EU Leaders Seek Revision Clause for 2040 Climate Target Amid Economic Concerns

European Union government leaders are preparing to gather for a crucial debate regarding the EU's new 2040 climate target.

Brussels:

According to draft conclusions for an upcoming Thursday summit, EU leaders are seeking a revision clause for the bloc's new climate change target, which could potentially allow them to weaken it in the future.

The government leaders' meeting is expected by diplomats to involve intense discussions on the EU's proposed 2040 climate target. This has raised concerns in various capitals about funding the transition to a low-carbon economy while simultaneously addressing other priorities such as defense and industrial revitalization.

The draft conclusions for the meeting, reviewed by Reuters, indicate that leaders would agree for EU countries and lawmakers to move forward with establishing the 2040 climate goal. However, they also outline specific conditions for this process.

These conditions include "the need for a revision clause, in light of the latest scientific evidence, technological advances, and evolving challenges to the EU's global competitiveness," according to the draft, which may still undergo changes before leaders approve it on Thursday.

Countries like Poland have advocated for a revision clause to address potential scenarios where green technologies don't develop as anticipated, or economic conditions prevent countries from making the necessary investments to achieve the climate target.

This move also reflects concerns from countries including France and Latvia that forests and agricultural lands will find it difficult to absorb sufficient CO2 emissions to meet the goal, partly due to climate change-intensified wildfires.

The EU Commission has proposed that the 2040 target should reduce net emissions by 90% compared to 1990 levels—a goal that would be among the most ambitious for any major economy.

The Commission has emphasized that maintaining ambitious climate targets is essential to ensure European industries can evolve to compete with China's dominance in green technologies, and to protect countries from the costly impacts of extreme weather.

However, the Commission has also proposed weakening certain EU green laws, including the corporate sustainability law and an upcoming carbon pricing system for transport and heating fuels, in an attempt to address pushback from governments seeking to roll back climate measures.

The draft leaders' conclusions also requested that the European Commission develop additional "enabling conditions"—potentially including policy changes or funding—to support industries and citizens in meeting climate goals.