EU weakens climate ambitions: 2040 emissions reduction plan revised ahead of UN summit

The European Union has agreed on a new, softened version of its climate plan, which sets out ways to reduce greenhouse gas emissions by 2040. After long and tense negotiations lasting more than 18 hours, EU member states have agreed to a compromise that significantly weakens a number of key points in the original proposal. This is reported by the Financial Times.

The main result of the meeting was to maintain the overall goal of reducing greenhouse gas emissions by 90% by 2040 compared to 1990 levels. This decision was officially agreed by EU governments on Wednesday morning. At the same time, the document has undergone a number of changes that make it less stringent than originally planned.

At the insistence of Italy and Romania, the EU has made concessions that allow it to postpone the launch of a controversial carbon pricing system that was to be part of a new emissions market model. In addition, member states are allowed to use international carbon credits to partially meet their emission reduction commitments.

Under the new arrangements, countries that have not agreed to legally binding commitments will be able to offset up to 5% of their target reductions by selling international credits. A further 5% will be allowed to be credited in the event of extraordinary circumstances, such as large-scale forest fires or natural disasters. In addition, the parties have provided for the possibility of reviewing the 90% target every two years if its implementation threatens the economic stability of member states.

The interim target for 2035 has also been revised. The EU has agreed to reduce emissions by 66.3-72.5% by this year, which should be a milestone on the way to achieving the headline target. At the same time, the new provisions significantly expand the possibilities of using external financing mechanisms and international instruments to implement climate policy.

One of the most controversial issues remains the Emissions Trading System for Households and Transport (ETS2). Its launch, which was supposed to be an important step towards decarbonizing the household sector, has been officially postponed. The decision was a compromise for eastern European countries, which warned that the introduction of the system in the coming years could sharply increase household energy costs.

The new EU agreement thus demonstrates the desire to maintain a balance between climate ambitions and economic realities, especially ahead of the UN climate conference COP30, which will take place in Brazil next week. At the same time, the easing of provisions has drawn criticism from environmental organizations, which warn that the concessions could slow down the pace of decarbonization and question the EU's leadership position in global climate policy.