The European Commission (EC) has adopted the 'Fit for 55' legislative package to achieve a net emissions reduction of 55%, instead of the previous 40%, which is proving to be the next challenge for the existence of the peat industry.

Latvia has not yet finalised its Territorial Just Transition Plan, where it must prove to all of Europe that Latvia's peat is not used in energy production as a fossil fuel, as in other European countries, but in horticulture – peat is used to grow food, ornamental plants and tree seedlings, which sequester GHG emissions while simultaneously providing jobs in the regions and contributing to the national economy.

Emission sequestration must be increased wisely

The next steps in European climate policy involve increasing emissions sequestration in peatlands. The amendments to the Land Use, Land-Use Change and Forestry (LULUCF) regulation published under 'Fit for 55' require Latvia to achieve a reduction of 644,000 tonnes of CO2 equivalent by 2030, focusing specifically on the land use sector, i.e., forests, agricultural land and peat extraction.

The peat industry calls for the problem to be looked at on its merits – emissions arise from all organic or peat soils, regardless of whether peat is being extracted, or if it is grassland or arable land. Unfortunately, the emissions generated by the latter two types of land use significantly exceed those of the peat industry, so a socio-economic assessment would be necessary before deciding on emissions reductions in sectors, including the peat industry, where around 3,500 people are employed during the season.