March 24, 2025 to March 30, 2025
Carbon Reduction Activities in Europe: March 24-30, 2025
Executive Summary: During the last week of March 2025, Europe made significant strides in carbon reduction efforts. The European Union’s initiatives included the delay of the 2040 climate target proposal, the introduction of quality standards for CO2 pipelines, and the launch of the Clean Industrial Deal. These actions reflect Europe’s commitment to achieving climate neutrality and enhancing industrial competitiveness.
Introduction
In the final week of March 2025, several key developments in carbon reduction activities were announced in Europe. These initiatives are part of the European Union’s broader strategy to combat climate change and achieve climate neutrality by 2050. This report provides a detailed overview of these activities, highlighting their objectives and potential impacts.
1. Delay in the 2040 Climate Target Proposal
The European Commission announced a delay in the publication of the 2040 climate target proposal, which was initially expected by the end of March 2025. This delay was acknowledged by the Commission on March 24, 2025, as reported by Carbon Pulse. The proposal is a critical component of the EU’s long-term climate strategy, aiming to set a clear path towards significant emissions reductions by 2040.
2. CO2 Quality Standards for CCS Pipelines
In a related development, the EU aims to adopt quality standards for carbon capture and storage (CCS) pipelines by mid-2026. These standards are essential for ensuring the safe and efficient transport of captured CO2 across borders within the EU. The standards are intended to balance the need for high-quality CO2 with the risk of inflating costs for industry, as detailed in the Carbon Pulse report.
3. Launch of the Clean Industrial Deal
The European Union launched the Clean Industrial Deal, a transformative policy framework designed to enhance industrial competitiveness while ensuring sustainability and resilience. This initiative aims for a 90% net emissions reduction by 2040 and full decarbonization by 2050. The Clean Industrial Deal is seen as a driver of economic growth, providing a stable investment climate for businesses. More details can be found in the IESE Blog.
Conclusion
The announcements made between March 24 and March 30, 2025, underscore Europe’s commitment to reducing carbon emissions and achieving climate neutrality. While the delay in the 2040 climate target proposal presents a challenge, the introduction of quality standards for CCS pipelines and the Clean Industrial Deal highlight the EU’s proactive approach to addressing climate change and fostering sustainable industrial growth.
Sources
March 17, 2025 to March 23, 2025
Carbon Reduction Activities in Europe: March 17-23, 2025
Executive Summary: Recent initiatives in Europe have focused on advancing carbon reduction efforts across various sectors. The European Union is set to propose a significant emissions reduction target by 2040, while the transport sector is making strides with increased adoption of electric vehicles. Additionally, new frameworks and strategic plans are being developed to support decarbonization in industries and enhance the credibility of carbon removal activities.
1. European Union’s Interim 2040 Emissions Reduction Target
The European Union (EU) is preparing to propose a law by the end of March 2025 to establish an interim emissions-reduction target of 90% by 2040. This ambitious goal is part of an amendment to the European Climate Law, which aims to make the region’s 2050 net-zero target legally binding. Despite global political shifts, the EU remains committed to its climate agenda. (Source)
2. Decarbonization of the European Waterborne Sector
A report by the Joint Research Centre (JRC) highlights European Research and Innovation (R&I) projects aimed at decarbonizing the waterborne sector from 2020 to 2024. The report emphasizes the importance of technological innovations, such as alternative fuels and optimized vessel design, in reducing greenhouse gas emissions in maritime and inland waterway transport. Coordination and support measures are crucial for implementing these innovations. (Source)
3. Carbon Reduction in the Transport Sector
Transport & Environment (T&E) reports that Europe is set to save 20 million tonnes of CO2 in 2025 due to the growing market for electric vehicles (EVs). The number of battery electric vehicles in the EU is expected to reach nearly 9 million by the end of the year. However, the carbon savings from road transport are being offset by increased emissions from air travel. T&E advocates for maintaining green policies to ensure energy independence and further reduce emissions. (Source)
4. New Carbon Removal Certification Framework
The EU has adopted Regulation (EU) 2024/3012, establishing a certification framework for carbon removals, carbon farming, and carbon storage in products. This voluntary framework aims to enhance the credibility and transparency of carbon removal activities, supporting the EU’s climate neutrality objectives by 2050. Certification will be granted based on compliance with quality criteria and verified by independent third parties. (Source)
5. Simplification of the Carbon Border Adjustment Mechanism (CBAM)
The European Commission has proposed amendments to the CBAM as part of the Omnibus Sustainability package. The proposal aims to reduce the number of businesses impacted by CBAM by 90% and alleviate compliance burdens. The Clean Industrial Deal, part of this initiative, seeks to enhance EU industries’ competitiveness while accelerating decarbonization, with over €100 billion mobilized for clean manufacturing. (Source)
Conclusion
Europe is making significant strides in carbon reduction through ambitious policy proposals, technological innovations, and strategic frameworks. These efforts are crucial for meeting international climate commitments and ensuring a sustainable future.
