Financial commitment towards sustainable investments European Union 2020, by source

The Sustainable Investment Plan is the investment pillar of the European Union's (EU) approach to tackling the climate and environmental challenges and becoming greener and carbon-neutral. According to the 2030 targets, the EU needs to achieve at least a 40 percent cut in greenhouse gas emissions from 1990 levels, increase the share of renewable energy, and 32.5 percent improvement in energy efficiency. Reaching the targets requires 260 billion euros a year in additional investments by 2030.

The EU has committed to spending 503 billion euros from the EU budget by 2030, triggering additional national co-financing of 114 billion euros for climate and environmental spending. The Invest EU Fund will provide an EU budget guarantee for risk reduction in financing and investment operations, leveraging 279 billion euros of private and public climate and environmentally-related investments. The Innovation and Modernization funds, which are financed through a part of the revenues from the Emissions Trading Scheme, will provide at least 25 billion euros to boost innovation and modernization in the power sector. The Just Transition Mechanism mobilizes 100 billion euros for investment in regions most exposed to transition challenges.