European green course: Commission proposes reform OF THE EU economy and society to achieve climate objectives

14.07.2021

EU news

Today the European Commission adopted a package of legislative proposals implementing THE EU climate, energy, land-use, transport and taxation policy is adapted to reduce greenhouse gas emissions by at least 55 % by 2030 compared to 1990 level. Without such a reduction in emissions over the next decade, Europe will not be able to become the world's first global climate neutral world by 2050; and European Green Course realize in life. With the proposals adopted today, the Commission has set out legislative tools, achieving the targets set out in the European Climate Act and fundamentally transform the economy and society into a fair, green and prosperous future .14/07/2021

Comprehensive and interlinked proposals

The proposals adopted today will accelerate the reduction in greenhouse gas emissions over the next decade. They foresee: to include new sectors in the Emissions Trading Scheme and to make the existing EU ets trading system more robust, to make greater use of renewable energy sources, to increase energy efficiency, to deploy low-emission modes of transport and the infrastructure and fuel needed for their use, to harmonise tax policy with the European green course objectives, to implement carbon leakage measures and to implement instruments for the protection and maintenance of natural carbon sinks.

  • EU Emissions Trading Scheme (ETS) determine the carbon price of each year and emission ceilings in specific economic sectors. In its last 16 years emissions in electricity generation and energy-intensive industries have decreased by 42.6 %. Today The Commission proposes reduce the total emission ceilings further and accelerate their annual reduction. The Commission also proposes phasing out the free allocation of allowances in aviation and regulations match a scheme for the equalisation and reduction of carbon emissions from international aviation (CORSIA) and to include shipping emissions for the first time IN THE EU ETS. In order to address the low emissions reductions in road and buildings sectors, it is proposed to apply a new separate emission allowance trading scheme for the distribution of road fuel and buildings. The Commission also proposes to increase the size of the Innovation Fund and the modernisation fund.
  • Alongside significant climate expenditure IN THE EU budget Member States should direct all revenue from emissions trading to climate and energy-related projects. A certain proportion of the revenue from the new road transport and buildings should be devoted to: avoid potential social impacts on vulnerable households, micro-enterprises and transport users.
  • Joint efforts in the Regulation new emission reduction targets are set for each Member State for buildings, road transport and maritime transport, agriculture, waste sector and small industrial enterprises. Recognising the different starting points and options for each Member State, these targets are based on gdp per capita and adjustments have been made to take account of cost-effectiveness.
  • Member States are jointly responsible for the capture of carbon dioxide from the atmosphere and therefore Land Use, Forestry and Agricultural Regulation the EU's overall target for carbon attraction is set with natural attractors, reaching 310 million tonnes OF CO2 equivalents by 2030. National targets are set in such a way that Member States should increase their carbon sinks and take care of these targets. By 2035, THE EU should seek to achieve climate neutrality in land use, forestry and agriculture, including non-CO2 emissions such as the use of fertilisers and livestock farming. EU Forest Strategies the objective is to improve the quality, quantity and sustainability OF EU forests. It supports forest owners and the bioeconomy based on forest resources while preserving the sustainability of harvesting and biomass use, protecting biodiversity and foreseeing a plan for 2030. Planting three billion trees in Europe.
  • Energy production and use represent 75 % of EU emissions and it is therefore important to rearrange a greener energy system faster. The Renewable Energy Directive will be determined higher target: 40 % of our energy from renewable sources by 2030. This objective will be achieved by all Member States and specific targets for the use of renewable energy are proposed for transport, buildings, heating and cooling and industry. To achieve climate and environmental objectives, sustainability criteria for bioenergy use are strengthenedand the Member States should build their bioenergy support schemes in such a way that the principle of cascade is respected as regards the use of wood biomass.
  • To reduce the total energy use, emissions and energy poverty, Energy efficiency directive AT EU level will be determined more ambitious binding annual targets for reducing energy use. It will indicate how the national contribution is established and the energy saving obligation of the Member States is almost doubled. To drive the wave of renovation, create jobs and reduce energy consumption and costs for taxpayers, the public sector will have to rebuild 3 % of its buildings every year.
  • In order to reduce emissions in road transport, a number of measures are needed in parallel with emissions trading. Stricter CO2 emission standards for passenger cars and vans accelerate the transition to baseball mobility, with the requirement that: average emissions from new passenger cars from 2030 should be reduced by 55 % and from 2035 to 100 % compared to the level of 2021. Thus, all new passenger cars registered from 2035 will be baseball cars. To ensure that drivers can charge or refill vehicles in a reliable network throughout Europe, revised Alternative Fuel Infrastructure Regulation it will be determined that Member States need to extend the charging options in view of the sales volume of light carsand for major motorways, recharging and refuelling points are to be established every certain intervals: every 60 km for electrical charge and every 150 km for hydrogen refuelling.
  • Aviation and marine fuels are causing considerable pollution and there is also a need for special action in these areas. The Alternative Fuel Infrastructure Regulation stipulates that aircraft and ships major ports and airports must have access to clean electricityThe Initiative Refuel Aviation determine the obligation for fuel suppliers build a more sustainable mixture of aviation fuelsimplemented AT EU airports, including the introduction of synthetic low-carbon fuels or e-fuels. Similarly the Initiative Fuelu Maritime incentivise the introduction of sustainable marine fuels and bedland technologies by establishing maximum limit of greenhouse gas content for energy used by ships entering European ports.
  • The energy taxation system must protect and improve the Single Market and support green resettlement, that is, it must provide proper incentives. In the revised Energy Tax Directive suggested harmonise the taxation system of energy products with EU energy and climate policies, thus promoting clean technologies and removing obsolete exemptions and reduced rates that currently only contribute to the use of fossil fuels. The aim of the new rules is to reduce the harmful effects of competition in the field of energy taxation by providing Member States with income from green taxes which have less impact on growth than labour taxes.
  • Finally, new carbon Import Mechanism determine the carbon price targeted imports of products to ensure that Europe's ambitious climate action does not lead to carbon leakage. Tas ensure that European emission reductions contribute to the reduction of global emissionsrather than contributing to the shift of carbon intensive production outside Europe. It also aims to encourage industry outside THE EU and our international partners to take action in this direction.