March 10, 2025 to March 16, 2025
Carbon Reduction Activities in Europe: March 10-16, 2025
Executive Summary: Recent developments in Europe’s carbon reduction efforts highlight a strong commitment to achieving climate neutrality. The European Commission has introduced significant funding initiatives and policy adjustments to support decarbonization projects and enhance competitiveness. These actions are part of a broader strategy to align economic growth with environmental sustainability.
Introduction
Between March 10 and March 16, 2025, several significant announcements were made regarding carbon reduction activities in Europe. These initiatives are part of the European Union’s ongoing efforts to achieve its climate targets and transition towards a sustainable future. This report provides a detailed overview of the key developments during this period.
Innovation Fund Support for Decarbonization Projects
On March 11, 2025, the European Climate, Infrastructure, and Environment Executive Agency (CINEA) announced the allocation of €4.2 billion from the Innovation Fund to support 77 cutting-edge decarbonization projects across 18 European countries. These projects are expected to significantly reduce emissions, with a potential reduction of 397.6 million tonnes of CO2 equivalent over their first ten years of operation. The funding is sourced from the EU Emissions Trading System revenues, emphasizing the EU’s commitment to investing in low-carbon and net-zero technologies. (Source)
European Commission’s Clean Industrial Deal
The European Commission has reiterated its commitment to the Green Deal objectives through the Clean Industrial Deal (CID), which was part of a package announced on February 26, 2025. The CID aims to enhance competitiveness while ensuring industrial decarbonization. It includes the establishment of an Industrial Decarbonization Bank to streamline funding for decarbonization efforts. The Commission’s focus is on reducing net emissions by 90% by 2040, aligning with the broader goal of achieving climate neutrality by 2050. (Source)
Carbon Border Adjustment Mechanism Simplification
On March 3, 2025, the European Commission released the Omnibus Package I, which includes proposals to simplify the EU Carbon Border Adjustment Mechanism (CBAM). This initiative aims to reduce administrative burdens and enhance the competitiveness of EU companies by eliminating overlapping regulations. The simplification is part of a broader strategy to facilitate a sustainable transition and ensure cost-effective policy delivery. (Source)
Conclusion
The announcements made between March 10 and March 16, 2025, reflect Europe’s proactive approach to addressing climate change through strategic investments and policy reforms. By supporting innovative decarbonization projects and simplifying regulatory frameworks, the EU is positioning itself as a leader in the global transition to a sustainable and competitive economy.
March 03, 2025 to March 09, 2025
Carbon Reduction Activities in Europe: March 2025
Executive Summary: In March 2025, the European Union (EU) announced several initiatives to enhance its carbon reduction efforts. These include easing CO2 rules for car manufacturers while maintaining the 2035 ban on combustion vehicles, simplifying sustainability regulations through the Omnibus Package, and setting ambitious interim emissions targets for 2040. These actions aim to balance industrial competitiveness with environmental goals, ensuring the EU remains a leader in global climate action.
