The findings of this report “Trends and projections in Europe 2025” published by the European Environment Agency (EEA) show that the EU has reduced its GHG emissions by more than one-third compared with 1990, while its economy has continued to grow substantially. Renewable energy now supplies a quarter of gross final energy consumption and almost half of electricity, while final energy demand has declined. These developments demonstrate that climate action is delivering and that structural change towards a clean transition is well underway. However, the reality is increasingly sobering as climate impacts intensify. The year 2024 was the warmest on record in Europe, with heatwaves, droughts, wildfires and floods affecting people’s lives, ecosystems and economies. These events underscore both the urgency of sustained action and the rising costs of inaction and delay. The pace of Europe’s GHG emission reductions has accelerated over recent decades, with the average annual reduction over the past five years being significantly higher than in earlier periods. Maintaining this pace is essential to achieve the EU’s 2030 climate target and to get on track towards climate neutrality by 2050.
The energy supply sector has halved its emissions since 2005, driven by the expansion of renewable energy and improvements in energy efficiency. The industrial sector has achieved steady emission reductions, mainly through process improvements and enhanced energy efficiency, demonstrating that competitiveness and climate can advance together. However, the deployment of zero carbon technologies remains essential for deep decarbonisation. In buildings, emissions have declined by more than one-third since 2005, reflecting both the improved energy performance of the existing building stock and stricter energy efficiency standards for new constructions. Transport remains the most challenging sector. Although the GHG intensity of new vehicles has declined, persistent high transport demand continues to offset efficiency gains and hinder decarbonisation.
The EU’s energy and industrial transitions, as envisioned under the new Clean Industrial Deal, are not only a climate imperative but also a strategic necessity. Phasing out fossil fuels reduces dependence on costly imports, enhances resilience to geopolitical tensions and lowers energy costs for households and industry. At the same time, scaling up clean technologies is essential to Europe’s long-term industrial competitiveness. The coming years will be critical, presenting a unique opportunity to align climate neutrality with economic and security objectives, particularly amid continued geopolitical instability and elevated energy prices. The period leading up to 2030 must sustain the accelerated deployment of renewable energy efficiency improvements, electrification and clean technology innovation, while also reversing the decline in carbon removals.
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