Thread by @Sustainable2050

Reading the EC's #Fitfor55 communication now. Thread.

https://twitter.com/Sustainable2050/status/1415298536904740869

Good to see biodiversity mentioned in line 1!
"We are at a pivotal moment in the world's response to the climate and biodiversity emergencies and we are the last generation that can still act in time."

.. and multiple benefits in paragraph 2:
"We all share in the benefits of more space for nature, cleaner air, cooler and greener towns and cities, healthier citizens, lower energy use and bills, as well as new jobs, technologies and industrial opportunities."

It is by no means a given, and it requires hard work to achieve these benefits in conjunction with greenhouse gas emission reduction, but it makes it much more rewarding and inspiring than 'just' reducing emissions.

"Tackling these crises is a matter of intergenerational and international solidarity. What we achieve in the next decade will determine our children’s future. This is why there is sustained and growing public support for climate ambition and action:
ec.europa.eu/clima/citizens… "

"The Fit for 55 package consists of a set of interconnected proposals, which all drive towards the same goal of ensuring a fair, competitive and green transition by 2030 and beyond."
Its mix of Pricing, Targets, Rules, and Supporting Measures is shown in the figure below.

The Commission emphasizes that this needs to be a socially fair transition, tackling inequality and energy poverty through climate action. A new Social Climate Fund will provide funding to Member States to support citizens most affected or at risk of energy or mobility poverty.

For the period 2025-2032, the Social Climate Fund will provide €72 billion from the new Emissions Trading System. It will support investments to in energy renovations of buildings in a way that can reduce both CO2 emissions and energy bills for vulnerable households.

Further measures to share the burden between Member States (essential to obtain their support of course) are foreseen in an enhanced Modernisation Fund, funded from the carbon price, the Effort Sharing Regulation and the redistribution of 10% of the EU-ETS proceeds.

Targets for the revised Effort Sharing Regulation (ESR) should deliver a 40% emission reduction in the EU buildings, transport, agriculture, waste, and small industry sectors by 2030, differentiated by country. In this case compared to 2005.

"The Commission is today proposing that by 2030 sectors covered by the revised EU ETS will need to reduce their greenhouse gas emissions by 61%, compared to 2005 levels." That's a lot.

The EC proposes to gradually extend the current EU ETS to the maritime sector over the period 2023-2025.
For aviation: phasing out free emissions (for intra-EU flights) and implementing the global CORSIA scheme through the EU ETS directive. (I'm not sure what the latter means)

The EC proposes to start applying emissions trading for road transport and buildings from 2026, in a separate system putting the responsibility on fuel producers to comply. An emissions cap will be reduced over time.
(This would be a driver to introduce e.g. renewable gases)

At the same time, it recognizes that this should be accompanied by other policies, e.g. to build out charging infrastructure for electric vehicles, and to improve the energy efficiency of buildings, appliances and heating and cooling systems.

For aviation, there will be obligations for fuel suppliers to gradually increase the share of sustainable aviation fuels (5% by 2030 mentioned in press conference).
For shipping, the focus is on gradually lowering the GHG intensity of the energy they use (13% by 2035 in pressco).

The 2030 target for the renewable share in the EU energy mix will be increased from 32% to 40%. That's a major step, with just 9 years to go!
A revision of the Energy Efficiency Directive should reduce energy consumption by 9% by 2030, compared to a new 2020 Reference scenario.

A revision of the Energy Taxation Directive should remove 'outdated exemptions, for example in aviation and maritime transport'. This could be an important one.

"The twin climate and biodiversity crises cannot be treated in separately. We either solve the climate and nature crises together, or we solve neither. [..]
Restoring nature and enabling biodiversity to thrive again is essential to absorb and store more carbon."

"The EC is taking multiple measures to incentivise good practices in producing biomass, and to ensure that supply and demand for woody biomass remains within the limits of sustainability."
Strenghtens sustainability criteria, increases no-go areas, confirms cascading principle.

Next to the funding from the EU long-term budget and from the recovery funds of EU and Member States, the #Fitfor55 proposals contain their own dedicated financial instruments, based on the revenues generated by the extension and strengthening of emissions trading.

"The EU is determined to ensure that decarbonisation gains in the EU should not simply push carbon emissions outside our borders. In this spirit, the Commission is today proposing a Carbon Border Adjustment
Mechanism (CBAM)."

The CBAM will be gradually introduced for a few selected products, starting with a simplified system to facilitate a smooth roll out of the mechanism.

The EC's CBAM proposal "ensures that the same carbon price will be paid by domestic and imported products and will thus be non-discriminatory and compatible with WTO rules."

"The Commission has now presented the necessary proposals for the EU to fulfil our commitments and targets, and to genuinely embrace the transformation that lies ahead."

"We invite the European Parliament and the Council to swiftly begin their legislative work on the proposals presented today, and to ensure that they are treated as a coherent package, respecting the multiple interconnections between them."

"The make-or-break decade has already started. The EU needs its policy toolbox to be Fit for 55 in place as soon as possible to meet our 2030 targets and set us firmly on the pathway towards becoming the first climate-neutral continent by 2050."

And here ends the EC's #Fitfor55 communication.
You can read it here: ec.europa.eu/info/sites/def…
I hope this thread was useful for you!

Ok, so I made a threading error here. Read on:

https://twitter.com/Sustainable2050/status/1415316515621068800?s=19

PS My colleague Daan Peters says I'm a little naive on the role of energy taxation in the package. Decisions on taxes require unanimity, and that's not easy, even now the UK has left.