Europe 2025
Separate CO2 removal targets to strengthen the EU 2040 climate framework

As the European Union negotiated a 2040 climate target of at least a 90% net reduction in greenhouse gas emissions, an important policy debate emerged around how the target should be structured. While the European Commission’s proposal relied on a single net target, concerns were raised that combining emissions reductions and carbon removals in one metric could weaken transparency and obscure the distinct roles of mitigation and removals. This debate gained importance as carbon dioxide removal (CDR) technologies are expected to play an increasing role in achieving climate neutrality by 2050.
To inform this discussion, Carbon Gap and VTT conducted modelling analysis exploring alternative target structures that distinguish between gross emissions reductions, temporary removals from land-based sinks, and permanent CDR. Using the Pan-European TIMES-VTT (PET-VTT) energy system model, the study examined pathways consistent with the EU’s proposed 2040 net target while applying policy-relevant constraints such as limits on land-based removals and competing biomass uses.
The results show that separate targets for emissions reductions, temporary removals, and permanent removals are feasible and can provide clearer policy signals than a single net target. By clarifying the distinct roles of mitigation and removals, such an approach could improve transparency, strengthen accountability, and support the design of targeted policy instruments for scaling carbon removals within the EU climate framework.
Model
Pan-European TIMES-VTT (PET-VTT)
Policy impacts
- Informed EU policy debates on the structure of the 2040 climate target and the role of carbon removals.
- Provided analytical support for separating emissions reductions, temporary removals, and permanent CDR within the EU climate framework.
- Contributed to discussions on the application of the like-for-like principle and the design of tailored policy instruments for different categories of carbon removals.
- Supported efforts to strengthen transparency, accountability, investment certainty, and a robust domestic carbon removal framework within EU climate policy.
Reference
Carbon Gap (2025). Divide to deliver: Why 2040 separate targets for carbon removal are feasible and necessary to reach EU net-zero. Technical Analysis, 29 p.
Carbon Gap (2025). Why 2040 separate targets for carbon removal are feasible and necessary to reach EU net-zero. Policy brief, 8 p.
Markkanen J. Koponen K. (2025). EU2040 CDR modelling Final results. VTT, 40 p.
