidence is missing. The rating is provisional and should be treated as indicative only.
Low confidence is a signal, not a failure: it identifies precisely where further evidence, or a human specialist review, would sharpen the view. Uploading supporting documents (technical reports, certificates, emissions data) raises confidence where it matters.
Where a table shows N/A, it means no applicable criterion exists for that activity under the relevant objective, so there is nothing to assess. N/A is neither a pass nor a fail.
Evidence and information gaps
Assessments are only as good as the information behind them. Censatim gathers evidence through a short, targeted questionnaire and through any documents you upload, from which it extracts the relevant facts. Every report includes an information gaps section setting out what further evidence would strengthen or change the finding, so the limits of the assessment are explicit, not hidden.
Each gap carries a priority grade reflecting its importance to the alignment question, shown on a blue scale kept deliberately distinct from the rating colours: High impact means the gap prevents a determination or alignment on a criterion until resolved; Material means it materially affects a rating or the confidence attached to it; and Minor marks a documentary improvement that does not change the current findings. Gaps are listed in order of materiality, so the first item is always the one most worth resolving.
The final report sets out every identified gap in priority order, so you know exactly what stands between the asset and alignment. You can also take those gaps to the Censatim team at consult@censatim.com: we can advise on how specific gaps are typically closed, and where deeper remediation work is needed we can recommend specialist consultants suited to the particular gap.
For traceability, every paid report appends the full question and answer record as an annex, reproduced verbatim, so each finding can be traced back to the answers and documents that produced it. Figures supplied by you are attributed as such in the report body and are never presented as established regulatory fact.
Transitional and enabling activities
Some activities qualify not on their own environmental performance but because they are transitional (no low-carbon alternative yet exists, and they meet a threshold that tightens over time) or enabling (they directly enable substantial contribution elsewhere). Where an identified activity falls into one of these categories, the assessment flags it, because it changes how the result should be read.
What this assessment is, and is not
Censatim produces a structured, evidence-based view of Taxonomy alignment, referenced against the EU Taxonomy Delegated Acts and their appendices. It is designed to give a credible, defensible starting point in minutes rather than weeks.
It does not constitute a formal opinion, legal or regulatory advice, or assurance, and is not a substitute for full verification by a qualified practitioner before use in disclosures, financing, or reporting. Where a formal, signed view is required, our specialists can review and confirm an assessment.
Assessments are made against the Delegated Acts as they stand at the time of assessment; the Taxonomy is periodically amended. The criteria basis is stated on every report (currently “Delegated Acts as amended, in force July 2026”) and the underlying criteria database is updated as amendments take effect, so you always know which version of the rules your assessment reflects.
Each issued report is stored under its reference and can be retrieved as issued. Reports are generated with the assistance of an AI system: if identical inputs were re-run, wording may vary, while the criteria applied remain those stated on the report. For a specialist review, or to discuss a specific case, contact consult@censatim.com.
What the process looks like
Where a description could genuinely fall under more than one Taxonomy activity, the eligibility check presents the candidates side by side, with our practitioner view of how demanding each typically is to align. You choose which to include; the free eligibility report then covers them all.
We identified more than one relevant activity. Tick all that apply:
| Activity | Eligibility | Confidence | Ease of alignment | |
|---|---|---|---|---|
| ✓ | Renovation of existing buildingsBest matchCCM 7.2 \u00b7 NACE F41, F43 | Likely eligible | High | Moderate |
| ✓ | Acquisition and ownership of buildingsCCM 7.7 \u00b7 NACE L68 | Likely eligible | High | Moderate |
Activities identified from your description. Ease of alignment reflects our experience across the Taxonomy and indicates typical cases, not a prediction for your asset.
This is an illustrative example of a completed asset assessment, using a worked cement-manufacturing case. Individual dimensions are rated In-line or Not aligned; the overall conclusion sits above them. Your report is branded, downloadable, and follows the same structure.
Company-wide reporting assessments follow the same structure, taken one business area at a time. Where only part of a portfolio meets the criteria, the report identifies the qualifying sub-set so you can apply your own turnover, CapEx and OpEx allocation to it; Censatim does not calculate financial figures.
See it on your own asset
A free eligibility check takes under a minute.