The European Steel Association (EUROFER) has stated that the European Commission is expected to put forward its Fit for 55 package of climate and energy policy measures on July 14. The Fit for 55 package is one of the most significant and largest groups of measures the EU has ever released in one go, completely revising the basis of EU climate and energy policy in an attempt to bring it into line with the EU’s political ambition of reducing emissions by 55 percent compared to 1990 levels.
The Fit for 55 package, which is a part of Green Deal, includes the revision of the EU Emissions Trading System, a Carbon Border Adjustment Mechanism, revision of the Energy Tax Directive, amendments to the Renewable Energy and Energy Efficiency Directives to implement the ambition of the new 2030 climate target, as well as others on reduction of methane emissions from the power sector, emissions from land use and rules on passenger cars and alternative fuels.
“For Fit for 55 - and the associated Green Deal - to become successful growth strategies, they must provide three things: effective carbon leakage protection, affordable low carbon energy, and firm support for the development and roll-out of breakthrough technologies,” Axel Eggert, director general of EUROFER, said.
The European steel industry has long-established plans to reduce emissions and has over a hundred highly-advanced low-carbon projects spread across Europe. However, according to EUROFER, the success of these projects is contingent on being able to direct the appropriate resources and find markets for the resulting ‘green’ steels, which will come at a higher cost than conventional steel.