The European Union has agreed on a legally binding target to cut greenhouse gas emissions by 90% from 1990 levels by 2040, according to EU Observer. While the target marks a significant milestone, it is weaker than the European Commission’s original proposal, as member states will be allowed to meet up to five percentage points of their reductions through the use of foreign carbon credits. Despite this flexibility, Reuters notes that the target remains more ambitious than the climate pledges of most other major economies.
At the same time, the European Commission has moved to soften planned restrictions on internal combustion engine vehicles. Following late-night negotiations with the leader of the conservative European People’s Party, Commission President Ursula von der Leyen agreed to roll back an imminent ban on the sale of new petrol and diesel cars and vans, Euractiv reported. Under the revised approach, car manufacturers will be permitted to continue selling combustion-engine models provided they achieve an average emissions reduction of 90% by 2035, instead of the previously mandated 100% cut. Bloomberg added that the EU is considering a five-year reprieve that would allow plug-in hybrid vehicles and electric cars with fuel-powered range extenders to continue using combustion engines until 2040.
Meanwhile, pressure from businesses and national governments has led to a scaling back of corporate sustainability requirements. Reuters reported that EU countries and the European Parliament reached an agreement to dilute corporate sustainability laws after months of lobbying. Under the revised rules, companies with fewer than 1,000 employees will be exempt from reporting their environmental and social impacts under the Corporate Sustainability Reporting Directive. The Guardian also reported that the Commission is considering rolling back additional environmental regulations, potentially exempting data centres, artificial intelligence gigafactories and affordable housing projects from mandatory environmental impact assessments.
