The European Parliament has recently supported a significant revision of the Climate Act that emphasizes a substantial reduction in greenhouse gas emissions. The legislation allows for some flexibility in achieving emissions targets, permitting a 5% reduction to be met from 2036 through the acquisition of international carbon credits. However, these credits are restricted to sectors that are not governed by the existing emissions trading system. This approach aims to balance economic interests with environmental responsibilities.

Furthermore, the revised Climate Act postpones the implementation of the European emissions trading system until 2028. This delay allows for the necessary preparations to be made while promoting ongoing progress assessment through biennial reporting. Notably, the legislation also includes provisions for the reassessment of the climate targets set for 2040, enabling adjustments based on changing circumstances and developments in climate science and policy.

In line with the overarching goals of the European Union, this legally binding Climate Act commits member states to achieve climate neutrality by 2050, with an interim target of at least a 55% reduction in greenhouse gas emissions by 2030. The act also introduces protective measures that prevent the financing of projects that contradict the strategic interests of the EU, ensuring coherence between economic activities and environmental sustainability.