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> Economy

Greece’s decisive role in the negotiations for the new EU climate law

An 85% emissions reduction target by 2040 was achieved, with a review clause and flexibility safeguards – The Greek proposals that were incorporated into the final text of the Council of Environment and Energy Ministers

Newsroom November 5 02:00

The long negotiations at the extraordinary Council of EU Environment Ministers on the new Climate Law concluded with a positive outcome for Greece, after a marathon consultation that lasted more than 24 hours and ended at 9am Brussels time.

The Greek delegation, led by the Minister of Environment and Energy Stavros Papastavrou, managed to incorporate into the final text two of its key priorities: the need for a review clause for the emissions reduction target and the provision of measures that will safeguard social and regional cohesion as well as the competitiveness of the European economy.

Mr Papastavrou, accompanied by the Secretary General for Environment and Water Petros Varelidis and Greece’s deputy permanent representative to the EU Efthymios Kostopoulos, entered the talks stressing that climate policy must be “realistic, fair and economically sustainable.” The Greek positions received broad support from countries such as Italy, Poland, Romania and Bulgaria, which allowed them to finally be adopted by the Council.

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The final text provides for a reduction target of greenhouse gas emissions by 85% by 2040 compared to 1990 levels, while an additional 5% may be covered through international credit units from countries outside the EU. At the same time, a review clause is introduced, which allows socio-economic impacts to be taken into account, additional flexibilities to be provided for member states and, if deemed necessary, the 2040 target itself to be revised. This decision reflects Greece’s long-standing position that climate transition must move forward without tearing the social fabric and without harming European industry.

Also considered particularly significant is the increase in the share of international credit units from 3% to 5%, with a pilot application starting already from 2031, five years earlier than originally proposed. At the same time, the new emissions trading system for buildings and road transport (ETS2) is postponed by one year, from 2027 to 2028, in order to ensure smoother implementation for member states and citizens.

On Greek initiative, the final communiqué incorporated an explicit reference that all future legislative proposals arising from the Climate Law must take into account social cohesion and the preservation of jobs, the competitiveness of European industry and exports, the single European energy market, the geographic balance in access to investment and financing, as well as the protection of shipping and island regions. Specific care is also provided for small and medium-sized enterprises, farmers and vulnerable households, with the aim of avoiding energy poverty and limiting consumer price increases.

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