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The GEC 2019 briefing reviews the global transition to green economies, noting that while renewable energy and green finance grew in 2018, biodiversity loss and inequality remain critical. The document outlines the GEC's mission to champion inclusion, equity, and environmental limits through financial reform, natural capital accounting, and just transitions. It emphasizes that environmental protection is dependent on improving human livelihoods, citing specific examples of community-led success and the need for structural economic reform.

The document argues that the Clean Development Mechanism (CDM) should be terminated by 2020 to prevent it from undermining the Paris Agreement. The authors claim the CDM encourages a 'zero-sum game' that hinders domestic climate action, has increased global emissions due to 'junk' credits, and has led to human rights violations and inequitable benefit distribution.

The document outlines how the 2021-2027 EU budget can support climate targets by prioritising zero-emission investments in the Connecting Europe Facility and European Regional Development Fund, ensuring 100% of ETS auctioning revenues used as Own Resources are invested in climate projects, and revising the European Tax Directive to reflect the climate impact of transport fuels.

The report describes Poland as an EU laggard in energy transition due to an unprecedented dependency on coal and a lack of up-to-date energy strategy. While the power sector is starting to diversify through new RES auctions and gas-fired installations, the report highlights significant challenges, including the '10H rule' blocking onshore wind and a history of poor EU law transposition. It argues that the EU Clean Energy Package and rising carbon costs are key drivers that could accelerate the transition if supported by a stable national legal framework.

A joint letter from environmental NGOs argues that the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) is environmentally weak and inconsistent with the Paris Agreement. The authors demand that the EU maintain the more ambitious EU ETS for aviation and refrain from committing to CORSIA's voluntary phases until the legal review of the ETS Directive is finished.

The report analyzes the HYBRIT process, which replaces coal with hydrogen for the direct reduction of iron ore combined with an electric arc furnace to create fossil-free steel. While technically feasible and potentially cost-competitive depending on electricity and carbon prices, the transition faces systemic barriers including high investment risks, the need for large-scale electrolysis infrastructure, and the risk of carbon leakage in a globally competitive market.

The report argues that climate change poses significant physical and transition risks to financial assets, particularly in high-carbon sectors, and that these risks are often not adequately priced into the market. It highlights the potential for 'stranded assets' in fossil fuels and coal, while simultaneously identifying substantial growth opportunities in renewable energy, green infrastructure, and energy efficiency. The document concludes that climate-aware investing is a necessity that can match or outperform conventional benchmarks without sacrificing returns.

Suez has committed to reducing absolute Scope 1 and 2 greenhouse gas emissions by 30% by 2030 from a 2014 baseline, a target approved by the Science Based Target initiative. The company focuses on transitioning customers to a "use-and-recover approach" through circular economy practices, such as diverting waste from landfills to reduce methane and converting wastewater treatment plants into carbon-neutral "bio-factories." To manage financial risk and guide technology choices, Suez employs an internal carbon price based on the EU ETS and IEA scenarios. By 2017, the company reported a 5.69% reduction in Scope 1 and 2 emissions since 2014 and supported nearly 200,000 jobs worldwide through its activities and supply chain.

The production of basic materials, including cement, iron, steel, aluminium, and chemicals, accounted for approximately 25% of global CO2 emissions in 2014. The author contends that deep decarbonisation has been limited by a lack of knowledge regarding climate-friendly alternatives and a policy focus on carbon leakage risks. To overcome this, the brief identifies three primary policy gaps: incomplete incentives for recycling, a lack of short- and long-term markets for climate-friendly options, and missing signals regarding the phase-out of carbon-intensive production. Proposed solutions include green public procurement, project-based carbon contracts for difference (CfD), and a consumption charge on basic materials integrated into the EU ETS. The document emphasizes that the European materials sector is in a 'precarious limbo' where investment decisions over the next 10 to 15 years will determine whether assets are closed or transitioned to climate-friendly options.

The report identifies that the production of basic materials accounted for approximately 25% of global CO2 emissions in 2014, yet progress in decarbonisation has been modest due to carbon leakage concerns and limited political support for resource efficiency. It proposes a portfolio of seven mitigation options, ranging from sharing and reuse to low-carbon production processes. To unlock these, the authors identify three primary policy gaps: incomplete incentives for recycling, a lack of markets for climate-friendly options, and missing signals for phasing out carbon-intensive production. Recommended solutions include project-based carbon contracts for difference (CfDs), Green Public Procurement (GPP), and the introduction of consumption charges on carbon-intensive materials to reinstate carbon price signals muted by free allowance allocations in the EU ETS.

