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Question

Consider the following statements:
Statement I: The European Parliament approved The Net-Zero Industry Act recently.
Statement II: The European Union intends to achieve carbon neutrality by 2040 and therefore aims to develop all of its own clean technology by that time.

Which one of the following is correct in respect of the above statements?

ABoth Statement I and Statement II are correct and Statement II explains Statement I
BBoth Statement I and Statement II are correct, but Statement II does not explain Statement I
CStatement I is correct, but Statement II is incorrect
DStatement I is incorrect, but Statement II is correct
Correct Answer — C

Explanation

Answer: Statement I is correct, but Statement II is incorrect

  • Statement I is correct: The European Parliament formally approved the Net-Zero Industry Act (NZIA) in April 2024 to scale up European manufacturing of strategic green technologies.
  • Statement II is incorrect:
    • The European Union’s legally binding target for climate neutrality is 2050 (under the European Climate Law), not 2040 (2040 is an interim emissions reduction target).
    • The Act does not aim to produce all (100%) clean tech domestically; it sets a benchmark to manufacture at least 40% of its annual deployment needs for strategic net-zero technologies by 2030.
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