About
The European Climate Law will transform political promises into a binding legal obligation for EU institutions and national governments. It writes the climate neutrality target for 2050 into law, and the aim is that the law will give European citizens and businesses the predictability, transparency and accountability which they need for a collective transformation.
The law includes a climate-neutrality objective where the EU shall reach climate neutrality by 2050. This includes that emissions shall be reduced to net zero by that date, and the EU shall aim to achieve negative emissions thereafter. Further, it sets out an ambitious 2030 climate target of at least 55 % reduction of net emissions of greenhouse gases as compared to 1990 levels, with clarity on the contribution of emission reductions and removals.
In July 2025, the Commission proposed an amendment to the European Climate Law recommending reducing the EU's net greenhouse gas emissions by 90 % by 2040 relative to 1990, as proposed by the previous Commission.
On 10 February 2026, the European Parliament backed a political agreement with the Council on amendments to the Climate Law to include this new, intermediate and binding target of reducing net greenhouse gas emissions by 90 % compared to 1990 levels. On 5 March the Council formally adopted the amended European Climate Law, and in April 2026, the amendments to the Climate Law entered into force. The amendment also formally postponed the ETS2 by one year, from 2027 to 2028.
Flexibility mechanism for the post-2030 framework: high-quality international credits and permanent removals under the EU ETS
The revised climate law introduces flexibility mechanism in how the 2040-target can be met, including (i) a limited role for high-quality international carbon credits in the second part of 2030-2040, (ii) the use of domestic permanent removals in the EU Emissions Trading System (EU ETS) and (iii) enhanced flexibilities across sectors.
First, the law allows a strictly limited role for high‑quality international carbon credits generated under the Paris Agreement’s Article 6 architecture. Subject to detailed EU implementing rules on origin, eligibility and safeguards, a pilot phase may operate in 2031–2035 to help build a high‑integrity market, after which, from 2036, such credits may make an adequate contribution capped at up to 5% of 1990 EU net emissions. This effectively preserves a domestic reduction ambition of around 85% by 2040. Use of credits will depend on EU rules specifying origin and quality safeguards.
Second, the amended framework provides for the introduction of domestic permanent carbon removals within the EU Emissions Trading System to compensate residual, hard‑to‑abate industrial emissions, without undermining the environmental integrity of the market. The forthcoming 2026 review of the ETS Directive will define the modalities, including eligible technologies (such as DACCS and BioCCS), storage integrity and liability, MRV, and any conditions for cross‑border CO₂ transport and storage consistent with EU law.
The Commission shall also ensure that enhanced flexibility within and across sectors and instruments, to support the achievement of targets in a simple and cost-effective way, are reflected in the legislative proposals under the post-2030 framework.
Who does it impact?
EU Institutions and EU Member State governments.
European citizens, industry and investors.
Status: In force
The European Climate Law was published in the Official Journal on 9 July 2021 and entered into force on 29 July 2021.
Relation to other initiatives and regulations
The European Climate Law writes into law the goals set out in the European Green Deal.
Participants
Member States of the European Union.
Thommessen's comments
The EU climate law is not applicable in Norway, and Norway is not bound by EU's climate targets. With that said, Norway has a close climate cooperation with the EU in the implementation of our climate targets, even though we have independent climate targets under the Paris Agreement. The climate targets that follow from the Norwegian Climate Change Act reflects the climate targets set by the EU.