This briefing provides an assessment of the European Commission proposal ‘The EU budget powering the recovery plan for Europe’ and analyses a number of new and revised pieces of legislation for the Multiannual Financial Framework 2021-27 and Next Generation EU 2021-24.
Despite some positive elements, the proposal falls short of making climate ambition and the phase out of all fossil fuels the “new normal”.
The EU must allocate recovery resources towards modernising most existing infrastructure in energy, but also to greening urban development, buildings, transport, and agriculture; and supporting locally-led community initiatives. This is important to pave the way for an EU agreement by the end of this year on a substantially increased 2030 climate target of at least 65% emission cuts, to achieve climate neutrality by 2040, and to ensure recovery from the crisis is sustainable, supports green job creation, the just transition, and future-proofs the EU economy and livelihoods.