All these proposals are linked and complementary. This balanced package and the revenue generated by it are necessary for us to ensure the transition that makes Europe fair, green and competitive, namely by dividing responsibility equally between the various sectors and Member States and, where necessary, providing additional support.

Socially equitable rearrangement

While in the medium and long term THE benefits of EU climate policy are undoubtedly outweighed by the cost of this transition, there is a risk that climate action in the short term can lead to additional burdens for vulnerable households, micro-enterprises and transport users. Therefore, the measures adopted today in the package of climate change are distributed fairly.

Moreover, carbon pricing instruments increase revenue that can be reinvested in innovation, economic growth and clean technologies. Suggested to create new climate social fund, which will provide Member States with specific funding to help citizens finance investments in energy efficiency, new heating and cooling systems and cleaner mobility. The climate social fund will be financed from THE EU budget by an amount of 25 % of the expected revenue from emissions trading in the field of fuel and road transport fuels. On the basis of a targeted revision of the multiannual financial framework, Member States will provide funding of eur 72,2 billion in the period 2025-2032. With the proposal to mobilise equally large amounts of Member States, a fund for socially equitable resettlement would mobilise eur 144,4 billion.

The benefits of immediate action for the protection of human and planet are clearly: cleaner air, cooler and greener cities, healthier people, less energy consumption and bills, jobs for European citizens, technological and industrial opportunities, more space for nature and a healthier planet to be transferred to future generations. The challenge of Europe's green transition is to ensure that its benefits and opportunities are accessible to all as quickly and fairly as possible. Through the various policy instruments available at EU level, we can ensure that the pace of change is sufficient but not too disturbing.

Basic information

European green course, with which the Commission came forward on 11 December 2019, aims to make Europe the first climate-neutral part of the world by 2050. In the European Climate Act, which takes effect this month, strengthens THE EU's commitment to climate neutrality and achieve an intermediate target of reducing greenhouse gas emissions by at least 55 % by 2030 compared to 1990 levels. On THE EU's commitment to reduce its greenhouse gas emissions by at least 55 % by 2030 announced UNFCCC(Link is External) In December 2020 as the EU's contribution to the achievement of the objectives of the Paris Agreement.

