As the EU refines its 2028-2034 financial framework, the application of the Do No Significant Harm (DNSH) principle must urgently reflect the imperative to phase out fossil fuel subsidies. Our submission to the consultation underscores that fossil fuel subsidies are incompatible with the EU’s climate goals and the DNSH principle itself. We advocate for binding exclusions of such subsidies in the DNSH guidance, ensuring EU funds support only sustainable, future-proof solutions.
While exemptions for crisis situations may be necessary, they must be strictly time-bound, transparent, and paired with investments in clean alternatives. Energy security cannot justify perpetual reliance on fossil fuels, True security lies in accelerating the transition to renewables.