Europe unveils carbon labels, PPA investment and hydrogen plans

  • Gas
  • February 26, 2025

The Industrial Decarbonisation Accelerator Act will develop a voluntary label on the carbon intensity of industrial products, the European Commission confirmed today.

The announcement, coinciding with the release of the comprehensive and Affordable Energy Action Plan, aims to avoid duplication and will be based on a simple methodology with ETS data and CBAM methodology, and a detailed CBAM review report will be issued in in the second half of the year. In the interests of speed, the Commission will start with steel in 2025.

A label for cement will be created under the Construction Products Regulation and a standardisation request will be lodged shortly.

Such labels will allow industrial producers to distinguish the carbon intensity of their industrial production and to benefit from targeted incentives (eg clean steel). They could also be used by Member States to design tax incentives and other support schemes in line with State aid rules.

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