ENGAGE for ESG, in collaboration with the Instituto de Crédito Oficial (ICO) and Banco de España, hosted an event in Madrid on 7 May focused on the challenges of ESG reporting in the European financial sector. The event gathered representatives from the Banco de España, ICO, the Spanish Ministry for Ecological Transition and the Demographic Challenge, BBVA, Banca March, KPMG, finReg360, and European DataWarehouse.
Co-funded by the European Union, the ENGAGE for ESG initiative supports compliance with the EU Taxonomy Regulation in the area of residential mortgages and home renovation loans and addresses the evolving European regulatory framework, which demands increased transparency from financial institutions regarding the environmental impact of their portfolios. These requirements, driven by the Taxonomy Regulation and directives such as the Energy Performance of Buildings Directive, aim to accelerate the green transition in key sectors like real estate—which accounts for 40% of the EU’s energy consumption. To simplify these challenges, the project has developed two key tools: the ENGAGE Templates and the ENGAGE Portal, designed to streamline sustainability reporting obligations and promote financing aligned with the EU’s climate goals. Both tools were presented during the event in Madrid.
José Manuel González-Páramo, Chair of the Supervisory Board of European DataWarehouse, opened the event by emphasising the strategic value of data in ensuring effective and verifiable green financing. Sergio Mayordomo, from Banco de España, presented a study on the impact of climate risk on credit supply, providing evidence of the growing need to integrate sustainability into financial management. Jacobo Llerena, Deputy Director at the Ministry for Ecological Transition and the Demographic Challenge, highlighted current efforts regarding energy efficiency in Spain, notably the re-scaling of energy performance certificates.
A central segment of the event featured European DataWarehouse’s Marco Angheben and Maitane Puente González, who detailed the workings and benefits of the ENGAGE Portal and Templates. They demonstrated how these tools allow banks to standardise ESG reporting and calculate indicators like the Green Asset Ratio (GAR) without requiring costly IT integrations. The tools are available free of charge until October 2025 and have already been tested by institutions such as Unión de Créditos Inmobiliarios (UCI) and NN Bank.
Marco Angheben said “through the ENGAGE Portal, credit institutions can assess the quality of their sustainability data and receive reports detailing the extent to which their portfolios align with the European Taxonomy. We are at a pivotal moment in decarbonising the residential real estate sector and combating energy poverty, and we cannot afford to slow down.”
Ashwin Harpalani, from the Instituto de Crédito Oficial, explained how the ICO supports sustainable investment in Spain. Beatriz Benítez Mateo-Sagasta, director at finReg360, spoke on the legal ESG transparency framework in Europe, highlighting the complexity of disclosure requirements for credit institutions. Her contribution emphasized how initiatives like ENGAGE could reduce the administrative burden and move institutions toward more automated and efficient compliance models.
A roundtable moderated by Juan Carlos Delrieu, Head of ESG at Banco de España, featured Silvia Irazoqui (BBVA), Juana María García Sastre (Banca March), and Pablo Vañó (KPMG). The discussion focused on the risks and opportunities posed to financial institutions by ESG compliance, touching on topics such as the recent Omnibus package, challenges related to the Green Asset Ratio, and the role of data in advancing sustainability.
Silvia Irazoqui remarked, “This event was a great opportunity to understand the need for banks to have real, high-quality data from clients in order to manage risk effectively and support them in transitioning to more sustainable models through advice and financing.”
Pablo Vañó noted, “The Omnibus package represents a unique opportunity for the financial sector to shift toward smarter regulation: less administrative burden and more focus on creating value and advancing sustainability in tangible ways.”
The event also explored how ENGAGE for ESG tools can enhance market confidence in sustainable investments. With 80% of Spain’s building stock considered energy inefficient, initiatives like ENGAGE for ESG can facilitate access to financing for home renovations, reduce energy poverty, and mitigate the climate impact of the real estate sector.
Supported by an international consortium including European DataWarehouse, Hypoport, Università Ca’ Foscari Venezia, NN Bank, UCI, and Dexai-Etica Artificiale and launched in 2022, the initiative has brought together financial and tech institutions to drive the green transition in Europe’s real estate sector. Over 70 organisations have already requested the ENGAGE Templates, and six European banks are currently in discussions to test the ENGAGE Portal.
The recent event in Madrid consolidates ENGAGE for ESG’s position as one of the most advanced European initiatives helping the financial sector adapt to new sustainability requirements. With practical tools such as the ENGAGE Templates and Portal, a collaborative approach, and EU support, ENGAGE for ESG is emerging as a key player in the green transition of Europe’s mortgage and home renovation loan sector.
Media Contact:
Carla Scarsella
Tel. +49 (0) 69 50986 9320
Email: engage4esg@eurodw.eu
Project Background
Attracting private investments and stimulating green loan financing is crucial for the EU mission of achieving a zero-emission building stock by 2050. ENGAGE for ESG aims to provide a solution to have a single data disclosure format for mortgage funding and regulatory purposes encompassing the most relevant European ESG regulations such as the EU Taxonomy, EU GBS and EPBD. Thereby ENGAGE for ESG aims to facilitate a truly new format that facilitates both the banks, regulators and investors by combining existing mortgage disclosure(s) with new (and recently announced) ESG regulations, such as the EU Taxonomy. Creating transparency on definitions and requirements, with respect to the data-needs will allow the Financial Institutions to translate these needs towards the consumer products as well.
Why ENGAGE?
Buildings are responsible for approximately 40% of EU energy consumption and 36% of EU greenhouse gas emissions. Currently in Europe about 75% of existing buildings are qualified as ‘energy inefficient’. Every year about 1% of buildings undergo an energy efficient renovation[1]. Home renovations and the financing thereof should increase. Financing the energy efficiency improvement property stock is an important component in realising the greenhouse gas emission reduction objectives. The mortgage market can play a crucial role in providing funding to home renovation programmes aimed at improving the energy performance of the European building stock. The ENGAGE for ESG framework for energy efficient mortgages and renovations will create transparency through the translation and application of the relevant sections of the EU Taxonomy (and forthcoming EPBD) into the Dutch and Spanish national building and mortgage-lending practices that will ultimately contribute to standardisation of innovative and decarbonisation-targeted capital markets financing transactions.DISCLAIMER: Co-funded by the European Union. Views and opinions expressed are however those of the author(s) only and do not necessarily reflect those of the European Union or CINEA. Neither the European Union nor the granting authority can be held responsible for them.
To achieve the proposed 55% emission reduction climate target by 2030, around EUR 275 billion of additional investments are needed per year.
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