On June 6 to 9, citizens of the 27 member countries of the European Union (EU) voted for the new composition of the European Parliament (EP).
These elections are particularly important since they will condition the goals that the EEU will set for itself in the next legislative term (2024-2029). In fact, based on the election results and at the proposal of the European Council, it is the EP that determines the composition of the only governmental body in the EEU with legislative initiative, the European Commission (EC).
Among the commitments most subject to possible change are those related to climate change. This is because some of the strategic initiatives of the Green Climate Pact (GCP) – the better known European Green deal – have not yet completed the legislative process, and there is no certainty that this will happen given that the electoral programs, with which most political parties are going into these elections, show a certain “climate disinterest.”
The Pvc was unveiled on December 11, 2019, by the new chair of the EC, Ursula Von del Leyen, to align EU legislation with the 17 goals of the UN 2030 Agenda-the UN Organization’s strategy “to achieve a better and more sustainable future for all.”
It is no coincidence that the Pvc is a package of policy initiatives – covering climate, environment, energy, transport, industry, agriculture and sustainable finance – that aims to set Europe on a path toward a “just and equitable” green transition through a holistic, cross-sectoral approach in order to achieve climate neutrality by 2050.
During these past five years, as reflected in the “A European Green Deal” section of the EP’s “Legislative Train Schedule” website, the Pvc has made several strides, with as many as 76 dossiers passed.
Among the most noteworthy pieces of legislation is the European Climate Act, adopted in 2021, which made the climate neutrality commitment binding and aims to reduce net greenhouse gas emissions by at least 55 percent by 2030 compared to 1990 figures. This law also provided for the establishment of an interim emissions reduction target for 2040: in February 2024, the Commission recommended a 90 percent reduction in net emissions by that date.
With the aim of implementing this law, the Ready for 55% – Fit for 55 package was approved: a set of proposals designed both to review and update EU legislation; and to put in place new initiatives that outline how the EU intends to achieve the emissions reduction target.
There are two regulatory instruments primarily supporting Fit for 55. The first is the Border Carbon Adjustment Mechanism-introduced by the Pvc-which involves the application of a surcharge in imported products with a high environmental impact and discourages companies from relocating outside the EU territory. The second, on the other hand, is the Emissions Trading Scheme – already in place but strengthened and expanded with the Pvc – which helps, through an emissions trading system, to reduce emissions and generate revenue to finance the green transition.
Also adopted in 2023 is the Green Deal Industrial Plan, which aims to strengthen the competitiveness of Europe’s zero-emissions industry and support a rapid transition to climate neutrality. In fact, the plan complements efforts under the Green Deal and REPowerEU (the plan by which Europe ends its dependence on Russian fossil fuels) and is based on four pillars: predictable and simplified regulatory environment; accelerated access to finance; improved skills; and open trade for resilient supply chains.
Regarding the first pillar, mainly two laws have been adopted for its implementation. The Critical Raw Materials Act – apt to ensure sufficient access to those materials, such as rare earths, that are vital for the production of key technologies. And the Zero Emissions Industry Act – Net-Zero Industry Act – useful, on the other hand, to identify targets for achieving net-zero industrial capacity and provide a suitable regulatory framework for its rapid implementation.
In parallel, funds have been provided to ensure a fair and equitable transition and to help those most affected by the consequences of climate change.
Examples include the Just Transition Fund that supports workers and regions in developing new green skills. The Social Climate Fund that provides member states with useful funding to support vulnerable groups through investments in, among others, energy efficiency, building renovation and clean heating. The Solidarity Fund and the Civil Protection Mechanism, on the other hand, which support communities impacted by global warming.
In general, however, private and public funding has been mobilized-including through the NextGenerationEU (the plan supporting member states affected by the Covid-19 pandemic) and REPowerEU – which is also useful in supporting the deployment of low-carbon energy sources. Finally, major European projects have been approved on batteries, microelectronics, hydrogen, cloud computing, and also useful in restoring biodiversity; tackling pollution; and making efficient use of resources.
So, although in recent years with the Green Deal, Europe has been able to make strides on the road to green transition, political priorities and economic resources have had to cope with the emergencies of these years, such as the health crisis and the war in Ukraine, and therefore have been substantially scaled back.
Moreover, the Pvc’s initial ambition has been further reduced because the commitment to sustainability has also become a contentious object of some political forces, both at the national and European level.
In fact, compared to the initial forecast, the Pvc has been depowered. Examples of this are the Nature Restoration Act (aimed at restoring degraded ecosystems and promoting biodiversity) and the Regulation on the Sustainable Use of Plant Protection Products (aimed at limiting the use of high-carbon fertilizers and pesticides). In the first case, due to lengthy negotiations, many initially planned actions and targets were scaled back, eliminated or made non-binding. In the second, protests from farmers, which also highlighted the high degree of politicization of the debate on the future of the Green Deal and measures to accelerate the ecological transition, led directly to the withdrawal of the regulation itself.
The transition between the Commissions, then, takes place in a delicate context in which protests within Europe itself, both politically and socially, are indelibly affecting the future of the Pvc and the Parliament itself. It is no coincidence, in fact, that most parties went into these elections with an electoral program characterized by substantial climate disinterest.
It is important, however, for the Green Deal to regain its initial political ambition to conclude its legislative process: according to data published by “Legislative Train Schedule,” there are still 24 dossiers in the status labeled “Close to Adoption”; 31 “Announced”; 27 “Submitted.”
In these crucial years for mitigating the impacts of climate change, we can no longer afford to delay, which is why it is so important for the future Commission to enhance communication and carefully manage costs to ensure greater public support and wider acceptance of the Green Deal.
