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„Fit for 55” package

EU legislative action for the climate

On July 14, 2021, the European Commission adopted a package of legislative proposals "Fit for 55" as part of the European Green Deal, which aims to strengthen the EU's position as a global climate leader. The package aims to modernize existing legislation in line with the EU's 2030 climate target and introduce new policy measures to help bring about the transformative changes needed in the economy, society and industry to achieve climate neutrality by 2050 and to support it, reduce net emissions by at least 55% (compared to 1990) by 2030.

The proposed regulatory framework addresses, inter alia, to the energy sector, including district heating and cogeneration, land use and forestry, the road transport sector and energy taxation.

The package includes, among others:

Changes in Emissions Trading (EU ETS)
The EU ETS determines the price of carbon dioxide emissions and reduces the ceiling of emissions from specific sectors of the economy each year. The Commission proposes to lower the overall emission ceiling even further and to increase the annual rate of emission reductions. In addition, the gradual phasing-out of free emission allowances for aviation and alignment with the global carbon offsetting and reduction mechanism for international aviation (CORSIA) and including shipping emissions for the first time in the EU ETS.

Effort sharing regulation
The regulation sets stricter emission reduction targets for each Member State for buildings, road and domestic maritime transport, agriculture, waste and small industrial sectors. Taking into account the different starting points and capacities of individual Member States, these figures are based on their GDP per capita and are adjusted to take account of cost-effectiveness.

Amendment to the Renewable Energy Directive to implement the ambition of the new 2030 climate target (RED II)
Energy production and consumption are responsible for 75% of the emissions in the EU, therefore accelerating the transition to a greener energy system is essential. The RED II will set an increased target level, according to which by 2030 40 percent of energy should be produced from renewable sources. All Member States will contribute to this target and specific targets will be proposed for the use of energy from renewable sources in transport, heating and cooling, buildings and industry.

Directive on energy efficiency
This directive covers, among others, Member States' commitment to reduce overall energy consumption almost doubled. In addition, the public sector will be required to renovate annually 3% of their buildings to stimulate the so-called wave of renovation, create jobs and reduce energy consumption and taxpayer costs.

Regulation setting new CO2 emission standards for cars and vans
Tighter CO2 emission standards for passenger cars and vans will accelerate the transition to zero-emission mobility by requiring a 55% reduction in average emissions from new cars. from 2030 and by 100% from 2035 compared to 2021 levels. As a result, all new cars registered from 2035 will be emission-free. The revised Alternative Fuels Infrastructure Regulation will require Member States to increase charging capacity in proportion to the sale of zero emission cars, and require the installation of recharging and refueling points on major motorways at regular intervals.

Regulation on the inclusion of greenhouse gas emissions and removals from land use, land use change and forestry
The regulation sets an overall EU target for carbon dioxide removal from natural sinks, corresponding to 310 million tonnes of CO2 emissions by 2030. By 2035, the EU should aim to achieve climate neutrality in the land use, forestry and agriculture sectors, including other agricultural emissions. than CO2, such as emissions from the use of fertilizers and from livestock. The EU forestry strategy envisages, among others, planting three billion trees across Europe by 2030.

Revision of the Energy Tax Directive
The revision of the Energy Tax Directive proposed aligning the taxation of energy products with EU energy and climate policies, promoting clean technologies and removing the outdated exemptions and reduced rates that now encourage the use of fossil fuels. The new rules aim to limit the harmful effects of tax competition in the field of energy, which will help to safeguard Member States' green tax revenues, which are less detrimental to economic growth than labor taxation.

Carbon border adjustment mechanism
The new mechanism will introduce a carbon price when certain products are imported to ensure that ambitious climate action in Europe does not lead to carbon leakage.

More at:
Delivering the European Green Deal | European Commission (

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