This European Parliamentary Research Service paper aims to inform Members on issues related to a forthcoming Commission initiative. It highlights the main choices that may shape the initiative and which Members may wish to explore ahead of formal European Commission adoption. Based on documentary and other sources, it reflects the information available at the time of writing. For further information on this topic, Members and staff of the European Parliament may contact the author. KEY ISSUES AT STAKE • Transport accounts for around a quarter of EU emissions. More sustainable transport in the EU is therefore crucial to achieving the European Green Deal aim to cut net greenhouse gas (GHG) emissions by at least 55 % by 2030, compared to 1990 levels, by means of sustainable fuels, modes, and technological solutions. • Uptake of electric vehicles (EV) in the EU has been slow and uneven, due to limited investment in EV charging infrastructure and EV supply issues. Frontrunners, such as the Netherlands, have a better regulatory environment, greater public investment and a more stable and affordable energy market. Business models and value chains are reluctant to adapt before technological solutions are sufficiently developed. • Implementation of initiatives such as the Alternative Fuels Infrastructure Regulation (AFIR) and CO2 emission standards for new vehicles is challenging, with progress slowing due to uneven roll-out across EU, state, and regional levels, limited electrical grid capacity, and high sustainable fuel production costs. • The European Commission is expected to issue a sustainable transport investment plan in the third quarter of 2025, outlining measures to support the accelerated roll-out of recharging and refuelling infrastructure, as well as dedicated green trade and investment partnerships with third countries on renewable and low-carbon transport fuels. Source : © European Union, 2025 - EP Read more