The Australian and Aboriginal flags fly on Sydney Harbour Bridge as part of Australia Day celebrations in Sydney on Jan 26, 2021. (WENDELL TEODORO / AFP)

CANBERRA - The European Union's ambassador to Australia has called for the country to be "more ambitious" on climate change as part of trade negotiations.

Michael Pulch, the EU ambassador to Australia, who has met with Australia's Trade Minister Dan Tehan, said that emissions targets were not a sticking point in negotiations but that climate change was the "top priority" of the European Commission and could be an issue when European Parliament meets to ratify the free trade agreement

Michael Pulch, the European Union (EU) ambassador to Australia since 2017, said that every country should consider if they were "in a better position than, say, five years ago to have a more ambitious climate objective."

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The EU and Australia are hoping to conclude negotiations on a free trade agreement (FTA) by the end of 2021.

Pulch, who met with Trade Minister Dan Tehan earlier in February, said that emissions targets were not a sticking point in negotiations but that climate change was the "top priority" of the European Commission and could be an issue when European Parliament meets to ratify the FTA.

"I would say what we have in mind is relatively straightforward," he was quoted by The Guardian on Thursday as saying. "We are shouldering more and we would hope that our partner countries would do the same - that they become a bit more ambitious and emboldened when it comes to climate change objectives.

"It is not part of the (trade agreement) negotiations as such, but it will be part of how member states and the European Parliament will debate the outcome of the negotiations."

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It comes as Prime Minister Scott Morrison is reportedly set to commit to a 2050 net zero emissions target despite objections from within his own government.