The proposal for the multiannual financial framework 2021-2027 presented by the European Commission on Wednesday 2 May provides an allocation of 25% of spending from the whole future budget for climate action, to tackle one of the EU27’s top priorities (see EUROPE 12013).
This is a 5% rise in the level of current spending for this across-the-board priority, i.e. €320 billion for the whole period (at 2018 prices). NGOs of the CAN (Climate Action Network) Europe and The European Alliance to Save Energy were immediately delighted although, they say, implementation of the Paris agreement on climate requires more.
The Commission acknowledges the role played by the EU budget in tackling climate change. “More money is needed to boost European and international climate action. So far, the green potential of the EU budget has regrettably been untapped”, said Markus Trilling, an expert in the funding of climate action with CAN Europe.
In his view, to allow European economies to come closer to the targets of the Paris agreement, the EU budget should devote “at least 40% to the decarbonisation of energy, industry and mobility systems, and ensure not one cent will benefit fossil fuel-related activities and infrastructure” (see EUROPE 11995).
The NGO calls on member states to follow France's example, where the president is making a plea for a 40% share of the next EU budget to be dedicated to climate action and ecological transition. To date, 14 member states are in favour of an objective of at least 20%. The European Parliament, for its part, calls for 30% of the budget to be spent on climate (see EUROPE 11981).
“A 25% target of EU expenditure contributing to climate objectives is a good political signal for investors. However, the scale and the importance of the Paris agreement objectives and the UN sustainable development goals would have deserved a more central role in the EU long-term budget”, comments Monica Frassoni, who heads the European Alliance to Save Energy. Underlining the positive impact to be expected in terms of growth and employment in Europe, she expresses hope that this figure will be reviewed upward.
In its proposal, the Commission also strengthened the budget for the LIFE programme for environment and climate action. (Original version in French by Aminata Niang)