On the proposal for a regulation of the European Parliament and of the Council on establishing a framework of measures for strengthening Europe’s net-zero technology products manufacturing ecosystem (Net Zero Industry Act)
ITRE-PR-749154
Committee on Industry, Research and Energy · Rapporteur: Christian Ehler
Written by a language model from the full text only; every figure comes from the text. The paragraph links open the paragraph a statement rests on — check the text itself before relying on it.
The draft report amends the Commission's proposal for a Net Zero Industry Act regulation. It redefines net-zero technologies, sets a 25% global demand benchmark, introduces Net-Zero Industry Valleys, and adds provisions on innovation and competitiveness.¶¶¶ It also addresses CO2 storage and transport, permitting deadlines, and financing, including using 25% of national ETS revenues.¶¶¶
Committee position. The rapporteur proposes substantial amendments to the Commission proposal, including redefining net-zero technologies, setting a global demand benchmark, introducing Net-Zero Industry Valleys, and adding innovation and competitiveness provisions.¶¶¶
Key points
- The regulation aims to support climate neutrality and industrial competitiveness, contributing to quality jobs and secure energy supply.¶
- By 2030, manufacturing capacity should reach at least 25% of global demand for net-zero technologies, measured by value.¶¶
- Net-zero technologies are defined as any technology contributing to climate change mitigation under the Taxonomy Regulation, with components, materials, and machinery included.¶¶¶
- The concept of Net-Zero Strategic Projects is deleted; instead, Member States designate Net-Zero Industry Valleys with plans and environmental assessments.¶¶¶
- Permit-granting for net-zero manufacturing projects is capped at 9 months for under 1 GW and 12 months for over 1 GW, with tacit approval if authorities fail to reply.¶¶¶
- Net-zero technology manufacturing projects are granted priority status and considered in the public interest, overriding certain environmental concerns if conditions are met.¶
- CO2 injection capacity of at least 50 million tonnes annually by 2030 is required, with storage sites operating at least five years and respecting third-party access.¶¶
- The Commission must propose requirements for CO2 injection capacity for 2035, 2040, and 2050 by 31 December 2026, and report every two years on progress.¶¶
- Member States and the Union must invest in CO2 transport infrastructure, including cross-border, and draw up a common financing strategy within six months.¶
- Public procurement and consumer incentive schemes must consider sustainability and resilience contributions of net-zero products.¶¶
- The Strategic Energy Technology Plan is established to coordinate research and innovation, with a SET Plan Board including industry and research actors.¶¶
- Regulatory burden on industry must be reduced by 20% by 2030, with 40% reductions for new product placement and SME administrative burden.¶
Who is affected
- Manufacturers of net-zero technologies and their supply chains, who benefit from streamlined permitting and priority status.¶
- Oil and gas producers, who must contribute to CO2 injection targets and may face sanctions for non-compliance.¶¶
- Member States, which must designate Net-Zero Industry Valleys and implement permitting and CO2 storage measures.¶¶
- Small and medium enterprises, which gain from reduced administrative burden and an SME Envoy.¶¶
Figures and deadlines
- 25% of global demand for net-zero technologies by 2030¶¶
- 50 million tonnes of annual CO2 injection capacity by 2030¶
- 9 months for permits under 1 GW, 12 months for over 1 GW¶¶
- 31 December 2026 for proposing future CO2 injection requirements¶
- 20% reduction in regulatory burden, 40% for new products and SMEs by 2030¶
- 25% of national ETS revenues for Act objectives¶
Legal basis: Articles 114 and 173 of the Treaty on the Functioning of the European Union¶