Friday 11 June 2021 10:47 am

EU energy ministers to redefine rules for fossil fuel project funding

Energy ministers from the European Union have gathered in Luxembourg today to discuss EU support for natural gas projects, even though the European Commission has urged fossil fuel funding to end to reach net zero.

The EU’s “TEN-E” rules can label energy ventures as Projects of Common Interest (PCI), which offers them certain EU funds and fast-tracked permits.

The rules are currently being redefined by the EU to comply with its climate change targets, aligned with the Paris Agreement.

In December, the European Commission suggested a new version of the project rules which would exclude solely oil and gas infrastructure, in its bid for net zero emissions by 2050.

EU energy commissioner Kadri Simson said earlier today that she hoped the rules would cut support for carbon-heavy projects that focus on fossil fuels.

The final rules will be negotiated with the European Parliament and has been regarded as a “litmus test” of the EU’s pledge to its climate-conscious commitments.