Introduction
Between March 3 and March 9, 2025, the European Union (EU) introduced several significant measures aimed at reducing carbon emissions and enhancing sustainability. These initiatives reflect the EU’s ongoing commitment to achieving its climate goals while addressing economic and industrial challenges.
Key Developments
1. Easing CO2 Rules for Automotive Industry
The EU Commission announced a strategic dialogue to provide some relief to car manufacturers struggling to meet electric vehicle (EV) sales mandates. While the 2035 ban on new combustion-powered vehicle sales remains, the decision to ease CO2 rules has been met with mixed reactions. Some politicians and carmakers criticized the move, arguing it could undermine efforts to achieve climate neutrality by 2050. Consumer groups like BEUC expressed concerns that easing CO2 targets might disincentivize the production of affordable EV models, potentially limiting consumer choices to more expensive options. (Source)
2. Omnibus Sustainability Package
The European Commission released the first Omnibus Package, aimed at simplifying sustainability regulations to enhance the competitiveness of European industries. This package proposes amendments to the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD), and the Carbon Border Adjustment Mechanism (CBAM). The goal is to reduce administrative burdens by 25% and mobilize €50 billion in public and private investments. (Source)
3. Interim 2040 Emissions Target
The European Commission plans to propose a law by the end of March 2025 to set an interim emissions-reduction target of 90% by 2040. This ambitious target is part of the EU’s broader strategy to achieve net-zero emissions by 2050. The proposal will be included in an amendment to the European Climate Law, reinforcing the EU’s commitment to its climate agenda despite global political shifts. (Source)
Conclusion
The EU’s recent announcements highlight its dual focus on maintaining industrial competitiveness and advancing its climate goals. By easing CO2 rules for the automotive industry, simplifying sustainability regulations, and setting ambitious emissions targets, the EU aims to lead global efforts in climate action while supporting economic growth.
References
February 24, 2025 to March 02, 2025
Carbon Reduction Activities in Europe: February 24 – March 02, 2025
Executive Summary: The European Union has announced several initiatives to enhance its carbon reduction efforts. These include the Clean Industrial Deal, which aims to accelerate decarbonization and support industrial competitiveness, and the Affordable Energy Action Plan, designed to reduce energy costs and enhance energy resilience. Additionally, the EU is revising its carbon market rules to further support industrial decarbonization.
Introduction
In the last week of February 2025, the European Union (EU) unveiled a series of strategic initiatives aimed at bolstering its carbon reduction efforts. These initiatives are part of the EU’s broader commitment to achieving net-zero emissions by 2050 and include significant policy reforms and new action plans.
Clean Industrial Deal
On February 26, 2025, the European Commission introduced the Clean Industrial Deal. This initiative is designed to accelerate the decarbonization of European industries while enhancing their competitiveness and resilience. The Deal outlines a roadmap for increasing the deployment of renewable energy, supporting industrial decarbonization, and ensuring sufficient manufacturing capacity for clean technologies within the EU. It addresses challenges such as high energy costs, global competition, and regulatory complexities.
Affordable Energy Action Plan
In conjunction with the Clean Industrial Deal, the European Commission also launched the Affordable Energy Action Plan. This plan aims to reduce energy costs for EU citizens and businesses, with projected savings of €260 billion annually by 2040. The plan includes short-term measures to lower energy bills and structural reforms to enhance the EU’s energy system resilience against future price shocks.
Revisions to the Carbon Market
The EU is also revising its carbon market rules to support industrial decarbonization. According to Bloomberg, the EU plans to earmark some carbon allowances to finance industry decarbonization efforts. This move is part of a broader strategy to align the carbon market with the EU’s ambitious climate targets.
Conclusion
The recent announcements by the European Union underscore its commitment to leading global efforts in carbon reduction and climate change mitigation. By integrating industrial competitiveness with environmental sustainability, the EU aims to set a benchmark for other regions to follow in the transition to a low-carbon economy.
