Negotiators from the European Parliament and the Council of the European Union have reached a provisional political agreement on a new European certification framework for carbon removals (see EUROPE 13074/9). The agreement, reached on the night of 19-20 February, aims to stimulate the deployment of these technologies and improve the EU’s ability to quantify, monitor and verify activities in this sector.
This regulation marks a first step towards integrating a comprehensive framework for carbon removal and soil emissions reduction into EU legislation. It is in line with the EU’s ambitious goal of achieving climate neutrality by 2050, as set out in the European Climate Law.
“Today’s agreement on this important piece of legislation will make the EU a world leader in carbon elimination. It will foster private investment and develop the voluntary carbon markets while respecting climate integrity and preventing greenwashing”, said Parliament’s rapporteur Lídia Pereira (EPP, Portuguese) in a press release.
The new law embraces various forms of carbon removal, including permanent carbon storage via industrial technologies, storage in sustainable products and carbon farming. It also extends to certain agricultural practices that reduce soil emissions, provided that they help to improve the soil’s overall carbon balance. In particular, the reduction of methane emissions from enteric fermentation and the management of livestock manure will be examined in 2026.
Certification criteria and units. The agreement stipulates that different units will be used for these categories because of their different environmental impacts. The European Commission is responsible for developing various certification methodologies. Permanent carbon removals must therefore be able to store atmospheric or biogenic carbon for several centuries.
To be eligible for certification, an activity must not only exceed European and national requirements, but also prove that the incentive effect of certification is necessary for its financial viability. All carbon removals and emission reductions achieved under this regulation will count towards the EU’s nationally determined contributions under the Paris Agreement.
Sustainability requirements. In addition, the text establishes minimum sustainability requirements to ensure that activities do not cause significant damage to the environment. These activities must generate co-benefits for biodiversity and ecosystems that go beyond basic sustainability requirements. Certified carbon units that produce these co-benefits (in particular for biodiversity) will be valued more economically than those that do not, which is intended to create a financial incentive.
Certification principles. Certification will be based on four key criteria: quantification, additionality, long-term storage and sustainability. The Commission, assisted by a group of experts, will develop tailor-made methodologies to ensure harmonised and cost-effective implementation.
Transparency. Finally, to ensure transparency and prevent the risks of fraud or double-counting, an EU public register for carbon removals and emission reductions from land will be established.
This register will contain all documents relating to the certification process, including certificates and audit summaries, and must be set up no later than 4 years after the regulation comes into force. (Original version in French by Nithya Paquiry)