Kiene and Others v Parliament and Council

Lorenz Kiene and three companies active in the production and distribution of synthetic, carbon-neutral fuels (eFuels) appealed an order of the General Court that had dismissed their action as inadmissible. The appellants challenged Article 1(1) of Regulation (EU) 2023/851, part of the EU’s Fit for 55 package, which sets strengthened CO₂ emissions standards for new passenger cars and vans, including a 100% reduction target for 2035, effectively ending sales of new internal-combustion vehicles. The appellants argued that the regulation unlawfully disadvantages eFuels by focusing only on tailpipe emissions and ignoring lifecycle emissions, thus preventing their fuels from being considered climate-neutral. In May 2024, the General Court rejected their action as inadmissible, holding that the applicants were not individually concerned under Article 263 TFEU because the regulation is a measure of general application affecting all market operators in the automotive and fuel sectors. The appellants claimed they were individually affected due to their pioneering position and significant investments in the eFuel sector and that rejecting their action left them with no legal avenue to challenge the Regulations. The European Court of Justice dismissed the appeal in full. Indeed, it upheld the General Court’s finding that the applicants were not individually concerned. Their situation was not different from other economic operators affected by the 2035 zero-emission target, such as automotive suppliers. The regulation remains a general legislative measure. It rejected the argument based on Article 47 of the Charter, clarifying that the right to effective judicial protection does not override the Treaty rules on admissibility of direct actions. Since the applicants did not meet the conditions of Article 263 TFEU, their action was correctly dismissed.