Council of the EU
Press release
5 March 2026 12:30
2040 climate target: Council gives final green light

Today, the Council formally adopted the amended European climate law, introducing a binding intermediate climate target, for 2040, of a 90% reduction in net greenhouse gas (GHG) emissions compared to 1990 levels. This new target strengthens the EU’s path towards achieving climate neutrality by 2050 across all sectors of the economy.

From 2036 onwards, high-quality international credits may be used up to a limit of 5% of 1990 EU net emissions to make an adequate contribution towards the 2040 target in a way that is both ambitious and cost-efficient. This means that at least 85% of emissions reductions must be achieved within the EU. Credits must be based on credible activities of GHG reduction in partner countries, in line with the Paris agreement.

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The amended climate law sets out further key elements the Commission must consider when preparing its legislative proposals for the post‑2030 period, with a focus on competitiveness, simplification, social fairness, energy security and affordability, alongside other priorities. Among these elements are:

• EU-based permanent carbon removals (processes that involve capturing carbon dioxide from the atmosphere and storing it durably) to compensate for residual hard-to-abate emissions under the EU emissions trading system
• enhanced flexibility within and across sectors and instruments, to support the achievement of targets in a simple and cost-effective way

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