EU greenhouse gas emissions have already fallen under THE EU's current climate and energy legislation for 24 % compared to 1990, the EU economy has grown by around 60 % during this period, which means that growth is decoupled from emissions. The legal framework that has been tested and proven is the basis of this package.

Before coming up with these proposals, the Commission has carried out extensive impact assessments assessing the possibilities and costs of green conversion. In September 2020 comprehensive impact assessment the Commission's proposal to increase the EU 2030 net emission reduction target to 55 % compared to 1990 levels was underpinned. This showed that such a target is achievable and favourable. The legislative proposals published today are based on detailed impact assessments which take into account the interconnection between parts of this package.

Support for green restructuring will be provided BY THE EU's long-term budget for the next seven years. 30 % from financing provided for in 2021-2027 multiannual financial framework and instrument Nextgenerationeu (total 2 trillion euro) for climate action and 37 % of eur 723,8 billion (current prices) Recovery and resilience mechanism a framework to finance Member States' recovery programmes under Nextgenerationeu.

Statements by college members.

European Commission President Urzula fon der Leiena: The economy of fossil fuels is at the point of destination. We want to leave a healthy planet for the next generation, as well as good jobs and growth that do not hurt nature. Europe's green course is our growth strategy, which directs us to a decarbonised economy. Europe was the first part of the world to say that it will be climate neutral by 2050 and we are now the first to have a concrete plan. Europe's climate policy will be implemented through innovation, investment and social compensation. "

President-in-Office of the Council on the European Green course Frans Timmermans“This is the crucial decade in the fight against climate and biodiversity crises. The European Union has set ambitious targets and today we come up with plans to achieve them. For the future to be green and healthy for all, considerable efforts will have to be made in all sectors and in the Member States. Together, our proposals will encourage the necessary changes that will enable all citizens to benefit from climate action as soon as possible and provide support to the most vulnerable households. Europe's transformation will be fair, green and competitive. '

Commissioner for Economic Affairs Paolo Gentlemanly emphasized: “Our efforts to tackle climate change must be politically ambitious, globally coherent and socially fair. Our twenty-year-old tax rules on energy are being updated to promote greener fuels and reduce harmful energy tax competition. We propose adopting a carbon import adjustment mechanism whereby the price of carbon imposed on imports will be aligned with its price IN THE EU. In full respect of our WTO commitments, it will ensure that foreign companies subject to less stringent environmental requirements do not jeopardise our climate objectives. It will also promote more environmentally friendly standards beyond EU borders. This is really the last time. Every year, the terrible reality of climate change is becoming more visible and today we confirm our commitment to action before it is too late. '

Energy Commissioner frames SimsoneThe achievement of the green course targets will not be possible if we do not rebuild our energy system: it generates most of our emissions. In order to achieve climate neutrality by 2050, we need to turn the evolution of renewable energy into a revolution and ensure that energy is not wasted. The proposals presented today set ambitious targets, remove barriers and create incentives for us to move faster towards the energy system. "

Transport Commissioner Adina Velvet said: “Our three transport initiatives —“ ReFuel Aviation ”,“ FuelEU Maritime ”and the Alternative Fuel Infrastructure Regulation — will support the transport sector's transformation into a future-ready system. We will create a sustainable alternative fuel and low-carbon market, while creating a sound infrastructure that will ensure widespread deployment of bedland vehicles and ships. This package will give us more than green mobility and logistics: it is an opportunity to make THE EU a pre-market for advanced technologies. "

Member of the Commission responsible for the environment, oceans and fisheries Virginia Mucovich“Forests are a major part of many of our climate and biodiversity problems. They are also very important for achieving THE EU 2030 climate targets. However, the current status of forest conservation IN THE EU is not favourable. We need to increase the use of biodiversity-friendly activities and protect the health and sustainability of forest ecosystems. The forest strategy is a turning point in how we protect, manage and grow forests for the benefit of our planet, people and the economy. "

Agriculture Commissioner Janusz Vojcehovsky said: “Forests are very important in tackling climate change. They also provide jobs in rural areas, sustainable materials to develop bioeconomy and provide valuable ecosystem services to our society. The objective of the forest strategy, while addressing social, economic and environmental aspects, is to ensure and improve the multifunctional nature of our forests and to highlight the important work carried out by millions of foresters. The new Common Agricultural Policy will be an opportunity for our foresters to receive targeted support for sustainable forest development."

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