SGI Europe welcomes the 2040 climate target, urges a practical path to effective decarbonisation

SGI Europe, representing European employers and providers of services of general interest (SGIs), welcomes the amendment to the EU Climate Law, which sets a 2040 EU climate target of a 90% reduction in net greenhouse gas (GHG) emissions compared to 1990 levels. This proposal should pave the way for the EU to achieve a decarbonised European economy by 2050.

For SGIs, who form the backbone of Europe’s economy and society, the focus must now shift decisively to creating a pathway to reach this ambition.

Following the presentation of the 2040 climate target proposal, SGI Europe Secretary General Valeria Ronzitti commented:

“SGI Europe recognises the value of the EU Climate Law's overarching objective: a legally binding path to climate neutrality. Our members are at the forefront of decarbonisation. While the climate law establishes national responsibility, real progress on the ground hinges on granting flexibility to municipalities and public authorities to deploy tailored, efficient, and practical actions that reflect their diverse needs and opportunities.”

“Building a resilient Europe means building resilient services of general interest. The need to strengthen adaptation and resilience is a positive and essential step for critical infrastructure. Services of general interest underpin the social and economic life of the EU: we call for a stronger and more explicit commitment to a 'Preparedness by Design' approach in the climate framework."

"However, while the 2040 target is significant, we are concerned about the proposed 'flexibilities' such as carbon offsetting and over-reliance on technology removals, which risk diverting us from our objective of reducing emissions. We call for a genuinely technology-neutral approach that prioritises direct decarbonisation across all available technologies. Carbon offsetting must truly complement hard-to-abate sectors, with incentives in place to support sustainable energy technology.”

SGI Europe stands ready to collaborate with the co-legislators to integrate these recommendations into the forthcoming initiatives under the new EU climate architecture for 2040, ensuring that SGIs can fully harness their potential for a sustainable and resilient future.

(Illustration: EVP Teresa Ribera and Commissioner Hoekstra presenting the EU 2040 climate target. Source: EC - Audiovisual Service)