InvestEU fund: sounds good, but devil will be in the detail
Posted on June, 06 2018
There is a 50% climate and environment spending target
Today the European Commission proposed a new fund aimed at mobilising €650 billion to finance ‘sustainable infrastructure’ such as wind farms and the energy renovation of buildings. The ‘InvestEU’ fund, which will run from from 2021 to 2027, is the continuation of the Juncker Plan’s European Fund for Strategic Investments. It will also focus on R&D, social issues and SMEs.Sébastien Godinot, Economist at WWF European Policy Office said:
“The Juncker Investment Plan had a dubious track record, with billions spent on fossil fuels and high carbon transport. For InvestEU the European Commission proposes a 50% climate and environment target and ‘sustainability proofing’, which sounds excellent, but this will apply only to the infrastructure funding , and there is little detail on how sustainability will be ensured. We would like the Commission to clarify that InvestEU will not support fossil fuels.”
The InvestEU fund is a ‘guarantee’ fund, meaning it will be used to guarantee the loans that finance the selected projects.
It is now up to the European Parliament and EU Council to amend the Commission’s legislative proposal. The Commission would like to finalise the legislation before the Parliament’s election in Spring 2019.
Contact:
Sébastien Godinot, Economist, WWF European Policy Office
sgodinot@wwf.eu +32 489 461 314
Sarah Azau, Senior Communications Officer, WWF European Policy Office
sazau@wwf.eu +32 473 573 137
Tallship and wind farm
© WWF/Ted Holt
Tallship and wind farm
© WWF/Ted Holt