Deal on Net Zero Industry Act: a strong wake-up call to regain control of EU's industrial sovereignty

Renew Europe welcomes the inter-institutional agreement reached between the European Parliament and the Council on the Net Zero Industry Act (NZIA), which aims to lay strong foundations and incentives for European reindustrialization, namely in clean technologies production, and, together with the Critical Raw Materials Act (CRMA), paves significantly the way to regain our industrial sovereignty.

The final compromise expands the scope of the clean technologies contributing to decarbonisation (including renewables and nuclear technologies). Clear, shorter and predictable permitting processes for manufacturing Net Zero technologies plants, as well as administrative support, public interest status and reduced red tape, will also encourage all sort of industries to choose Europe for their next investments and send a clear signal to the market. Likewise, we also made sure that public procurements will be a strong lever where resilience, sustainability and reciprocity from third countries should become the guiding principle.

MEP Christophe Grudler, (Mouvement Démocrate, France), Renew Europe’s shadow on NZIA, declared:

“The EU Green deal will not go through without EU industries. The Net Zero Industry Act will help us to strengthen our industrial sovereignty by expanding the production of clean technologies made in Europe, supporting innovation and facilitating permits, one of the major hurdles for industries to settle in the EU. In the context of anti-competitive practices and massive subsidies from China and the United States, NZIA is, in short, a European answer for our industries to succeed in reaching our climate goals without undermining their competitiveness. The age of innocence is over”.

Renew Europe also played a decisive role in ensuring ambitious Net-Zero Industry Academies, a key component of this Regulation and of the upcoming Union’s manufacturing leadership in net-zero technologies. These academies will develop training programmes that will cover all types of education and qualification levels, thus ensuring that all workers with a job related to net-zero technologies can benefit from cutting-edge learning materials. Thanks to our political group, these programmes will also include strong health and safety provisions for employees. Preparing workers for the labour market of today and tomorrow, reskilling and upskilling them in the age of the green and digital transitions is key to fight unemployment, enhance our Union’s competitiveness and increase our industrial sovereignty.

MEP Marie-Pierre Vedrenne (Mouvement Démocrate, France), rapporteur on the opinion issued by the Committee on Employment and Social Affairs, which had exclusive competences on NZIA, added:

"Ensuring a skilled EU workforce in net zero technologies is essential for reindustrialization and achieving our sovereignty. Guaranteeing an ambitious funding for Net Zero Academies will facilitate training prospects for individuals and strengthen the global competitiveness of our companies. Renew Europe actively supported the inclusion of environmental and social criteria in public procurements related to net-zero industry projects. This pledge is geared towards championing European companies and fostering quality jobs that prioritize equality and social justice. It is a first step towards a long awaited 'Buy European' Act"

Finally, the text clears the way towards a regulatory framework for carbon capture and storage, with a new objective of CO2 storage, placing it as instrumental to reach our climate targets and insists on taking into account proximity and high environmental standards in the development of CO2 transport infrastructures.

MEP Erik Poulsen (Venstre, Denmark’s liberal party), Renew Europe’s shadow on the opinion issued by the Committee on Environment, Public Health and Food Safety, which had exclusive competences on NZIA, stated:

“EU needs to accelerate the production of clean technologies such as wind turbines, energy efficiency, bio-based technologies and carbon capture and storage technologies to strengthen the competitiveness of net-zero technologies manufacturing in the EU. NZIA provides an ambitious framework with clear, predictable and faster permitting processes while ensuring environmental standards are kept. EU has at the same time taken the first important step towards a regulatory framework for the development of CO2 transport infrastructure needed to accelerate carbon capture and storage technologies”.