Czech Business Today
Businesses need tools to achieve climate law goals
On 21st of April, the representatives of the European Parliament and the Council reached a compromise regarding the European Climate Law, one of the crucial parts of the European Green Deal. The Climate Law sets climate neutrality by 2050 as a legally binding commitment, while also setting 2030 greenhouse gas emissions target. And it was the 2030 target that was the hardest part to negotiate.
In the end, the representatives of EU institutions agreed that a collective, net greenhouse gas emissions reduction target will be of at least 55% by 2030 compared to 1990 levels. Apart from that, negotiators agreed on the need to give priority to emissions reductions over removals, aim to achieve a higher volume of carbon net sink by 2030 and establish a European Scientific Advisory Board on Climate Change that will comprise of 15 senior scientific experts of different nationalities. Apart from that, it was agreed that the Commission would propose an intermediate target for 2040.
Needless to say, companies will play a crucial role in achieving these targets. While European business organizations support the EU’s climate neutrality ambition, it is necessary to provide them with adequate tools to achieve this goal. EU needs to reach the climate neutrality target in an economically and socially feasible manner, which is of utmost importance especially in the light of the current COVID-19 pandemic that has hit businesses hard. Investment worth hundreds of billions of EUR per year will be required to reach the 2030 and 2050 targets and businesses mustn’t be left in this endeavour alone.
Therefore, European businesses urge the European Commission to put in place all the necessary investment and political tools that will help companies bear the costs of the transformation required to pursue the climate neutrality goal.
