Business and Investors call on the EU to set emissions reduction target of at least 90% by 2040

Over 100 businesses and investors signed a joint letter calling on the EU to set a greenhouse emissions reduction target of at least 90% by 2040.

In an open letter coordinated by CLG Europe, CEOs, leading businesses, investors, networks and SMEs across the EU, call on the EU to set a greenhouse gas emissions reduction target of at least 90% by 2040.

This science-based target reflects the urgency and benefits of near-term action. Businesses and investors stress that a robust target will bring economic opportunities and competitiveness benefits while increasing energy security for citizens and businesses. They argue that the target, and climate more broadly, should be considered as a central element of the EU’s overall strategy to achieve these objectives.

Ursula Woodburn, Director of Corporate Leaders Group Europe, said: "There is no doubt, climate change is multiplying the risks we face as ecosystems, economic and people. So today - businesses and investors are demanding bold and decisive action. A target of at least 90% emissions cuts by 2040 will prevent future shocks and finally deliver the crucial energy transition. It will bring economic transformation and increase the EU's competitiveness”.

According to the signatories, the EU should:

• Integrate the target into a comprehensive industrial strategy, guided by a ‘competitive sustainability’ approach, allowing the EU to lead the global race of development of sustainable industrial ecosystems and industries.
• Place the target at the centre of the EU’s overall strategy to enhance energy security by accelerating the clean energy transition and energy efficiency, and phasing out fossil fuels.
• Build on the legacy of the Green Deal and effective implementation of the Fit for 55 Package.
• Harness the opportunities presented by the circular economy and eco-design to tackle emissions stemming from the production of materials.
• Create a clear signal to businesses and national governments of the importance in investing in nature-based solutions and the transition to a nature positive economy.
• Set a robust target that will allow the EU to play a leading role to phase out fossil fuels, triple the rate of deployment of renewables and double energy efficiency rates globally.

The letter states that businesses and investors stand ready to play a key role in translating climate targets into concrete action, working hand in hand with policymakers.

Lars Petersson, CEO of VELUX, said: "To be ready for 2050, we need a 2040 EU emission reduction target of at least 90%. A significant part of this reduction needs to come from the building sector, which currently accounts for over a third of GHG emissions. At VELUX, by 2030, we aim to achieve a 100% reduction of operational emissions (scope 1 and 2) and reduce our carbon emissions from our value chain by 50% (scope 3). To get there, we collaborate closely with our whole value chain to create low carbon, energy efficient and healthy buildings.”

 

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