Sources
February 17, 2025 to February 23, 2025
Carbon Reduction Activities in Europe: February 17-23, 2025
Executive Summary: During the week of February 17-23, 2025, Europe saw significant advancements in carbon reduction initiatives. The European Union continued to enhance its climate policies, focusing on renewable energy targets and carbon pricing mechanisms. Additionally, collaborations between major corporations and governments were announced to further decarbonize industrial sectors.
1. EU-Japan High-Level Dialogue on Climate Change
On February 18, 2025, the second High-Level Dialogue on Climate Change between Japan and the European Union took place in Tokyo. Both parties reaffirmed their commitment to international cooperation under the Paris Agreement, aiming to keep the 1.5°C goal within reach. They agreed to collaborate on global decarbonization initiatives, focusing on carbon pricing, sustainable finance, and decarbonization technologies. This dialogue emphasized the importance of mutual support to achieve climate neutrality goals. [Source]
2. TotalEnergies and Air Liquide Partnership
On February 18, 2025, TotalEnergies announced a partnership with Air Liquide to decarbonize its refineries in Northern Europe using green hydrogen. The projects, located in the Netherlands, will produce approximately 45,000 tons of green hydrogen annually, primarily powered by the OranjeWind offshore wind farm. This initiative is expected to reduce CO2 emissions from TotalEnergies’ refineries in Belgium and the Netherlands by up to 450,000 tons per year, contributing to the EU’s renewable energy targets in transport. [Source]
3. European Commission’s Climate Policy Initiatives
The European Commission continued to push forward its climate policy initiatives, focusing on achieving a 42.5% renewable energy target by 2030. Member states are required to submit updated energy and climate plans detailing how they will meet these targets. The EU’s emission trading system (ETS) has been updated to include more industrial sectors, maintaining a high carbon price to incentivize reductions in emissions. [Source]
4. Enhancements in Carbon Pricing and Renewable Energy
The European Green Deal continues to drive transformational change across the continent. Carbon pricing has been extended to the aviation and maritime sectors, with new targets for sustainable aviation fuels and renewable energy use onboard ships. These measures are part of the EU’s broader strategy to become the first climate-neutral continent by 2050. [Source]
5. Western Balkans Environmental Progress
A report by the Joint Research Centre highlighted progress in the Western Balkans regarding environmental and climate action. The region has made strides in aligning with EU legislation, improving air quality, and increasing the use of renewable energy sources. However, challenges remain, particularly in reducing greenhouse gas emissions and improving wastewater infrastructure. [Source]
Conclusion
The week of February 17-23, 2025, marked significant progress in Europe’s carbon reduction efforts. Through international cooperation, corporate partnerships, and enhanced policy measures, Europe is advancing towards its climate neutrality goals. Continued efforts and collaborations will be essential to meet the ambitious targets set for the coming decades.
February 10, 2025 to February 16, 2025
Carbon Reduction Activities in Europe: February 2025
Executive Summary: The European Union has intensified its efforts to reduce carbon emissions, with a focus on achieving a 90% reduction by 2040. Recent initiatives include the adoption of new rules for sustainable aviation fuels and a high-level dialogue with Colombia on climate change. These actions are part of a broader strategy to enhance the EU’s competitiveness while meeting international climate commitments.
Introduction
Between February 10 and February 16, 2025, the European Union (EU) announced several significant initiatives aimed at reducing carbon emissions and enhancing sustainability. These efforts are part of the EU’s broader strategy to achieve climate neutrality by 2050 and align with international climate agreements.
Key Announcements
1. EU Rules for Sustainable Aviation Fuels
On February 11, 2025, the European Commission adopted new rules to accelerate the use of sustainable aviation fuels. This initiative is part of the EU’s commitment to reducing emissions in the aviation sector, which is a significant contributor to greenhouse gas emissions. The rules are designed to support the transition to more sustainable energy sources in aviation, thereby reducing the sector’s carbon footprint.
