Franco-German Climate Working Group discusses pathways to climate neutrality

The close collaboration across sectors responds to the mandate given by President Macron and Chancellor Merkel in June 2018 at Meseberg.

The group exchanged on measures taken in each country to achieve climate neutrality, e.g. in the field of energy, transport, building and agriculture. They share the view that carbon pricing is a crucial instrument in this context, especially for those sectors not covered by the Emission Trading System (ETS). They will look into proposals that preserve a social balance and take into account effects on competitiveness. They will also develop common elements for carbon pricing in the aviation sector.

The members of the Meseberg Climate Working Group also discussed how to achieve carbon neutrality by 2050 in the context of the EU long-term climate strategy. They will also work towards a strong EU message at the UN Climate Summit in September, especially regarding mitigation efforts and mobilizing significant financial means to support partner countries.

In order to implement this carbon neutrality objective at the EU level, France and Germany also convened to promote it as a priority within the EU negotiations on the Multiannual Finan-cial Framework 2021-2027. They will jointly explore approaches to fully mainstream climate into the EIB portfolio based on French proposals. On sustainable finance, France and Germa-ny will proceed with close collaboration on EU legislation, striving for a framework that fosters the transition towards a climate neutral and sustainable economy. They also agreed on a regular exchange of their national advisory bodies on sustainable finance.

Jochen Flasbarth said: “It is a good moment in time to meet. The need and demand for ur-gent action on climate change is high. We are setting the course for climate neutrality in both of our countries. In Germany the Climate Cabinet met this morning for that very purpose. At the same time, many strategic decisions will be taken at EU level over the next months. It is important to discuss these with our close partners and friends. And we are determined to sha-pe them together.”

Brune Poirson said: “We came to the conclusion today that carbon neutrality is our common goal for the next decades and that we will work together to implement concrete ways to achieve it sector by sector. Carbon pricing is one of it. Rules to reorient capital flows towards green projects and mainsteaming European Investment Bank's investments towards sustaina-ble projects are another. We also agreed on the common priorities on climate that we want to push for in the agenda of the future European Commission with a view to have them adopted at the Franco-German Council of Ministers in autumn."