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On 25 June 2026, the Council of the European Union adopted an implementing decision amending its 2021 approval of Latvia's recovery and resilience plan, introducing new milestones for climate, digital transformation, and disaster management projects. The updated plan sets binding targets for the third quarter of 2026, including 100 km of electrified rail, 17 electric buses, and a 14,423 MWh/year reduction in primary energy consumption in multi-apartment buildings. Latvia must complete these measures to access non-repayable support under the Recovery and Resilience Facility (RRF).

The decision, taken by the Council on 25 June 2026, revises the original implementing decision of 13 July 2021. It reflects Latvia's updated national plan, which reallocates funds toward green mobility, energy efficiency, and climate adaptation. The document, published as a note ahead of a Council meeting on 8 July 2026, details two main components. Component 1 focuses on climate and environment, with investments in sustainable transport (Riga metro, rail electrification, tram lines, cycling infrastructure), energy efficiency (multi-apartment, business, municipal, and public buildings), and disaster resilience (nearly zero-energy disaster management centres, flood risk projects). Component 2 targets digital transformation, addressing digital skills gaps, business digital integration, public sector IT, and connectivity, aligning with EU Country Specific Recommendations.

7 bus charging stations, 1 transport hub, 8 mobility points, 2.2 km of new tram line, 52 km of cycle paths, 3,875 MWh/year primary energy reduction in public buildings, and 2,060 connection points for EV charging and microgeneration. By Q1 2026, eight nearly zero-energy disaster management centres must be accepted; by Q3 2026, 21 flood risk projects (8 pumping stations, 12 dikes, 1 canal) must be completed.

The decision imposes concrete compliance costs on Latvian authorities and project implementers, who must meet tight deadlines to avoid losing RRF funds. For EU taxpayers, the milestones ensure accountability for the disbursement of recovery funds. The transport and construction sectors face both opportunities (funding for infrastructure) and pressures (timely delivery). The digital component benefits businesses and public sector IT, but requires rapid upskilling and investment. The Council's decision formalises Latvia's commitments; the European Commission will monitor progress and may suspend payments if milestones are missed. No further institutional steps are required for this amendment to take effect.

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