The European Council on 9 March 2007 backed Commission proposals on energy and climate change, agreeing on an action plan to put in place a European energy policy by year 2009. The most significant progress was achieved in the following areas:
- A binding target to reduce EU emissions by 20% by 2020, regardless of progress made in international negotiations for a post-Kyoto agreement, and;
- a binding 30% target should other industrialised nations including the US take similar steps.
- A binding target to have 20% of the EU’s overall energy consumption coming from renewables by 2020, and;
- as part of the overall target, a binding minimum target for each member state to achieve at least 10% of their transport fuel consumption from biofuels. However, the binding character of this target is "subject to production being sustainable" and to "second-generation biofuels becoming commercially available".
- Achieve the Commission’s objective of saving 20% of the EU’s energy consumption compared to projections for 2020;
- by 2008: Commission to make proposals for increased energy savings from office and street lighting
- by 2009: Commission to make prosposals for increased energy savings from incandescent lamps and other lighting in private households.
However, the summit made little progress on the internal market for gas and electricity, saying that "full implementation of the letter and spirit" of existing legislation was to be achieved as a "first step" before going further with more radical options. In other words, the Commission’s calls for 'ownership unbundling' of network and energy-production assets of large integrated energy groups was rejected, mainly on the insistence of France and Germany.