1.2 Fit for 55

On July 14, 2021, the European Commission (EC) launched a package of 13 legislative proposals aiming to reduce the bloc’s CO2e emissions by 55% in 2030 (up from 40%) compared to 1990 levels. Included are several proposals that would affect the heating and cooling industry.10

The package, dubbed “Fit for 55,” became part of the European Green Deal, first published at the end of 2019. The increased commitment improves the EU’s contribution to the Paris Agreement and will also help the bloc reach its 2050 Climate Neutrality target.

Some of the HVAC&R-related proposals in this package include:

• Revision of the Energy Efficiency Directive: In 2012, the EU set a target to increase energy efficiency by at least 32.5% by 2030, with an interim target of 20% by 2020. These targets are currently not binding, but the new proposal would make them so. • Carbon Border Adjustment Mechanism: A new proposal with the aim to restrict environmental dumping, or carbon leakage, by companies relocating production facilities outside the bloc in search of lower production costs.

• Revision of the Renewable Energy Directive: A proposal that would introduce higher minimum levels of renewable energy to be used in buildings. Currently renewables are about 20%; that will have to increase to around 38–40%. The revisions also look at the definition of which energy sources would qualify as renewable.

• Reform of the EU Emissions Trading System: The

EC is planning to adjust the total cap to meet the 55% reduction targets, whereas the old cap was set for 40% reduction targets.

Any legislation aimed at reducing emissions is set to benefit the natural refrigerant sector, which offers drastically reduced direct emissions as compared to many fluorinated gases currently in use.

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