The European Commission unveiled its wide-ranging ‘European Green Deal’ on Wednesday, 11.12.2019 which aims to combat the effects of climate change, reduce the decline of the biodiversity, reduce pollution, and shift to a clean circular European economy.
This includes a legislative proposal to enshrine a 2050 net zero emissions target into law by March 2020. Snubbing lawmakers call to immediately propose a deeper 2030 goal.
The plan foresees additional annual investments of € 260 billion in the first decade alone, equivalent to 1.5% of the EU’s gross domestic product in 2018.
In the long term, the Commission estimates that at least 25% of GDP will have to be allocated to actions to combat change and promote the transition to a “green” economy.
The announcement has been made with the occasion of COP25, which has been going on in Madrid these days and has generated a price increase around the value of 25 Eur/tCO2. At the current time, the EUA is traded at 24.63 Eur at the ICE ECX exchange from London.
Source: The European Commission, Brussels and ICE ECX, London