Energy and Climate Regulations

NZIA - Net Zero Industry Act

The Net Zero Industry Act (NZIA) is a key element of the European Green Deal's industrial plan. It is the EU's response to the US Green Investment Support Package (IRA). The NZIA aims to achieve at least 40% of the annual deployment needs of EU-produced strategic emission-neutral technologies by 2030.

Key Objectives and Assumptions of NZIA

  1. Strengthening the European Production Ecosystem:
    • NZIA aims to strengthen the production ecosystem of carbon neutral technologies in Europe, which is crucial to achieving the EU's climate and energy goals.
  2. A target of 40% by 2030:
    • The regulation assumes that by 2030 at least 40% of the annual needs for strategic emission-neutral technologies will come from EU production.
  3. Technological Neutrality:
    • One of the postulates taken into account by the BSP was to maintain technological neutrality in relation to the list of strategic emission-neutral technologies, which includes nuclear technologies, low-carbon and renewable hydrogen derivatives and CCU technologies.
  4. The entire CCS Value Chain:
    • NZIA takes into account the entire CCS value chain, including CO2 transport, which is essential for the development of projects contributing to the achievement of EU objectives.

Activities Business & Science Poland (BSP)

BSP actively participated in shaping NZIA records, paying particular attention to several key aspects:

  1. Support for Manufacturing and Services Throughout the Supply Chain:
    • BSP stressed the importance of supporting the production of components and services throughout the supply chain, which is important for the development of infrastructure for zero-emission investments.
  2. Temporary Emergency State Aid Framework:
    • The BSP analysed and shared its views on the temporary crisis state aid framework to support sectors critical to the transition to a net-zero emission economy.
  3. Financing Hydrogen Investments:
    • The organization was involved in the financing of hydrogen investments, including within the framework of the European Hydrogen Bank and the EU taxonomy.

Regulations and Industry Support

  1. Obligation to Participate in the Creation of CO2 Landfills:
    • The regulation requires EU oil and gas producers to participate in the creation of CO2 storage sites in the EU.
  2. Support for Investments in Emission Neutral Technologies:
    • NZIA introduces measures to support investments in projects related to emission-neutral technologies.
  3. Amendments to the General Block Exemption Regulation (GBER):
    • The GBER amendment aligns the rules to support sectors that are key to green and digital transformation, enabling Member States to support investments in renewable hydrogen and increase energy efficiency.

Documents and Analyses

BSP has prepared a number of documents and analyses, including:

  1. Analysis of the Draft Regulation Net Zero Industry Act:
    • The BSP analysed and presented its views on the NZIA proposal to the European Commission and the European Parliament.
  2. Analysis of Changes to the Temporary Emergency State Aid Framework:
    • The organization analyzed the changes introduced in March 2023, which are aimed at supporting the economy during the period of market disruptions caused by the war in Ukraine.

Summary

The Net Zero Industry Act is a key element of the European industrial plan to strengthen the production of carbon neutral technologies and support decarbonisation. Thanks to the active role of the BSP, the Regulation takes into account many relevant aspects, such as technology neutrality, the entire CCS value chain and support for investments in key sectors. Work on the implementation of the NZIA will be crucial for the future of European industrial and climate policy.

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