EU GHG emissions fall despite rising GDP

In the first quarter of 2023, greenhouse gas emissions in the European Union (EU) totaled 941 million mtCO2e, down almost 3% on the same period last year, according to Eurostat. This decrease coincides with a 1.2% increase in EU GDP over the same period, as reported by the bloc's statistical agency.

Share:

EU greenhouse gas emissions totaled 941 million mtCO2e in the first quarter of 2023. Down almost 3% on the same quarter of the previous year, Eurostat reported on August 16.

Greenhouse Gas Emissions in Europe: First Quarter 2023 in view

“This decline took place simultaneously with a 1.2% increase in EU GDP in the first quarter of 2023, compared with the same quarter of 2022,” the bloc’s statistical agency said in a statement.

The economic sectors responsible for most greenhouse gas emissions during this period were: Households (24%)Manufacturing (20%), Electricity and gas supply (19%), Agriculture (13%) and Transportation and storage (10%).

Emissions in the first quarter of 2023 fell in almost all EU countries compared with the same quarter of 2022. Except in Ireland, Latvia, Slovakia, Denmark, Sweden and Finland. The biggest reductions in GHG emissions were seen in Bulgaria, Estonia and Slovenia. Emissions in the fourth quarter of 2022 were 938 million mtC02e. This represents a decline of 4% compared with the fourth quarter of 2021.

Towards a Climate Neutral Europe: EU Emission Reduction Targets Explored

The European Council has set a target for the EU to reduce its greenhouse gas emissions by at least 55% by 2030, compared with 1990 levels. And become climate neutral by 2050. The fall in emissions in the first quarter took place against a backdrop of steadily rising European carbon prices under the EU Emissions Trading Scheme.

EUAs for the December 2023 contract averaged 90.13 euros/mtCO2e in Q1 2023, compared with 83.09 euros/mtCO2 in Q1 2022, according to Platts data. The EUA reached a record level of 100.23 euros/mtCO2e on February 23, according to Platts data. Demand for EEE was also strong. The European Council recently agreed to reform the ETS. Increase carbon reduction ambitions for 2030, detail the abolition of free quotas. Confirm the inclusion of maritime transport and a new ETS II for buildings and road transport. Carbon pricing schemes, such as the EU ETS, are seen as a cost-effective way of reducing greenhouse gas emissions.

The cap-and-trade system limits the amount of emissions covered by different sectors. It accounts for around 45% of the bloc’s total greenhouse gas emissions. Companies can buy and sell carbon permits known as EU allowances. Which can be traded for each tonne of CO2 they emit.

Rapid growth in solar and wind capacities will lead to a significant rise in electricity curtailment in Brazil, as existing transmission infrastructure remains inadequate to handle this massive influx of energy, according to a recent study by consulting firm Wood Mackenzie.
In April 2025, fossil fuels represented 49.5% of South Korea's electricity mix, dropping below the symbolic threshold of 50% for the first time, primarily due to a historic decline in coal-generated electricity production.
The US Senate Finance Committee modifies the '45Z' tax credit to standardize the tax treatment of renewable fuels, thereby encouraging advanced biofuel production starting October 2025.
While advanced economies maintain global energy leadership, China and the United States have significantly progressed in the security and sustainability of their energy systems, according to the World Economic Forum's annual report.
On the sidelines of the US–Africa summit in Luanda, Algiers and Luanda consolidate their energy collaboration to better exploit their oil, gas, and mining potential, targeting a common strategy in regional and international markets.
The UK's Climate Change Committee is urging the government to quickly reduce electricity costs to facilitate the adoption of heat pumps and electric vehicles, judged too slow to achieve the set climate targets.
The European Commission will extend until the end of 2030 an expanded state-aid framework, allowing capitals to fund low-carbon technologies and nuclear power to preserve competitiveness against China and the United States.
Japan's grid operator forecasts an energy shortfall of up to 89 GW by 2050 due to rising demand from semiconductor manufacturing, electric vehicles, and artificial intelligence technologies.
Energy-intensive European industries will be eligible for temporary state aid to mitigate high electricity prices, according to a new regulatory framework proposed by the European Commission under the "Clean Industrial Deal."
Mauritius seeks international investors to swiftly build a floating power plant of around 100 MW, aiming to secure the national energy supply by January 2026 and address current production shortfalls.
Madrid announces immediate energy storage measures while Lisbon secures its electrical grid, responding to the historic outage that affected the entire Iberian Peninsula in late April.
Indonesia has unveiled its new national energy plan, projecting an increase of 69.5 GW in electricity capacity over ten years, largely funded by independent producers, to address rapidly rising domestic demand.
French Minister Agnès Pannier-Runacher condemns the parliamentary moratorium on new renewable energy installations, warning of the potential loss of 150,000 industrial jobs and increased energy dependence on foreign countries.
The European battery regulation, fully effective from August 18, significantly alters industrial requirements related to electric cars and bicycles, imposing strict rules on recycling, supply chains, and transparency for companies.
The European Parliament calls on the Commission to strengthen energy infrastructure and accelerate the implementation of the Clean Industrial Deal to enhance the continent's energy flexibility and security amid increased market volatility.
The European Commission unveils an ambitious plan to modernize electricity grids and introduces the Clean Industrial Deal, mobilizing hundreds of billions of euros to strengthen the continent's industrial and energy autonomy.
In the United States, regulated electric grid operators hold a decisive advantage in connecting new data centres to the grid, now representing 134 GW of projects, according to a Wood Mackenzie report published on June 19.
The French National Assembly approves a specific target of 200 TWh renewable electricity production by 2030 within a legislative text extensively debated about the future national energy mix.
In 2024, US CO₂ emissions remain stable at 5.1bn tonnes, as the Trump administration prepares hydrocarbon-friendly energy policies, raising questions about the future evolution of the American market.
The early publication of France's energy decree triggers strong parliamentary reactions, as the government aims to rapidly secure investments in nuclear and other energy sectors.