The key facts

  • The EEA report of 13 October identifies six 'no-regret' options for strengthening Europe's long-term competitiveness
  • The measures include climate adaptation, resource efficiency, next-generation technologies, skills, trust and standards
  • The EEA insists that sustainability can enhance competitiveness, despite pressure to simplify 'green' rules

Six 'no-regret' options from the EEA

The European Environment Agency (EEA) on 13 October published the report 'Competitiveness by nature: Europe's long-term competitiveness through the lens of sustainable development'. The agency calls for abandoning short-term economic growth based on resource depletion and environmental degradation, and for treating nature restoration and social capital as elements of long-term stability. The report names six 'no-regret' options capable of supporting the economy without undermining the foundations of life on Earth.

Climate adaptation and resources

The fifth and sixth items on the list: investment in climate change adaptation and more efficient use of resources. Europe, according to the EEA, is warming faster than any other continent, and floods, heatwaves, droughts and wildfires are becoming increasingly extreme. The agency considers adaptation not only an environmental but also an economic necessity and proposes investment in nature-based solutions — restoring wetlands, floodplains and green spaces in cities. Europe imports a significant share of its raw materials and energy; disruptions to shipping through the Strait of Hormuz, caused by the war involving Iran, have increased pressure on fuel supplies and accelerated the transition to renewable energy. The EEA notes that the circular economy — repair, reuse and recycling — reduces demand for primary raw materials and vulnerability to market volatility, although trade-offs are possible: preserving old buildings can lock in inefficient or climate-vulnerable assets.

Technologies and skills

The fourth and third items: next-generation technologies and investment in skills. The EEA believes AI can help use resources more wisely — tracking materials in supply chains, managing variable renewable energy output and monitoring environmental damage in real time. The EU's digital product passports, launched in July, will become mandatory from February 2027, first for batteries: consumers will be able to use a QR code to find out about the origin of materials and a product's repairability. At the same time, energy- and water-consuming data centres for AI are causing growing concern, and biotechnologies replacing oil and gas with biomass require land and water. EEA analysis showed that clean energy creates jobs in the EU but faces a shortage of staff and training, so the agency calls for investment in education and lifelong learning.

Trust and global standards

The second and first items: public trust and leadership in standards. Climate policy in several EU countries has become a politically divisive issue — debates are ongoing about costs, rules for farmers and bureaucracy. The EEA stresses that without a just transition, even well-designed measures risk being diluted, delayed or cancelled, while transparent regulation and effective institutions increase the willingness of companies and society to support change. The EU single market, in the agency's view, should continue to shape global environmental and social standards, including through forums such as the UN climate conferences. At the same time, the system is under pressure: almost 200 states agreed to move away from fossil fuels at COP28 in 2023, but a new agreement is unlikely to be adopted at COP31 in Turkey next month, and countries dependent on fossil fuels are seeking to postpone the next major IPCC report; a group is holding a meeting this week in an attempt to break the deadlock. Within the EU there is pressure to simplify 'green' rules, but the EEA insists that sustainability can enhance competitiveness.