Source: European Commission Climate Action
2. High-Level Dialogue with Colombia
On February 11, 2025, the EU engaged in a high-level dialogue with Colombia, focusing on climate change and environmental issues. This meeting underscored the EU’s commitment to international cooperation in addressing climate change and highlighted the importance of collaborative efforts in achieving global climate goals.
Source: European Commission Climate Action
3. Youth Policy Dialogue on Climate Action
On February 6, 2025, although slightly outside the specified date range, Commissioner Hoekstra hosted a Youth Policy Dialogue to discuss climate action and taxation. This event emphasized the role of young people in shaping future climate policies and the need for economic competitiveness alongside environmental sustainability.
Source: European Commission News
Conclusion
The EU’s recent announcements reflect a strong commitment to reducing carbon emissions and enhancing sustainability. By adopting new rules for sustainable aviation fuels and engaging in international dialogues, the EU is taking concrete steps towards achieving its climate goals. These initiatives are crucial for maintaining the EU’s leadership in global climate action and ensuring a sustainable future.
February 03, 2025 to February 09, 2025
Carbon Reduction Activities in Europe: February 2025
Executive Summary: The European Union has announced ambitious carbon reduction targets, aiming for a 90% reduction in emissions by 2040. This initiative is part of a broader strategy to achieve carbon neutrality by 2050, with significant investments in renewable energy and infrastructure. The EU’s approach includes legislative proposals and strategic frameworks to enhance competitiveness and sustainability across various sectors.
Introduction
In early February 2025, the European Union (EU) unveiled several key initiatives aimed at significantly reducing carbon emissions as part of its broader climate strategy. These announcements are part of the EU’s ongoing efforts to combat climate change and transition towards a sustainable and competitive economy.
Key Announcements
1. 90% Emissions Reduction Target by 2040
The European Commission proposed a new interim target to reduce emissions by 90% by 2040, compared to 1990 levels. This target is part of an amendment to the European Climate Law, which aims to achieve carbon neutrality by 2050. The proposal is expected to undergo a co-legislation process involving the European Parliament and the Council of the EU, with final adoption anticipated by the end of 2025. (Source, Source)
2. Renewable Energy and Infrastructure Investments
The European Commission emphasized the need for substantial investments in renewable energy and the expansion of electricity networks. Initiatives such as the EU Solar PV Alliance and Wind Charter are highlighted as examples of efforts to increase renewable energy shares. The Commission also called for member states to enhance their national energy and climate plans to support these goals. (Source)
3. Industrial Decarbonisation and Competitiveness
The EU’s Work Programme for 2025 includes the Industrial Decarbonisation Accelerator Act, which aims to extend accelerated permitting to energy-intensive sectors and modernize energy transmission and distribution infrastructure. This initiative is part of the EU’s strategy to maintain competitiveness while transitioning to a low-carbon economy. (Source)
Conclusion
The EU’s recent announcements underscore its commitment to ambitious climate goals and sustainable economic growth. By setting a 90% emissions reduction target for 2040 and investing in renewable energy and infrastructure, the EU aims to lead global efforts in combating climate change while ensuring economic competitiveness.
References
January 27, 2025 to February 02, 2025
Carbon Reduction Activities in Europe: January 27 – February 02, 2025
Executive Summary: The European Union continues to advance its carbon reduction initiatives, focusing on enhancing competitiveness and sustainable prosperity. Recent developments include the launch of the Competitiveness Compass, which aims to position Europe as a leader in climate-neutral technologies. Additionally, the EU is actively engaging stakeholders to support the transition to a decarbonized economy.
Introduction
Between January 27 and February 02, 2025, the European Union announced several initiatives aimed at reducing carbon emissions and promoting sustainable development. These efforts are part of the broader European Green Deal and the Fit for 55 package, which aim to achieve climate neutrality by 2050.
Competitiveness Compass
On January 29, 2025, the European Commission introduced the Competitiveness Compass, a strategic initiative designed to enhance Europe’s role in developing and deploying climate-neutral technologies. This initiative is part of the EU’s efforts to regain competitiveness and ensure sustainable prosperity. The Compass outlines a roadmap for Europe to become a hub for future technologies, services, and clean products, aligning with the EU’s climate neutrality goals.