The report identifies that while decarbonisation opportunities exist, they are hindered by a low EU ETS carbon price, restrictive product benchmarks, and a lack of shared infrastructure. Stakeholders argue that the current ETS design encourages incremental improvements over breakthrough technologies and often penalises early adopters or those using low-carbon substitutes. Proposed solutions include updating benchmarks with recent data, expanding green public procurement, and integrating carbon pricing with trade policy to ensure global competitiveness.

The European manufacturing sector has seen minimal emission reductions, with industrial emissions in the EU falling by only 0.2% in 2016 and 1% since 2012. The author contends that the EU Emissions Trading System (EU ETS) fails to incentivise low-carbon transformation because it allows industries to profit from the system rather than pricing pollution effectively. This environment protects incumbents and hinders innovators, such as low-carbon cement producer Ecocem, whose solutions can reduce the carbon footprint of concrete by over 50%. To achieve the Paris Agreement goals, the document calls for a Low-Carbon Industrial Strategy to scale demand for low-carbon products and remove market barriers. It suggests specific technological shifts: using recycled scrap in electric arc furnaces for steel, substituting clinker in cement, and replacing fossil fuel-based feedstock with biomass in the chemical sector. The author highlights a regulatory imbalance where pollution payouts via free permits are over 15 times the amount allocated for innovation under the EU ETS reform after 2020, and suggests alternatives like a carbon border tax.

This briefing contends that the CORSIA global offsetting mechanism for aviation is too weak to incentivize efficiency and calls for additional European-level measures to ensure the sector contributes fairly to climate goals.

The document warns that without a 550gCO2/kWh limit on capacity payments, Europe's 256 operational coal plants could be 'supercharged', potentially extending their design life from 40 to 60 years. It identifies multiple EU policy gaps—including low carbon prices, biomass co-firing, and mining cross-subsidies—that already favour coal. The author contends that poorly designed capacity markets risk crowding out flexible, low-carbon alternatives like batteries and demand-side response, arguing that clean capacity is already cheaper than extending old coal plants.

The document asserts that the revamped EU ETS rules for 2021-2030 are insufficient to limit global warming to 1.5 degrees, necessitating additional national actions such as carbon floor prices. It highlights the UK's experience, where a floor price introduced in 2013 contributed to a nearly 60% drop in coal emissions in 2016. The text notes similar initiatives in the Netherlands and considerations in Nordic countries, arguing that such price floors provide investment certainty and discourage the use of coal to avoid stranded assets.

Carbon Market Watch argues that the risk of carbon leakage within the EU ETS has decreased due to global climate progress, such as the Paris Agreement, and suggests that the long-term competitiveness gains of a low-carbon transition outweigh short-term costs.

In 2017, renewables generated 30% of Europe's electricity for the first time, with wind, solar, and biomass overtaking coal generation. However, overall EU greenhouse gas emissions rose by approximately 1% due to increasing electricity consumption and a significant drop in hydro generation, which was the lowest this century. While Western European nations like the Netherlands, Italy, and Portugal announced coal phase-outs, Eastern European countries continued to rely on coal. The report also highlights the impact of the EU Emissions Trading System (ETS) reforms and the ongoing negotiations of the Clean Energy for All Europeans package.

The report analyzes Germany's coal transition, contrasting the historical phase-out of hard coal with the more abrupt decline of lignite in East Germany. It presents two future scenarios: an NDC-based pathway and a 2C-compatible pathway, the latter requiring a more rapid shutdown of coal capacities, potentially by 2025-2040. The authors argue that while technically and economically feasible, a successful transition requires a combination of strong carbon pricing, national policy instruments like emissions performance standards, and comprehensive structural support for affected mining regions to ensure social justice.

The briefing contends that the EU ETS phase 4 (2021-2030) fails to drive sufficient decarbonisation due to low carbon prices and excessive free allowances. It recommends that Member States implement national carbon floor prices, unilaterally cancel allowances following coal plant closures to avoid the 'waterbed effect', and redirect auctioning revenues toward a just transition. For the industrial sector, it advocates replacing free allocations with a carbon border tax and increasing the Linear Reduction Factor (LRF) to align with a 2040 or 2050 decarbonisation timeline.

A coalition of NGOs calls for the EU to ensure the post-2020 EU Emissions Trading System (ETS) does not subsidize coal plants and implements a tightening emissions cap to drive decarbonization in line with Paris Agreement goals.