Climate policy improvements since 2019

Delivering the EU Green Deal – Progress Towards Targets | Prepared by the European Commission The European Green Deal, launched in 2019, represents the European Union’s strategic roadmap toward #climateneutrality by 2050. This report evaluates progress made across key policy areas, including #emissions reductions, energy transition, biodiversity preservation, and sustainable #economicgrowth, while identifying challenges and areas requiring intensified efforts. Key Insights: • Climate & Energy Targets: The EU remains committed to reducing #greenhousegasemissions by at least 55% by 2030. While emissions have declined across sectors, challenges persist in energy-intensive industries and transportation. The expansion of #renewableenergy and #energyefficiency measures is progressing, yet further acceleration is required to meet targets. • Industrial & Economic Transition: The report highlights the role of the #circulareconomy and green innovation in driving #industrialdecarbonization. #Greeninvestments, facilitated by the Just Transition Mechanism and EU funding programs, are supporting businesses and regions in adapting to new environmental standards. • Biodiversity & Environmental Protection: While conservation efforts have intensified, ecosystem degradation and #biodiversity loss continue to pose significant threats. The EU has increased protected land and marine areas, but enforcement mechanisms and funding gaps remain key concerns. • Regulatory & Policy Implementation: The Fit for 55 legislative package and the Climate Law provide a strong legal framework for emissions reduction, yet member states’ implementation varies. The report stresses the need for consistent policy execution, market incentives, and public-private collaboration to bridge the gap between ambition and action. • Financial & Social Dimensions: The EU’s green transition requires substantial investment, estimated at hundreds of billions of euros annually. While green #financingmechanisms, including the EU #Taxonomy and #GreenBonds, are expanding, further private sector engagement is needed. Additionally, ensuring a socially just transition remains a priority, particularly in vulnerable communities and traditional industries. In onclusion, The EU has made measurable progress in delivering the Green Deal, yet the pace of transformation must accelerate to achieve 2030 and 2050 climate goals. Strengthening regulatory enforcement, boosting innovation, and mobilizing financial resources will be crucial to bridging existing gaps. The report underscores that the Green Deal’s success depends on sustained political will, cross-sector collaboration, and the EU’s ability to adapt to emerging environmental and economic challenges.

"European Electricity Review 2025" analyzes the EU's electricity transition in 2024, showing significant progress in reducing fossil fuel reliance and increasing renewable energy adoption. Renewables Growth: •> Renewables accounted for 47% of EU electricity generation in 2024, up from 34% in 2019. •> Solar energy grew 22% year-on-year, producing 304 TWh (11% of the total electricity mix), overtaking coal’s 269 TWh (10%). •> Wind power remained the second-largest electricity source, contributing 477 TWh (17% of total) despite less favorable conditions. Fossil Fuel Decline: •> Fossil-based electricity dropped to 29%, its lowest share in over 40 years, with total fossil generation falling by 75 TWh (-9%) year-on-year. •> Gas power generation decreased for the fifth consecutive year, falling to 16% (430 TWh). Coal generation dropped 16%, falling below 10% of total electricity for the first time in decades. •> Emissions from the power sector were reduced by 9%, reaching 585 million tonnes of CO2, less than half of the 2007 peak. Economic Benefits: •> Since 2019, wind and solar installations saved the EU €59 billion in fossil fuel imports by avoiding the need for 92 bcm of gas and 55 million tonnes of coal. •> Solar and wind together displaced 736 TWh of fossil generation over five years, reducing emissions by the equivalent of 460 million tonnes of CO2. Electricity Demand and Exports: •> Demand rose by 31 TWh (+1%) in 2024 after two years of declines, remaining 5% below 2019 levels. •> Electricity exports increased by 15 TWh, with +11 TWh to the UK and +4 TWh to Ukraine. Five-Year Progress (2019–2024): •> Solar capacity tripled to 338 GW, with a record 66 GW added in 2024 (equivalent to over 450,000 panels installed daily). •> Wind capacity grew by 37% to 231 GW. •> The share of fossil fuels dropped from 39% (1,130 TWh) in 2019 to 29% (793 TWh) in 2024. Challenges and Solutions: •> Wind Power: Growth slowed due to permitting delays and inflationary pressures, with 13 GW added in 2024. Achieving 2030 targets requires annual additions of 34 GW. •> Clean Flexibility: Scaling battery storage (currently 16 GW) and smart electrification is vital to ensure grid stability and maximize renewable benefits. •> Grid Infrastructure: Modernization and expansion are essential for handling increased renewable energy production. Recommendations: 1. Implement permitting reforms to accelerate wind and solar projects. 2. Expand grid capacity and storage to support renewable integration. 3. Enhance cross-border collaboration and improve auction designs for wind and solar deployment. 4. Accelerate the rollout of demand-side flexibility tools and smart electrification. The EU achieved record renewable energy growth in 2024, driven by the European Green Deal, with solar surpassing coal for the first time. Despite these achievements, faster reforms and investments are essential to meet 2030 climate and energy security goals.

