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Image header Agence Europe
Europe Daily Bulletin No. 12518
SECTORAL POLICIES / Energy

MEPs are divided on whether or not to exclude gas projects from Just Transition Fund

Members of the European Parliament's Committee on Industry, Research and Energy (ITRE) adopted (45 votes in favour, 17 against and 9 abstentions) on Monday 29 June a draft opinion by Polish MEP Jerzy Buzek (EPP) recommending, inter alia, that natural gas projects should be eligible, under certain conditions, for funding from the Just Transition Fund (JTF).

These conditions include in particular that these projects should be of a transitional nature and contribute to the achievement of the European Union's environmental objectives on climate change mitigation and adaptation by accelerating the complete replacement of coal, lignite, peat or oil shale.

A compromise amendment tabled by the Greens/EFA and GUE/NGL groups calling for the JTF not to support fossil fuel-related investments, as provided for in the European Commission proposal currently being examined by the co-legislators (see EUROPE 12403/2), however, was rejected.

On the same day, following a close vote (42 votes in favour, 31 against and 7 abstentions), the members of the Committee on the Environment, Public Health and Food Safety (ENVI) – another committee for opinion on the JTF dossier – adopted a compromise amendment along the same lines as Mr Buzek's draft opinion.  

"Investments in transitional energy sources, such as natural gas, should be eligible for support if such investments lead to a substantial reduction of green house gas emissions, and allow for the use of renewable gas as a sustainable alternative", says the compromise amendment tabled by the EPP, Renew Europe, ID and ECR groups.

The text goes on to specify that such investments must comply with the EU Taxonomy Regulation (see EUROPE 12509/12). However, it foresees that Member States could derogate from this obligation if, in their territorial Just Transition Plans, they are able to justify the need for these investments and their compliance with the EU's climate neutrality objective.

It should be noted that the ENVI committee vote on the draft opinion by Alexandr Vondra (ECR, the Czech Republic) as a whole will take place on 2 July. But, barring a surprise, the amended text should be adopted.

In addition, the vote on the draft report by Manolis Kefalogiannis (EPP, Greece) in Parliament's Committee on Regional Development (REGI) – the parliamentary committee responsible for the JTF dossier – is due to take place on 6 July.

In his draft report (see EUROPE 12478/20), Mr Kefalogiannis proposes in particular that investments related to gas, but also to other fossil fuels, should not be excluded from the Fund.

On the EU Council side, Member States' Ambassadors to the EU ('Coreper') have agreed that gas-related infrastructure should not be eligible for financing from the JTF (see EUROPE 12513/9). (Original version in French by Damien Genicot)

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