Source: EU Climate Action Newsletter
Stakeholder Engagement
The European Commission is intensifying its dialogue with various stakeholders, including industry leaders and young people, to support the transition to a decarbonized economy. This engagement is crucial for aligning the interests of different sectors and ensuring a just transition for all involved.
Source: EU Climate Action Newsletter
Modernisation Fund
The Modernisation Fund continues to play a significant role in supporting clean energy projects across the EU. Since its inception in 2021, the fund has provided over €15 billion to enhance energy efficiency and reduce emissions in 11 EU countries. This financial support is vital for accelerating the clean energy transition and achieving the EU’s climate targets.
Source: EU Climate Action Newsletter
Conclusion
The recent announcements by the European Union highlight its commitment to reducing carbon emissions and promoting sustainable development. Through strategic initiatives like the Competitiveness Compass and continued stakeholder engagement, the EU is positioning itself as a leader in the global transition to a climate-neutral economy.
January 20, 2025 to January 26, 2025
Carbon Reduction Activities in Europe: January 20-26, 2025
Executive Summary: Recent developments in Europe have highlighted a strong commitment to carbon reduction, with significant events and policy proposals aimed at achieving ambitious climate goals. The European Commission has been actively engaging stakeholders to enhance funding mechanisms for permanent carbon removal, while also setting new interim targets for emissions reduction by 2040. Additionally, the European Central Bank has updated its climate and nature plan, emphasizing the integration of climate considerations into its monetary policy strategy.
1. Public Funding for Permanent Carbon Removal
On January 28, 2025, the Directorate-General for Climate Action of the European Commission organized a one-day event focusing on public funding for permanent carbon removal. The event aimed to explore and enhance the financing landscape for climate action, with a specific emphasis on instruments supporting permanent carbon removal. Participants gained insights into existing European financing instruments such as the Innovation Fund, the European Innovation Council, and Horizon Europe. The event fostered dialogue among stakeholders and provided actionable insights to shape more effective financial support for climate goals. Source
2. European Commission’s Emissions Reduction Target for 2040
The European Commission has proposed a new roadmap to cut EU emissions by 90% below 1990 levels by 2040. This ambitious target is part of the EU’s broader goal of achieving net-zero emissions by 2050. The proposal requires an expanded and emissions-free power system and an 80% reduction in fossil fuel use for energy. The Commission has called for increased ambition in national energy and climate plans, emphasizing the need for substantial investments in renewable energy and electricity network expansion. Source
3. European Central Bank’s Climate and Nature Plan 2024-2025
In January 2024, the European Central Bank (ECB) published an updated climate and nature plan for 2024-2025. This plan includes a commitment to analyze nature-related issues and identifies three focus areas to guide the ECB’s climate-related activities. The ECB aims to integrate climate change considerations into its monetary policy strategy, macroeconomic analysis, and financial stability activities. The plan emphasizes the need for green investment, technological innovation, and green funding to transition towards a low-carbon economy. Source
4. European Carbon+ Farming Coalition
A new initiative, the European Carbon+ Farming Coalition, has been launched to decarbonize Europe’s food system. This coalition, catalyzed by the World Economic Forum’s CEO Action Group for the European Green Deal, aims to transform agriculture, which is responsible for 10% of Europe’s greenhouse gas emissions. The initiative focuses on increasing the uptake of regenerative and climate-smart agriculture practices, developing financial tools for farmers, and aligning efforts across European countries. Source
5. EU’s New Economic Vision and Green Deal
The European Union’s new economic “compass” has sparked discussions about deregulation and its impact on the Green Deal. A leaked draft document suggests a focus on slashing environmental red tape to boost the European economy, while maintaining commitments to climate targets. The document emphasizes the need for a competitiveness-friendly and technology-neutral transition to a decarbonized economy. Source