EU Unveils Plan to Loosen Environmental Regulations for AI Gigafactories and Datacentres
In a move that has sparked controversy among green groups, the European Commission is proposing significant changes to environmental regulations for critical infrastructure projects such as datacentres and AI gigafactories. The plan aims to speed up permitting processes and reduce the scope of environmental reporting requirements for businesses.
The proposed overhaul would exempt datacentres from mandatory environmental impact assessments, which are currently required under EU law. This move is seen as a key step in supporting the European Commission's ambitions to become a global leader in Artificial Intelligence (AI) while also promoting labour mobility.
However, critics argue that the plan would undermine the EU's environmental rules and pose risks to human health and nature. Green groups have described the proposals as part of a broader pattern of deregulation that is eroding democratic accountability and dismantling European environmental policy.
The commission estimates that its proposals will save companies โฌ1 billion per year in administrative costs, but opponents argue that this comes at the expense of the environment. A study conducted for the commission found that failing to implement existing EU environmental law would cost the EU economy โฌ180 billion per year.
In contrast, lawmakers and member states have agreed on a climate target to reduce planet-heating pollution by 90% compared to 1990 levels, with some flexibility to use foreign carbon credits. While this move is seen as an important step towards climate neutrality by 2050, critics warn that it could also undermine domestic emissions reductions.
The European Scientific Advisory Board on Climate Change has expressed concerns that the proposed plan may weaken domestic emissions reductions and jeopardise the EU's long-term climate-neutrality goal. The board recommends that international carbon credits must meet high environmental standards to avoid undermining the EU's transition.
Meanwhile, business lobby groups have welcomed the proposal to scale back corporate sustainability laws, which were originally intended to increase transparency and accountability among large corporations. The deal limits the number of companies covered, delays compliance deadlines, and scrapes a requirement for climate change transition plans.
In a move that has sparked controversy among green groups, the European Commission is proposing significant changes to environmental regulations for critical infrastructure projects such as datacentres and AI gigafactories. The plan aims to speed up permitting processes and reduce the scope of environmental reporting requirements for businesses.
The proposed overhaul would exempt datacentres from mandatory environmental impact assessments, which are currently required under EU law. This move is seen as a key step in supporting the European Commission's ambitions to become a global leader in Artificial Intelligence (AI) while also promoting labour mobility.
However, critics argue that the plan would undermine the EU's environmental rules and pose risks to human health and nature. Green groups have described the proposals as part of a broader pattern of deregulation that is eroding democratic accountability and dismantling European environmental policy.
The commission estimates that its proposals will save companies โฌ1 billion per year in administrative costs, but opponents argue that this comes at the expense of the environment. A study conducted for the commission found that failing to implement existing EU environmental law would cost the EU economy โฌ180 billion per year.
In contrast, lawmakers and member states have agreed on a climate target to reduce planet-heating pollution by 90% compared to 1990 levels, with some flexibility to use foreign carbon credits. While this move is seen as an important step towards climate neutrality by 2050, critics warn that it could also undermine domestic emissions reductions.
The European Scientific Advisory Board on Climate Change has expressed concerns that the proposed plan may weaken domestic emissions reductions and jeopardise the EU's long-term climate-neutrality goal. The board recommends that international carbon credits must meet high environmental standards to avoid undermining the EU's transition.
Meanwhile, business lobby groups have welcomed the proposal to scale back corporate sustainability laws, which were originally intended to increase transparency and accountability among large corporations. The deal limits the number of companies covered, delays compliance deadlines, and scrapes a requirement for climate change transition plans.