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Very fast and exciting developments are underway for the deployment of renewable energy and Carbon Capture and Utilisation (CCU) fuels in Europe.

Last Thursday, the EU institutions finalised the trilogue around the revision of the Renewable Energy Directive (REDIII). The final text includes an ambitious target of 42.5% of renewable energy by 2030, a huge step forward for the scale-up of renewable energy. In addition, the directive also sets a mandatory 14.5% reduction of GHG emissions in EU transport, another major milestone.

Although the final deal for CCU fuels in transport fell short of the original proposal of a 2.6% target for renewable fuels of non-biological origin (RFNBOs), the final deal sets a joint target of 5.5% combining advanced biofuels and RFNBOs, with a 1% sub-target for RFNBOs. This is still a significant advancement for the ramp-up of CCU fuels in modes of transport such as aviation, maritime, and heavy-duty vehicles.

Moreover, the final deal sends an unprecedented signal on the use of green hydrogen and CCU fuels in the industry. The final deal sets a target of 42% of hydrogen to be RFNBOs by 2030 and 60% by 2035, meaning there is now a clear framework for investing in defossilisation efforts.

The final text has yet to be formally adopted by the European Parliament and the Council of the European Union.

The week before, EU institutions also adopted the proposal on FuelEU Maritime, which seeks to gradually defossilise the maritime sector by promoting sustainable fuels and technologies.

The final deal outlines a phased approach to gradually increase the use of sustainable fuels and technologies, along with incentives for investment in the maritime sector.

More specifically

🟢 GHG reduction targets in the energy they use (compared to 2020 levels) by 2% as of 2025, 6% as of 2030, 14,5% as of 2035, 31% as of 2040, 62% as of 2045 and 80% as of 2050

🟢 The text plans to set a 2% renewable fuels usage target as of 2034 if the Commission reports that in 2031 RFNBO amount to less than 1% in fuel mix

Read about the REDIII act here.

Read about FuelEU Maritime here.