Promoting a 90% reduction in emissions by 2040

The proposal for a new milestone in the European Climate Change Act is intended to be legally binding and will add to the existing milestone of a 55% reduction by 2030. But Parliament also envisages some flexibility for Member States. From 2036 onwards, up to five percentage points of reductions could be achieved through high-quality international carbon credits. This is higher than the Commission's original proposal, which proposed a limit of three percent.

MEPs also support the possibility to count permanent domestic carbon removals for the most difficult to reduce emissions and advocate more scope for transfers between different sectors to make meeting climate targets as efficient and economically viable as possible.

As part of the vote, MEPs also agreed to a one-year postponement of the new emissions trading scheme ETS2, which is due to be re-launched in 2028. ETS2 will regulate emissions from buildings and road transport.

The Parliament requires the Commission to present a biennial assessment report on progress towards the targets. The evaluation is to include scientific data, technological developments, energy prices and impacts on EU competitiveness. If necessary, the Commission may propose adjusting the 2040 target or strengthening accompanying measures.