By: Philipp Heimberger, Andreas Lichtenberger
The member states of the European Union need to increase public investment to transform the energy and transport system and achieve climate targets. This necessity is also highlighted due to the geopolitical circumstances surrounding the war in Ukraine, in particular the price increases caused by fossil fuels. Current public spending is not sufficient to successfully fight climate change, argue the authors of the Policy Brief. They analyse the prospective reform of EU fiscal rules as announced by the European Commission, suggest the establishment of a permanent EU investment fund for climate and offer policy recommendations.