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News 14 July 2021

EU Commission launches ‘Fit-for-55‘ Package aiming to put the EU on track to deliver on its climate ambitions

Consisting of 14 legislative proposals, both new and revised laws, the ‘Fit-for-55‘ Package represents the roadmap to meet the EU’s goal of cutting emissions by 55% by 2030 and puts it on track to reach climate neutrality by 2050.   

The ‘Fit-for-55‘ Package, a set of proposals aiming at making the EU’s climate, energy, land use, transport, and taxation policies fit for reducing net greenhouse gas (GHG) emissions by at least 55% by 2030, compared to 1990 levels, was unveiled by the European Commission on 14 July. The package consists of 14 legislative proposals, both new and revised laws, that will enable the necessary acceleration of GHG emissions reduction in the next decade, ensuring the transition towards a fairer, greener, and more competitive European Union.  

Among the proposals put forward, the Commission intends to tighten the existing EU Emissions Trading Scheme (ETS) by extending its scope to the aviation and maritime industry and applying it to new sectors, including buildings and road transport. Through the ‘Fit-for-55’, the Commission will also push for increased use of renewable energy and greater energy efficiency while implementing measures to avoid the risk of carbon leakage. It will also align the now 20-year-old Energy Taxation Directive with the EU Green Deal’s objectives.  

Combining market-driven measures with social sciences, a new Social Climate Fund supporting the Clean Energy Transition is being proposed. The latter aims to provide dedicated funding to Member States to help EU citizens finance investments in energy efficiency, new heating and cooling systems, and cleaner mobility.