EU climate change targets and the European Green Deal
To address climate change, the European Parliament adopted the European Climate Act, which raises the EU target of reducing net greenhouse gas emissions by at least 55% by 2030 (from 40% currently) and makes climate neutrality by 2050 legally binding.
The climate law is part of the European Green Deal, the EU’s roadmap to climate neutrality. To achieve its climate target, the European Union has come up with an ambitious package of legislation known as “Fit by 55 in 2030”. It consists of several interconnected revised laws and proposed new laws on climate and energy.
Check facts and figures about climate change in Europe
Emissions trading system for industry
The EU’s Emissions Trading System (ETS) aims to reduce industry’s carbon emissions by requiring companies to obtain a permit for every ton of carbon dioxide they emit. Companies have to buy them through auctions. There are some incentives to promote innovation in this sector.
The European Emissions Trading System was the world’s first major carbon market and remains the largest. It regulates about 40% of the EU’s total greenhouse gas emissions and covers about 10,000 power plants and manufacturing plants in the EU. To align it with emissions reduction targets set out in the European Green Deal, Parliament agreed to update the scheme in April 2023. The reforms include reducing emissions in sectors covered by the emissions trading system to 62% by 2030, from 2005 levels.
Find out more about how the EU Emissions Trading System works and how it is currently being reformed.
Reducing transport emissions in Europe
Emissions from aircraft and ships
Civil aviation represents 13.4% of total CO2 emissions from transport in the EU. In April 2023, Parliament backed a review of the aviation emissions trading system to apply to all flights departing from the European Economic Area – which consists of the EU plus Iceland, Liechtenstein and Norway. Those departing and landing outside the region are currently covered by the Voluntary Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).
The EU also wants to phase out free aviation allowances by 2026 and promote the use of sustainable aviation fuel.
Parliament and the Council agreed that used cooking oil, synthetic fuel or even hydrogen should gradually become the norm for aviation fuel. They want suppliers to start offering sustainable fuel from 2025, reaching 70% of all jet fuel at EU airports by 2050.
Maritime transport will also be included in the emissions trading system. MEPs want the maritime sector to cut greenhouse gas emissions from ships by 2% from 2025, 14.5% from 2035, and 80% from 2050 compared to 2020 levels. The cuts should apply to ships of greater tonnage. The total is about 5,000 tons, which represents 90% of carbon dioxide emissions.
Read more about EU measures to reduce emissions from aircraft and ships.
Road emissions from cars
Cars and vans produce 15% of the EU’s CO2 emissions. Parliament has backed the Commission’s proposal to cut CO2 emissions for cars and vans by 2035, with average emissions reduction targets for 2030 of 55% for cars and 50% for vans.
Learn more about the new CO2 targets for cars
To achieve these goals, all new cars coming onto the EU market from 2035 must be carbon dioxide emissions-free. These rules do not affect existing cars.
Read more about the EU ban on the sale of new petrol and diesel cars
The shift to zero-emission vehicles must go hand in hand with comprehensive sustainable fuel infrastructure. MEPs want electric vehicle charging zones at least once every 60 kilometers along major EU roads by 2026 and hydrogen refueling stations every 100 kilometers by 2028.
Read more about how the EU wants to increase the use of sustainable fuels.
A separate emissions trading system for buildings and road transport will be established from 2027.
Reducing emissions from the energy sector
Fuel combustion is responsible for more than three-quarters of greenhouse gas emissions in the European Union. Reducing energy consumption and developing clean energy sources is key to achieving the EU’s climate goals and reducing its dependence on imports from non-EU countries.
Less energy consumption
In July 2023, Parliament approved new rules to promote energy savings. EU countries must collectively ensure a reduction in energy consumption of at least 11.7% EU-wide by 2030 (compared to the 2020 forecast for energy consumption in 2030). There should also be annual energy savings of 1.5% (on average) by countries until the end of 2030.
Today, heating and cooling of buildings represents 40% of the total energy consumed in the European Union. Parliament is setting rules for the energy performance of buildings with the aim of achieving a zero-emission building stock by 2050. The rules include:
Renewal strategies Requirement that all new buildings in the EU produce zero emissions from 2030 and install solar panels on new buildings
