EU consults on CO2 markets and infrastructure

source: EU

The European Commission has identified the need to scale up and invest in clean energy infrastructure and technologies, such as CO₂ infrastructure and storage, as it strives for climate neutrality by 2050.

To that end, the Commission has today launched an open public consultation on upcoming legislation and impact assessment on CO₂ markets and infrastructure in the EU.

The consultation is open until 9 January 2026. The feedback received will inform the Commission ahead of planned adoption in the third quarter of 2026.

Among other things, the consultation builds on the Communication on the 2040 Climate Target and its impact assessment, which recognise the role of carbon capture utilisation and storage (CCUS) in reducing harmful emissions from hard-to-abate sectors.

Furthermore, the Industrial Carbon Management Strategy recognises the need for a legislative initiative with a view to develop competitive markets and transportation infrastructure for CO₂.

The EU is committed to achieving climate neutrality by 2050 to limit global warming to 1.5°C with ambitious and pragmatic intermediary targets.

But achieving these targets and weaning off the EU’s reliance on fossil fuels requires decisive climate action across all sectors of the economy.

The Industrial carbon management strategy, through CCUS, has an important role to play in mitigating greenhouse gas emissions.

“The EU has the opportunity to create an economic edge in industrial carbon management technologies, opening up global business opportunities,” according to a Commission statement.

Separately, the German government has started consulting industry on the rules of its second carbon contracts for difference (CCFD) scheme, to support industries switching to lower carbon operations with hydrogen, CCUS, biomass and electricity.

source: gasworld