Has Climate policy reached its limit? Europe's path to climate neutrality

As global emissions continue to climb, political backing for climate action is faltering. With the US exiting the Paris Agreement and China renewing its investment in coal, global momentum has shifted. Meanwhile, the EU is grappling with low growth, geopolitical pressure and surging energy costs, prompting a shift toward the "Clean Industrial Deal" that ties climate policy directly to industrial competitiveness. As economic survival takes center stage, climate regulations face growing skepticism. This lecture evaluates the current state of European climate policy, analyzes its costs and consequences, and examines whether the EU can maintain its role as a global climate leader. Is climate policy reaching its limits, or is there still scope for action?

About the speaker: Achim Wambach is president of the research institute ZEW (Centre for European Economic Research) and professor or economics at Mannheim University. He is member of the scientific advisory board of the federal ministry for economic affairs and member of the German Ethical Committee. Previously he chaired the German Monopolies Commission. In 2025 he published a book for the general audience on climate policy "Climate must be worthwhile".

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