The European Commission has proposed an amendment to the EU Climate Law, setting a 2040 EU climate target of 90% reduction in net greenhouse gas (GHG) emissions, compared to 1990 levels, as requested by the Commission Political Guidelines for 2024-2029. It will give certainty to investors, innovation, strengthen industrial leadership of our businesses, and increase Europe’s energy security.
The EU is well on track to meet our 2030 target of 55%. Today’s proposal builds on the EU’s existing legally binding goal of reducing net GHG emissions by at least 55% by 2030, and sets out a more pragmatic and flexible way to reach the target, with a view towards a decarbonised European economy by 2050.
Aligned with the EU Competitiveness Compass, Clean Industrial Deal and Affordable Energy Action Plan, the proposed 2040 climate target takes fully into account the current economic, security and geopolitical landscape and gives investors and businesses the predictability and stability they need in the EU’s clean energy transition. By staying the course on decarbonisation, the EU will drive investment in innovation, create more jobs, growth, increase our resilience to impacts of climate change and become more energy independent.
The proposal is based on an in-depth impact assessment and advice from the Intergovernmental Panel on Climate Change and the European Scientific Advisory Board on Climate Change. The adoption follows substantial engagement with Member States, the European Parliament, stakeholders, civil society and citizens, launched with the Commission’s recommendation on the target in February 2024.
Based on these consultations, the proposal sets out a way to reach the 2040 goal in a different way that has been done in the past. One central element is flexibilities that the Commission will consider in designing the future legislative instruments to achieve this 2040 climate target. These include a limited role for high-quality international credits starting from 2036, the use of domestic permanent removals in the EU Emissions Trading System (EU ETS), and greater flexibilities across sectors to help achieve targets in a cost-effective and socially fair way. Concretely, this could givea Member State the possibility to compensate for the struggling land use sector with an overachievement on reducing emissions on waste and transport.
