Brussels:The European Commission has released the 2026 EU Climate Action Progress Report and Carbon Market Report, revealing a continued decline in EU greenhouse gas emissions. The reports indicate that clean technologies are expanding and that there is increased revenue from the EU Emissions Trading System (ETS), which can be utilized by EU Member States for decarbonization investments. These developments are in line with the EU's broader goals of enhancing competitiveness, energy security, and climate resilience.

According to Cyprus News Agency, the Climate Action Progress Report shows a 1.6% decrease in EU net greenhouse gas emissions in 2025 compared to 2024, based on provisional data. Emissions within the EU Emissions Trading System fell by approximately 2%, while those covered by the Effort Sharing Regulation remained relatively stable. Additionally, there was an observed improvement in the EU land carbon sink. From 1990 to the present, emissions have decreased by 39%, even as the EU economy grew by 74%, further decoupling economic growth from emissions.

The Carbon Market Report highlights that EU ETS revenues increased to £43.2 billion in 2025, marking an 11% rise from 2024. Commissioner for Climate, Net-Zero, and Clean Growth, Wopke Hoekstra, emphasized the EU's ongoing commitment to reducing emissions and expanding clean technology usage, while pointing out the need for accelerated implementation and investment in clean energy solutions to meet targets and enhance the economy and industry.