Do No Significant Harm (DNSH)

An activity that helps one goal can hurt another. A hydropower plant may cut emissions yet damage river ecosystems. The DNSH test checks each activity against the remaining objectives, such as climate adaptation, water, circular economy, pollution control and biodiversity, using set criteria for each. It sits alongside the substantial contribution test and minimum social safeguards in the EU Taxonomy, and its use has spread to other classification systems, public funding programmes and fund-labelling rules. Some regimes also apply a form of it to social factors, through principal adverse impacts. Practitioners meet it when preparing taxonomy alignment data, checking eligibility for green funding or assessing a fund's sustainable investments. Take it away and one green benefit can excuse serious damage elsewhere.

A public development agency screens a grant for a new wind farm for taxonomy alignment. The project clearly cuts emissions, but the DNSH check asks about bird migration routes and construction waste. The developer shows a bird survey, shutdown rules for turbines in peak migration weeks and a waste recycling plan, so the grant goes ahead.