The European Court of Auditors has expressed reservations about whether the EU’s 2030 climate and energy targets will be met, in a report published on Monday 26 June entitled “EU climate and energy targets - Contract fulfilled for 2020, but cautious prognosis for 2030”.
Targets for 2020
In this report, the European Court of Auditors looks first at the three climate and energy objectives for 2020: 20% reduction in greenhouse gas emissions (compared with 55% by 2030), 20% share of renewable energies (compared with 45% by 2030) and 20% reduction in energy consumption (compared with 42% by 2030).
While in October 2022, the European Commission declared that the EU had achieved its 2020 targets, the report states that this was partly due to the financial crisis of 2009 and the Covid-19 pandemic, which led to a reduction in energy consumption. So these results were not simply attributable to ‘climate action’.
Lack of transparency
The report also states that the EU has not carried out an assessment of the impact of external factors on its energy performance. At a press conference, the members of the Court of Auditors also highlighted “a lack of communication of data”, as well as a lack of transparency regarding the arrangements made by the Member States to achieve binding national targets, such as the purchase of emission quotas or shares of renewable energy from other Member States.
The auditors also highlight the lack of information on the real cost of achieving the objectives for the EU budget, national budgets and the private sector.
“We also believe that all greenhouse gas emissions generated by the EU should be taken into account, including those resulting from trade or international air and sea transport”, added Joëlle Elvinger, the member of the Court responsible for the audit.
While the EU is doing well in reducing its greenhouse gas emissions compared with other industrialised countries, its total emissions would nevertheless increase by around 8% if emissions from trade caused by carbon leakage were taken into account.
Targets for 2030
With regard to the targets to be reached by 2030, “there is no indication that sufficient funding will be made available, particularly from the private sector, which is expected to make a major contribution to their achievement”, says the report. According to the Court of Auditors, the upward revision of certain objectives for 2030, such as the ‘Fit for 55’ package or the ‘REPowerEU’ plan, will require more funding.
The EU has pledged to devote 30% of its 2021-2027 budget to climate action, i.e. €87 billion a year, which represents less than 10% of the total investment needed to achieve the 2030 targets, estimated at around €1,000 billion a year. The rest of the investment must come from national or private funds.
Recommendations
This report by the Court of Auditors is published a few days before the deadline by which the EU27 must submit national energy and climate plans for the period 2021-2030, i.e. 30 June 2023, and is therefore intended to help the European Commission assess these projects.
The Court of Auditors recommends that the European Commission be more transparent about the climate and energy performance of the EU and its Member States, account for all greenhouse gas emissions caused by the EU and support Member States’ commitment to achieving the 2030 targets.
To see the European Court of Auditors report: https://aeur.eu/f/7qs (Original version in French by Pauline Denys)