Green Governance: A Blessing or a Burden?

The magnitude of climate change problems and the inability of countries to address these problems have caused global actors to step in to find solutions. Thus, green governance has become a critical and widespread form of governance. The United Nations (UN) leads global efforts in the field of green governance with initiatives like United Nations Framework Convention on Climate Change, Kyoto Protocol, Paris Agreement, and Sustainable Development Goals. The European Union (EU) carries out initiatives such as The EU Green Deal, Taxonomy Regulation and sustainability legislation. Sustainability legislation of the EU imposes responsibilities on countries. This study introduces green governance and examines the global obligations of the Corporate Sustainability Reporting Directive (CSRD). The study investigates the contributions and the economic effects of global policies, and whether these policies are a blessing or a burden for weak parties such as developing countries and SMEs.