EU Called to Reject Weakening of Climate Targets

Today’s ESG Updates

• EU Rejects Weaker Climate Target: EU climate advisers oppose using carbon credits, urging stronger 2040 emission cuts to boost clean tech.
• California Targets CEQA Reform: Lawmakers push to ease environmental reviews for housing, drawing criticism from labor and green groups.
• Bolivia Launches Hydrogen Plan: Bolivia unveils national green hydrogen strategy to cut fossil fuel use and drive clean energy growth.
• SAF Output to Double in 2025: IATA says sustainable jet fuel will reach 2M tonnes, but still only 0.7% of demand, adding $4.4B in costs.

EU scientific advisors warn not to give into climate pressure in regulatory re-shuffling

The EU received a warning from the European Scientific Advisory Board on Climate Change (ESABCC) as it considers weakening its 2040 emission goals. Increasing political pressure from the likes of France and Germany has led the EU to consider the allowance of international carbon credits to meet emissions targets. Prof. Jette Bredahl Jacobsen, vice-Chair of the Advisory Board, commented, “Delaying action or relying on international carbon credits would risk missing vital opportunities to modernise the EU’s economy, create quality jobs, and reinforce Europe’s position in clean tech leadership.” ESABCC calls for reinforcement of policies, ESG tools, and governance to avoid falling behind the competition. 

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Further reading: Staying the course on climate action essential to EU security and competitiveness

Housing crisis threatens change of landmark California environmental law

One of California’s oldest and most crucial environmental laws (CEQA) is on the verge of change as the government aims to tackle California’s housing crisis. Assembly Bill 609 and Senate Bill 607 propose amendments to the California Environmental Quality Act (CEQA), fast-tracking urban housing and reducing environmental reviews for new housing projects. These bills have stirred protests from communities and environmentalists as they omit traditional labor and low-income housing requirements, undermining local environmental protections. The clash represents a cross-over between the housing crisis and environmental protection, with governments needing to balance both rising populations and rising environmental legislation. 

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Further reading: After half a century, California legislators on the verge of overhauling a landmark environmental law

Bolivia’s green hydrogen strategy: the rise of hydrogen prioritisation 

Bolivia is banking on hydrogen as the future of sustainable energy, launching green hydrogen pilot projects across the country. As a large importer and user of fossil fuels, Bolivia’s goal is to increase independence and future wealth through more sustainable projects. In collaboration with the Inter-American Development Bank, Bolivia has created a Roadmap and National Strategy for Green and Low-Emissions Hydrogen. Green hydrogen via solar and wind energy is proving to be central to Bolivia’s decarbonisation efforts as it looks to establish itself as a leading player in the hydrogen energy market. 

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Further Reading: Bolivia Advances Toward Sustainable Green Hydrogen Production

Sustainable aviation fuel production to double in 2025, says IATA

The International Air Transport Association (IATA) predicts SAF production to reach 2 million tonnes in 2025. Although a positive direction for the aviation industry, the rising production in SAF will not add to the 0.7% of total airline fuel consumption the fuel contributes. The production will further add $4.4 billion to the global aviation fuel bill due to rising costs. IATA warns that the slow increase in SAF investment is not enough to meet 2050 net-zero emissions. Issues of supply and demand plague the aviation industry as Airbus and Boeing struggle to bring to market fuel-efficient aircraft at a rate that is fast enough to meet demands. To accelerate sustainable solution adoption, companies will require the use of sustainability tools as industries like aviation move towards net-zero adoption. 

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Further reading: IATA expects sustainable aviation fuel production to double in 2025

Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com — Cover Photo Credit: KULJEET PUNIA