The latest Climate Action Progress report by the European Commission reveals that EU greenhouse gas emissions have fallen by 8.3% in 2023 compared to 2022. The report shows that net greenhouse gas emissions are now 37% below 1990 levels. Over the same period, the EU Gross Domestic Product (GDP) grew by 68%, proving that reducing emissions and economic growth are compatible. The findings of the report confirm that the EU is well on its way to reach its goal of reducing emissions by at least 55% by 2030.
A few highlights of the report include:
- a record 16.5% decrease in 2023 emissions from power and industrial installations that are listed under the EU Emissions Trading System.
- a 24% decrease in emissions from electricity production and heating, under the EU Emissions Trading System, driven by the growth of renewable energy sources, in particular wind and solar energy.
- around a 2% decrease in 2023 of overall buildings, agriculture, domestic transport, small industry and waste emissions.
- aviation emissions, however, grew by 9.5%, continuing the post-COVID trend.
The EU Emissions Trading System generated revenues of €43.6 billion in 2023 for climate action investments, highlighting the EU’s commitment to driving sustainable growth and helping industries adapt in the shift towards a low carbon future.
Despite the positive trends in the report, the European Commission stresses the need for continued action, especially considering the recent extreme weather events across Europe.
Under the European Green Deal, the EU has adopted a set of proposals to make the EU's climate, energy, transport and taxation policies fit for reducing net greenhouse gas emissions by at least 55% by 2030. By 2050, net greenhouse gas emissions should be at zero. The EU will also continue its international engagement, starting with COP29 from 11-22 November 2024, to ensure that its international partners are also taking the necessary action.
DMX closely monitors the availability of EU funds relating to clean energy transition under the European Green Deal. Follow our page to stay informed on any updates.