Great resources on carbon pricing, carbon policies, and carbon markets! The World Bank recently published its State and Trends of Carbon Pricing along with a dashboard for examining the policies and pricing within hundreds of jurisdictions. The dashboard features details on: -The form of compliance mechanisms in place -The state of carbon credit markets -How policies and implementation have changed over time The report highlights important progress in carbon pricing as a means of implementing climate policy, but also some key areas for improvement, including: -Carbon pricing instruments cover less than 1/4 of global emissions, but that number is rising as ETS policies are considered -An implementation gap remains between countries’ commitments and implemented policies -Price levels continue to fall short of the ambition needed to achieve the Paris Agreement goals https://lnkd.in/eiRUy6hG #carbonpricing #carbontax #carbon #climatepolicy #climateaction #ndcs #decarbonization #netzero #climatefinance #esgdata #sustainablefinance

18 countries have already submitted their updated national climate plans (NDCs) this year, with many more to come. The majority of those (15) included new emission reduction targets for 2035 and net zero target dates for 2050. Two countries even strengthened their near-term 2030 targets. Most countries have (partly) responded to the Global Stocktake (the health check of the Paris Agreement that took place at COP28 in 2023, and is meant to inform countries' updated plans). In particular, countries have expanded the number of sectors they include in their plans, are working more closely with cities and states (who are often the implementers of climate actions) and have improved the way they consult with their societies when drafting the plans. One area of promising improvement (albeit from a very low base) is the integration of nature actions such as halting deforestation into the NDCs, with Uruguay, Ecuador and Brazil providing great examples of how this can be done. To learn more about the new climate plans, have a look at this helpful "NDC insights brief" by UNDP: https://lnkd.in/g4KRMP9a

At COP28 countries committed to collectively double the global average annual rate of energy efficiency improvements from around 2% to over 4% every year Supporting this goal, International Energy Agency (IEA) released the report, "Energy Efficiency 2024" showing recent trends in energy intensity and demand, prices and policies. Key messages: - Accelerating energy efficiency improvements can deliver over 70% of the projected decline in oil demand and 50% of the reduction in gas demand by 2030.  - Accelerating energy efficiency improvements can deliver over a third of all carbon dioxide (CO2) emission reductions between now and 2030 in a pathway aligned with reaching net zero emissions by 2050.  - Energy efficiency investment has risen by nearly 50% since 2019. Combined public and private investment on efficiency in end-use sectors (buildings, transport and industry), including investments in electrification such as electric vehicles or heat pumps, is expected to increase by around 4% in 2024 to about USD 660 billion. - As of 2024, the number of people employed in jobs related to energy efficiency has reached nearly 10 million. - Electrification is a major driver of efficiency improvements. In 2024, the share of electricity in total final energy demand is set to grow at a rate of nearly 2%, almost double the average annual rate of change achieved between 2010 and 2019. Full report attached.