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EU delays decision on 2040 climate target amid member state divisions

The European Union has postponed a crucial decision on its 2040 climate target, with diplomats confirming that ministers will not reach an agreement at next week’s Environment Council meeting. Instead, the matter will now be taken up by EU leaders at a summit in October.

The review of the EU's Climate Law, which commits the bloc to climate neutrality by 2050, requires the adoption of an interim 2040 emissions reduction goal. In July, the European Commission proposed a 90% cut in greenhouse gas emissions by 2040 compared with 1990 levels — a plan intended to build on the existing 2030 target of at least a 55% reduction.

The Danish presidency of the EU Council had pushed for ministers to vote on the target on 18 September, but several governments argued they needed more time. "The text came very late, and the timing is not ideal geopolitically," one EU diplomat said, pointing to concerns over balancing climate ambition with economic competitiveness.

Some member states, including Slovakia and Hungary, have rejected the Commission's proposal outright, warning it would devastate domestic industries. Slovakia's environment minister Tomas Taraba dismissed the target as "ideological" and proof that "Brussels bureaucrats have lost touch with reality." France has also argued that the decision should rest with EU heads of state rather than ministers.

At the heart of the negotiations is whether international carbon credits — tradable certificates that allow companies or countries to offset emissions — should play a role in achieving the 2040 target. Supporters see them as a flexible tool, while critics warn they could undermine the EU's Emissions Trading System and divert billions of euros abroad instead of funding Europe's own transition.

Lena Schilling, a Green MEP steering the file in the European Parliament, said including carbon credits would be a "betrayal of Europe's youth" and "irresponsible towards taxpayers." Climate groups echoed the criticism, with Sven Harmeling of Climate Action Network (CAN) Europe cautioning that heavy reliance on credits would weaken the EU's contribution to the Paris Agreement and raise the long-term cost of decarbonisation.

Diplomats insist that October's summit will provide a "decisive" discussion, though some acknowledge the possibility of further delays. The outcome will shape the EU's updated climate commitments due at COP30 in Belém, Brazil, where governments are expected to present their long-term strategies.