Four key issues the EU’s recovery plan must address to tackle the economic and climate crisis

(EurActiv, 18 Jun 2020) The signals from climate science could not be clearer: we no longer have the luxury for any delay in transforming our economies towards carbon neutrality, argue researchers at the Stockholm Environment Institute (SEI).

  • Aaron Maltais is Program Director of the Stockholm Sustainable Finance Centre and Senior Research Fellow at the Stockholm Environment Institute. 
  • Corrado Topi is Senior Research Fellow at the Stockholm Environment Institute
  • Gregor Vulturius is Head of Engagement and Operations of the Stockholm Sustainable Finance Centre and Research Fellow at the Stockholm Environment Institute

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This week, EU leaders meet to discuss the European Commission’s plan to spend a whopping €750 billion to tackle the economic fallout from the COVID-19 crisis.

With its Next Generation EU plan, the Commission intends to support member states in the long-term economic recovery and restructuring. A total of €560 billion is earmarked for the European Recovery and Resilience Facility to support investments in green and digital transitions. A further €40 billion will go to the Just Transition Fund established as part of the Green Deal. In total, 25% of the proposed funding will be set aside for climate action.

The Commission’s announcement that its recovery plan will have green strings attached has been met with resistance – with some arguing that shoehorning in the Green Deal would jeopardise the chances of a quick return to economic growth.

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EurActiv, 18 Jun 2020: Four key issues the EU’s recovery plan must address to tackle the economic and climate crisis