Carbon-neutral industry – an agreement has been reached on the development of clean technologies in the EU

Przemysł neutralny emisyjnie – osiągnięto porozumienie w sprawie rozwoju czystych technologii w UE

Parliament and the European Council in February 2024. have adopted a preliminary agreement on the Carbon Neutral Industry Act, a key component of the Green Deal industrial plan. The document calls for implementation by 2030. Clean technologies that will satisfy at least 40 percent of the EU’s annual demand for them. Thus, it becomes a significant step on the way to achieving ambitious climate and economic goals

Carbon-neutral industry and its development

The agreement on the Carbon Neutral Industries Act strengthens the competitiveness and resilience of European clean-tech manufacturing and supports job creation. The document proposes measures to guarantee the ability to produce from 2030. At least 40 percent. Clean technologies for their own use.

The agreed act creates favorable regulatory conditions for attracting and supporting technological investments and projects, which will significantly reduce carbon emissions. In particular, the regulations will help accelerate the construction of more production facilities with carbon-neutral technologies. This will facilitate access to product markets that meet European sustainability and resilience criteria and that will help diversify over-concentrated sources of supply. The said act will also ensure the availability of qualified personnel to support the implementation of carbon neutrality.

The pre-agreed regulations identify a wide range of carbon-neutral technologies that can be supported by strategic projects. These include photovoltaic (PV), onshore and offshore wind power, fuel cells, electrolyzers, batteries, grid technologies and sustainable alternative fuels. Following the preliminary agreement, energy-intensive sectors such as the steel, chemical and cement industries, which produce components used to produce carbon-neutral technologies and which invest in decarbonization, will be able to receive support through strategic projects.

According to a 2023 report by the International Energy Agency, if countries around the world fully met their energy and climate commitments, the market for key renewable energy technologies by 2030. could more than triple compared to what it is worth now. The number of jobs in this sector would increase from the current 6 million to 14 million.

Details of the carbon neutral industry act

The agreed act reduces the administrative burden and simplifies the permitting process for carbon-neutral technologies. In addition, the concept of industrial valleys has also been introduced to accelerate the implementation of projects in the production of carbon-neutral technologies and can be created by member states to create centers of environmentally friendly industrial activity and further streamline administrative processes.

According to the European Commission’s Communication on Industrial Management ofCO2 Emissions, it has been proposed that the EU allowCO2 storage of 50 million tons per year by 2030. The adopted agreement supports the development ofCO2 capture and storage technologies as economically viable, thus fitting in with the Communication’s goals for emissions management. Another of the positive aspects of the agreement on the Carbon Neutral Industries Act is that it facilitates market access for carbon-neutral products in this regard.

Carbon-neutral industry – skills support

Under the terms of the agreement, carbon-neutral industry academies will be established to support the upskilling of workers needed to scale up operations in the EU and facilitate the mobility of these workers within the single European market. The document also includes incentives to invest in education and training for European workers. The new rules will allow member states to test innovative technologies under flexible conditions. The Carbon Neutral Industry Act also provides for the establishment of the Carbon Neutral Europe Platform, which is intended to be a central coordination center to foster the exchange of information to facilitate the implementation and support of investment initiatives across the EU.

When will the carbon-neutral industry act take effect?

After the initial agreement, the carbon-neutral industry act must be officially approved by the Parliament and the European Council. It will enter into force the day after publication in the Official Journal of the European Union.

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