Brussels (TDI): The European Commission unveiled the Clean Industrial Deal on Wednesday, a plan to become climate neutral by 2050.
The Clean Industrial Deal is the European Union’s €100B business plan to enhance decarbonization and increase competitiveness for European Industry.
This initiative will boost innovation and strengthen resilience in the European market.
The two focal points of the plan are energy-intensive industries and the clean technological sector.
The Clean Industrial Deal says energy-intensive industries like steel, metals, and chemicals must be decarbonized and shifted to clean energy.
Clean energy will eventually lower energy costs and bring fairness to global competition and complicated regulations.
Industrial transformation to the clean tech sector is necessary due to climate change.
Moreover, it will accelerate competitiveness and decarbonization in the EU community.
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Circularity is an important element of the Deal, which targets reducing waste and promoting recycling.
It enhances reuse and increases sustainable production.
It is based on maximizing Europe’s limited resources and promoting decreasing Europe’s overdependence on third countries for raw materials.
This ensures the competitiveness and resilience of the EU market.
Affordable energy is another key component of the Clean Industrial Deal.
It means conversion and transfer to clean energy.
It includes enhancing electrification and efficient energy use, encouraging a decrease in imported fossil fuel dependence, and articulated an interconnected internal energy market in Europe.
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Moreover, the plan supports EU-made products with €100B under the Clean Industrial Deal State Aid Framework.
Innovation Fund, Industrial Decarbonization Bank, and Invest EU are components of this financial support.
The Industrial Decarbonization Act is also part of the deal, which will increase demand for clean and “made in Europe” products.
Critical raw materials are key to any industry, and Europe wants to avoid import tariffs and dependence on unreliable suppliers.
Hence, the European Commission will introduce the EU Critical Raw Material Centre, where EU companies jointly purchase raw materials for interested companies and offer better prices and conditions.
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In addition, the EU will launch Clean Trade and Investment Partnerships to expand supply chains and make mutually favourable deals.
As part of the deal, the EU will develop a Union of Skills.
Workers will develop new skills, including those related to clean technologies, digitalization, and entrepreneurship, to ensure a smooth transition to a low-carbon economy.
The Clean Industrial Deal will create a competitive economy by cutting the culture of red tape, promoting quality jobs, and better-coordinating policies at the EU and national levels.
The EU’s clean transition will clean the climate and the business environment by cutting fossil import bills, decreasing the costs of critical raw materials, creating more job opportunities, boosting sustainable energy, and reduce the exploitation of single markets.
It will strengthen local markets and weaken the outside dependency on EU countries.
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