The influence of European policy and environmental taxation on a sustainable development

Abstract

European policy and environmental taxation may have a significant impact on promoting sustainable development in the whole world and Europe in particular. Although, properly designed strategic plans and a set of wide policy measures should be shaped to meet national needs and capabilities. Sustainable development refers to a way of achieving economic growth and societal progress that meets the needs of the present generation without compromising the ability of future generations to meet their own needs. It recognizes that economic, social, and environmental considerations are interconnected and that sustainable development requires a balance between these three pillars. The 2030 Agenda for Sustainable Development and its 17 Sustainable Development Goals (SDGs) adopted by the United Nations (UN) in September 2015, lay down as an intrinsic part of the European Commission’s work programme, are the roadmap for achieving a sustainable future. The framework for sustainable development embraces poverty reduction, zero hunger, good health, education, clean water, affordable and clean energy, decent work and economic growth, reduced inequalities, sustainable cities, responsible consumption, climate action, gender equality, life below water, life on land, peace, justice and strong institutions, partnerships for the goals. The European Green Deal and the common agricultural policy (CAP), set ambitious goals for reducing greenhouse gas emissions and promoting renewable energy and circular economy practices. On the other hand, environmental taxation remains an important tool for promoting a “green” future. Taxes on carbon emissions, for example, can incentivize companies and individuals to reduce their carbon footprint and shift towards cleaner energy sources. Similarly, taxes on single-use plastics can discourage their use and promote more sustainable alternatives. Also, the revision of the Energy Taxation Directive (ETD) supports the EU's climate targets by ensuring that the taxation of motor and heating fuels and electricity in the EU reflects their impact on the environment and our health. Overall, the combination of well-thought and revised EU policies along with environmental taxation can create a more sustainable economic model. By incentivizing companies and individuals to adopt sustainable practices, and by setting ambitious targets for reducing emissions and promoting sustainable development, European countries can help build a more sustainable future for generations to come.