The Council and the European Parliament reached a key agreement to reduce CO2 emissions and address their social impact in a pact pending formal adoption in both institutions early this morning after 30 hours of marathon negotiations.
The agreement, part of the ‘Target 55’ package, affects on the one hand the so-called Emissions Trading Scheme. In this regard, the Council and the Parliament have agreed to increase to 62 percent the reduction of emissions by 2030 in the sectors covered by this scheme.
This reform was considered key to achieving the objective of reducing CO2 emissions by 55 percent from 1990 levels by 2030.
In addition, the Council and Parliament agreed to establish a Social Climate Fund to help vulnerable households, micro-enterprises and transport users cope with the price impacts of an emission scheme for buildings and road transport, and fuels for other sectors.
This fund, the negotiators note, would be part of the EU budget and would be fed by external revenues up to a maximum amount of €65 billion over the period 2026-2032.
In addition, free CO2 certificates, granted to industry to remain competitive with rivals outside the European bloc, would be completely phased out by 2034, with a planned carbon border adjustment mechanism coming into force from 2026 after a three-year transition period.
Czech Environment Minister Marian Jurecka hailed the agreement as a «victory for the climate and European climate policy» that «will allow climate targets to be met within the main sectors of the economy, while the most vulnerable citizens and micro-enterprises will receive effective support in the climate transition».
«We can now safely say that the EU has delivered on its promises with ambitious legislation and this puts us at the forefront of the fight against climate change globally,» he welcomed.
Source: (EUROPA PRESS)
