Commission adopts 'Fit for 55' package to cut emissions

Process in Brief

The Commission adopted a comprehensive package of legislative proposals that revise the EU Emissions Trading System, establish a separate ETS for fuel distribution in road transport and buildings, strengthen the Effort Sharing Regulation and land-use rules, raise the renewable energy target to 40% by 2030 and tighten energy efficiency and transport standards. The package also includes revisions to energy taxation, measures for aviation, maritime and alternative fuels, a Carbon Border Adjustment Mechanism and a proposed Social Climate Fund.

What Is at Stake

The proposals aim to deliver the 55% net greenhouse gas reduction target for 2030 and to expand and protect natural carbon sinks, including an EU removals target equivalent to 310 million tonnes of CO2 by 2030 and a plan to plant three billion trees by 2030. The Commission highlights short-term risks for vulnerable households, micro-enterprises and transport users, proposes that emissions trading revenues be spent on climate and energy projects, and outlines a Social Climate Fund of €72.2 billion for 2025–2032 that could mobilise €144.4 billion with matching national funding.

Timeline

The Commission adopted the package and presented these legislative tools as delivering on the targets agreed in the European Climate Law, which enters into force this month.