At the end of the year, Hungary concluded its term as the rotating EU Presidency, passing the role to Poland in January. On this occasion, we provide a brief evaluation of Hungary’s climate policy goals and achievements during its presidency and take a look at the objectives of the current Polish Presidency.
Climate Policy Achievements of Hungary’s EU Presidency
Hungary held the EU Presidency in the second half of 2024, a period characterized by transformation within the European Union institutions following the European Parliament elections. This political and procedural uncertainty, combined with the limited maneuvering space at the start of the presidency due to ongoing diplomatic engagements, posed challenges. Nevertheless, Hungary managed to achieve some results in both EU and international climate policy.
The presidency’s climate policy slogan was “A Sustainable, Healthy, and Competitive Europe.” Its primary priorities included implementing the European Green Deal and the “Fit for 55” package, as well as promoting the transition to a circular economy. These initiatives are essential for achieving the EU’s 2030 emissions reduction targets and ensuring climate neutrality by 2050. However, the overarching focus on European competitiveness highlighted tensions between sustainability and economic growth. Achieving climate neutrality requires industrial decarbonization, while avoiding excessive compromises, such as exemptions for hard-to-abate sectors or insufficient reductions in material usage.
Despite the challenging political and procedural environment, Hungary’s presidency succeeded in advancing the Council’s positions on various ongoing initiatives and planning documents. The most notable achievement was strengthening competitiveness, marked by the adoption of the Budapest Declaration in November. This document emphasizes regulatory simplification and sustainability as essential prerequisites for renewing European industry and ensuring its decarbonization.
In agriculture, the presidency focused on addressing both short- and long-term challenges. The Council introduced emergency measures to respond to floods in Spain and other European regions and initiated discussions on the much-criticized Common Agricultural Policy’s 2027 vision. While no full consensus was reached, 26 delegations supported or did not oppose the initiative, paving the way for a sustainable, resilient, and knowledge-based agricultural policy.
In terms of EU climate policy, the Hungarian Presidency achieved some successes. Notable accomplishments include the adoption of a detailed Union certification framework for carbon removals, ensuring effective tracking and certification of carbon removal activities within the EU. The presidency also contributed to modernizing air quality standards to protect public health and initiated debates on redesigning vehicle and waste management requirements, aligning with more sustainable economic models. Additionally, EU environment ministers reached agreements on the Regulation on environmental, social and governance (ESG) rating activities.
However, as anticipated due to the changes within the European Parliament and Commission, the presidency did not finalize the adoption of the EU’s new 2040 climate goals. While several professional and political discussions were held, the decision on the new target now falls to the Polish Presidency. It is crucial to resolve this issue promptly, as setting the 2040 target would necessitate addressing hard-to-abate emission categories (e.g., industrial process emissions, certain agricultural sectors) during the 2030s, thus reducing challenges in later decades.
International Climate Policy Outlook
The year 2024 was pivotal for international environmental policy, with significant conferences held by three major UN organizations. The COP29 climate conference held in Baku in November 2024 began with high expectations but yielded limited results. Key discussions centered on climate finance and emission reduction commitments. Political and organizational challenges significantly hindered progress. The Azerbaijani presidency faced skepticism, particularly after it was revealed that some documents were edited by representatives of other countries instead of local diplomats. The agreement reached allocated at least $300 billion annually in public funding for developing countries, potentially rising to $1.3 trillion by 2035 with various sources of contributions. However, this fell short of the expectations of developing nations. After over nine years of debate, an agreement was finally reached on introducing international carbon market mechanisms, mobilizing approximately $250 billion annually. However, significant advancements in emission reductions remained elusive at COP29.
The 16th UN Convention on Biological Diversity (CBD) Conference (COP16), held in Cali, Colombia, at the end of October 2024, was dubbed the “Implementation COP” due to its focus on advancing the goals adopted at COP15. The conference resulted in numerous strategic, administrative, and ecosystem-related decisions prioritized by the EU and its Member States. These outcomes aim to promote practical conservation efforts and implement the Kunming-Montreal Global Biodiversity Framework. A historic milestone was the adoption of operational conditions for the multilateral mechanism governing the equitable sharing of benefits derived from digital sequence information (DSI) and the establishment of the Cali Fund. However, key biodiversity financing decisions, such as resource mobilization and financial mechanism guidance, were postponed due to a lack of quorum. These issues will be revisited at the CBD COP16 in Rome from February 25-27, 2025.
The COP16 session of the UN Convention to Combat Desertification (UNCCD), held in Riyadh, Saudi Arabia, from December 2-13, 2024, was the largest UN land-focused conference to date. The Riyadh Political Declaration, adopted at the conference’s conclusion, aims to restore 1.5 billion hectares of degraded land by 2030. It outlines measures to curb soil degradation, restore ecosystems, and address drought.
Priorities of the Polish EU Presidency
During the second half of Hungary’s presidency, the European Commission began shaping priorities for its next cycle, which Poland, as the leader of the new presidency trio, will refine further. In the first half of 2025, Poland’s presidency is expected to see the Commission adopt key documents and initiatives, such as the Competitive Compass, the Clean Industrial Plan, and the Omnibus Regulation reforming European consumer protection legislation. While Poland will initiate work on these measures, significant outcomes are unlikely, with efforts focusing on defining the EU’s political direction.
Polish politicians have previously indicated a desire to fundamentally revise core EU climate policy decisions during their presidency. However, these ambitions are not explicitly reflected in the presidency program.
One of the Polish Presidency’s primary goals is enhancing energy security. This includes reducing reliance on Russian energy sources, protecting energy infrastructure, and ensuring affordable energy prices. Additionally, digitalization of the green transition and support for innovation will be key priorities.
In climate policy, the Polish Presidency aims to finalize the EU’s 2040 climate goals, promote climate justice, and strengthen the EU’s global role. Poland will also play a crucial role in preparing for the UN’s COP30 climate conference held end of this year in Brazil, with a focus on emission reduction mechanisms and strengthening climate financing. The ambitious plans of the Polish Presidency underscore the importance of advancing the EU’s energy and climate policy objectives in the coming semester.
Cover picture: The informal international climate change workshop of the Hungarian Presidency, 2nd July 2024. Source: Hungarian Presidency of the Council of the EU 2024 Flickr
