EU court says private jet manufacturing can be labelled green investment

June 24 (Reuters) - The manufacture of private jets cannot be excluded from a list of activities deemed to be environmentally sustainable, the European Union's second-highest court said on Wednesday, annulling a decision by the European Commission.

• The contested list, the sustainable finance taxonomy, is intended to provide investors with an overview of green investments.

• The Commission in 2023 excluded aircraft for private or commercial business aviation from the list, based on CO2 emissions per passenger kilometre compared with other modes of transport.

• That decision was contested by French planemaker Dassault Aviation, which called it unlawful.

• The EU's General Court said that other modes of transport could not necessarily be seen as low-carbon alternatives because private jets have specific characteristics in terms of flexibility, speed and connectivity.

• It also said that the CO2 footprint related to the operation of aircraft, not the manufacturing of them.

• The court noted that the Commission had failed to take into account that private jets could be flown on sustainable fuel.

• The Commission can appeal the ruling within two months.

(Reporting by Bart MeijerEditing by David Goodman)