European policy implications Setting a goal of climate neutrality by 2050 is an important condition for the EU to achieve the 1.5 °C target and meet its commitment to the Paris Agreement. In relation to this, a more ambitious 2030 target for the EU as a whole is required to remain on course to achieve the Paris Agreement targets. The Netherlands is focused on the target of a 55% reduction in EU emissions by 2030 compared to 1990. It is clear that raising these targets will need to go hand in hand with policies to offer the regions that will be most affected by the social and economic consequences of the transition perspectives for innovation, new economic activities and job growth. A fair and affordable transition is an essential condition for retaining support. At the heart of the plans of the new European Commission for a European Green Deal is the ambition to work towards an integrated climate and sustainability policy across sectors, with an eye on other policy targets and interests and with the involvement of all relevant parties. The Netherlands supports this approach, which is comparable to its own as laid down in the Climate Agreement. Just like in the Netherlands, however, this climate policy will need to be embedded thoroughly in the coming years in both the sectors where the actual greenhouse gas emission reductions are to be achieved and in the transformed economic and financial systems. The purpose of this is to encourage climate-friendly production and consumption practices and discourage those that are less climate-friendly. Choosing an EU-wide policy means choosing a level playing field. The greater the effort to develop common instruments for cross-border sectors in the EU, the more effective the transition in the whole of Europe will be. For open economies like the Dutch one, this is a critical process. The promotion of a cost-efficient transition requires a tightening of the ETS, including the stimulation of negative emissions to achieve climate neutrality in the EU. Taking the lead as EU also means providing incentives to others to join the transition. A carbon border adjustment could provide such an incentive. As it protects the level playing field for certain industries in the EU and provides an impetus for emission reduction in the chain at the same time, such a measure would be a good fit with the strategy to speed up the transition in Europe and boost it elsewhere. Appendix 1. Sources