Melike Pala
02 July 2025•Update: 03 July 2025
BRUSSELS
The European Commission on Wednesday proposed a legally binding target to reduce the EU’s net greenhouse gas emissions by 90% by 2040 compared to 1990 levels.
The amendment to the EU Climate Law aligns with the bloc’s goal of achieving climate neutrality by 2050 and aims to provide predictability for investors, boost clean energy innovation and strengthen Europe’s energy security.
“Today we show that we stand firmly by our commitment to decarbonise the European economy by 2050. The goal is clear, the journey is pragmatic and realistic,” European Commission President Ursula von der Leyen said.
The 2040 target builds on the existing 2030 goal of cutting emissions by at least 55% and introduces new flexibilities, including limited use of international carbon credits after 2036, integration of carbon removals into the EU Emissions Trading System and greater sectoral flexibility.
The commission also unveiled a package of measures under the Clean Industrial Deal to support the new target, including a revised state aid framework, tax incentives and simplified rules under the Carbon Border Adjustment Mechanism (CBAM) to encourage clean energy investment and reduce carbon leakage.
European Commission Executive Vice-President Teresa Ribera and Climate Commissioner Wopke Hoekstra presented the proposal at a joint press conference, stressing the need to balance climate responsibility with economic resilience.
Ribera said 85% of EU citizens see climate change as one of the biggest threats and called for “full responsibility” in responding to what she described as the most essential challenge of this generation.
Hoekstra described the 2040 target as “the next step” in strengthening the EU’s competitiveness, security and climate goals.
“We're doing it for competitiveness, for climate and for our independence,” he said, adding that decarbonization, if done right, will serve as a “powerful growth engine” and reduce the bloc’s reliance on fossil fuel imports.
The proposal will now go to the European Parliament and European Council for debate and adoption under the ordinary legislative procedure. It will guide the EU’s post-2030 climate and energy framework and serve as the bloc’s contribution ahead of COP30 in Brazil later this year.
