Overview
- Environment ministers approved a council position after marathon talks that permits up to five percentage points of the target to be met with credits from non‑EU countries.
- The compromise pushes the start of emissions trading for fuels in road transport and buildings back one year to 2028 over consumer cost concerns.
- The package adds biennial European Commission reviews with options to propose new laws and to adjust the 2040 trajectory if carbon sinks underperform.
- Critics and experts warn the credit allowance and review clauses could weaken domestic cuts and risk double counting, effectively lowering real reductions.
- The deal arrives as leaders convene in Belém, where Brazil’s president urges wealthy nations to pay climate finance commitments and promotes a $125 billion Tropical Forests Forever Facility, with the U.S. not represented at high political level and global plans still tracking roughly 2.8°C.