Those who reduce CO2 must be rewarded

The EPP Group has successfully improved the EU's Fit for 55 package, ensuring that all revenues from the Emissions Trading System (ETS) will be directed toward climate measures. The law package creates breathing space for industry by postponing important changes to the price of CO2 emissions until after 2026. In return, ambition will be higher after 2026. Climate measures will be socially fair due to the introduction of the Social Climate Fund and new conditions in the ETS, such as a price cap mechanism and emergency break.

"Those who cut CO2 must be rewarded. And the hard work of those that curb emissions must be felt in their own pockets. The EPP Group made sure that Europe's climate protection targets are met and the Paris Agreement is safeguarded, while turning the Green Deal into an opportunity for Europe's competitiveness", emphasised Peter Liese MEP, the EPP Group Spokesman on environment.

Later today, the European Parliament will give its final approval to four laws from the Fit for 55 package, namely the EU Emissions Trading System (EU ETS), the Carbon Border Adjustment Mechanism (CBAM), the Social Climate Fund (SCF) and ETS Aviation.

Thanks to the EPP Group, the final overall climate ambition is even higher than the initially agreed 55% CO2 reduction by 2030. "This was achieved through changes the EPP Group pushed for on land use and forestry (LULUCF) and the ETS, so that now the de facto final reduction target is roughly 57%. At the same time, we postponed important changes to the price of CO2 emissions until after 2026 and will focus on investing more in energy efficiency and renewable energy, which is necessary to end our dependence on Russian fossil fuels. This will give citizens and companies so-called 'breathing space' in times of high energy prices", explained Liese.

"Member States will be forced to spend all their revenues on climate protection, jobs or social climate measures. Those who struggle to make the transition, especially those at risk of energy or transport poverty, will get help through an increased Social Climate Fund and also Member States' national revenues that must be spent according to the same principles. The EPP Group does not just want a Green Deal - it is also fighting for a strengthened, strategic European industry policy", concluded Liese.