The Council and Parliament agreed a 90% target for 2040 and a delay of ETS2 to 2028

The Council of the EU and the European Parliament agreed on 10 December 2025 an amendment to EU climate law. The agreement introduces a binding target of reducing greenhouse gas emissions by 90% by 2040 compared with 1990, postpones the start of the ETS2 emissions trading system for buildings and road transport by a year, to 2028, and allows international carbon credits to count towards the target. This ends the stage of political negotiations in a process begun in February 2024 with the Commission's communication and the legislative proposal of July 2025; the agreement still requires formal adoption.

Key elements

• The 90% target – complements existing commitments: at least a 55% reduction by 2030 and climate neutrality by 2050.
• International credits – part of the reduction may be achieved by financing action outside the EU. Experts quoted in the media judged that this dilutes the target.
• Review clause – at Poland's request: if the EU economy is threatened with weakening or energy is very expensive, the Commission may propose an adjustment of the target.
• ETS2 – start moved from 2027 to 2028; the directive is to undergo a deeper revision.

During the talks the target was supported by 21 states representing 82% of the EU population. Poland, Hungary, Slovakia and Czechia voted against, and Belgium and Bulgaria abstained. The Polish government presented the postponement of ETS2 as a success (“knocking the teeth out” of the system), although some commentators judged it a partial victory.

Significance for biogas and biomethane

The 2040 target does not settle national support systems, but it shapes the environment: the price of allowances in the ETS and ETS2, the direction of industrial policy and the position of renewable fuels. The delay of ETS2 means that the price signal for heating and transport fuels will appear later, which weakens biomethane's advantage over natural gas in the short term. On the other hand, the bioenergy sector expects that subsequent legal acts (e.g. the ETS review and sectoral regulations) will take into account the role of renewable gases and of methane emissions from agriculture and waste.

The European Biogas Association had demanded a dedicated target for biogases from the outset, which was not reflected in the text of the agreement.

Significance for the industry in Poland

In Poland ETS2 was one of the most controversial elements of climate policy, because it could raise the costs of heating with gas and of transport fuels. The one-year postponement gives time to prepare protective mechanisms and to develop local sources such as biomethane and heat from biogas. For biomethane investors it means that the financial model should not assume a rapid rise in gas prices for heating because of ETS2.

What to watch

The agreement still requires formal adoption of the act by the Council and Parliament and its publication. The key points will be the details on international credits, the timetable for the ETS2 review and the guidelines on agriculture. The sources do not give a separate date for the votes in the Council and Parliament.