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Brussels wants to make 17 billion euros a year from its own resources.

Citing Xinhua, the European Commission presented plans on Wednesday for a new revenue stream through its own resources, from which it hopes to generate up to 17 billion euros annually for the European Union (EU) budget by 2026.

In a statement, the Commission stated that its package of own resources will aid in the repayment of money obtained by the EU to support the grant component of NextGenerationEU, an 800 billion euro fund aimed at reviving the EU economy. The Social Climate Fund should also be financed with the new personal resources.

Emissions trading, resources created by the proposed EU carbon border adjustment mechanism, and a share of residual earnings from multinationals’ taxing rights will all contribute to the revenue stream.

“At cruising speed, these new sources of revenue are estimated to contribute up to 17 billion euros annually for the EU budget in the years 2026-2030,” the Commission said in a statement.

“By putting in place the financing of the Social Climate Fund, we establish the foundations for the payback of NextGenerationEU and provide important assistance to the Fit for 55 package,” said European Commissioner for Budget and Administration Johannes Hahn.

The package, if passed, will deepen the revenue system change that began in 2020 with the addition of non-recycled plastic waste-based own resources.

The Fit for 55 package intends to cut net greenhouse gas emissions in the EU by at least 55% by 2030 compared to 1990, keeping the EU on pace to achieve climate neutrality by 2050. A modification of the EU Emissions Trading System is included.

The majority of proceeds from the auctioning of emission allowances go to national budgets under the current arrangement. According to the idea, 25% of EU carbon trading earnings should go directly to the EU budget.

The Commission also intends to divert 75% of the cash earned by the carbon border adjustment mechanism to the EU budget, as well as an additional 2.5 billion to 4 billion euros per year from multinational taxation.

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