About: ETS reform

Analyst: EU carbon price on track to reach €90 by 2030

High gas prices, combined with a recent decision to raise the EU’s climate goals for 2030, have combined to form a “perfect storm” on the EU carbon market, according to a market analyst who predicts a carbon price of €90...

The Green Brief: EU lessons from Germany’s carbon tax row

A row in Germany over a carbon tax on heating and transport fuels has revealed some of the issues that Europe may soon be confronted with when extending its own carbon market to road transport and housing.

LEAKED: The EU’s carbon market reform proposal

A draft of the EU’s revised Emissions Trading Scheme confirms the European Commission’s intention to tighten the cap placed on CO2 emissions from industry and extend carbon trading to cover shipping emissions as well as road transport and heating fuels.

EU drafts plan to toughen carbon market

The European Union is planning to toughen its carbon market to cut emissions faster and put a price on pollution in new sectors, Bloomberg News reported on Sunday (27 June).
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How an ambitious and rapid reform of the EU-ETS is essential to achieve the new climate objectives

2021 is a decisive year for climate action. Following the binding objective of carbon neutrality in the Climate Law, it is now urgent to align the various legislative texts with this ambition. Alexandre Perra is the EDF’s Group Senior Executive...

EU carbon price hits record €50 per tonne on route to climate target

The European Union carbon price hit a record high of above €50 per tonne on Tuesday (4 May), a key milestone in what analysts say is likely a long-term climb towards the price levels needed to trigger investments in innovative clean technologies.
Energy 23-04-2021

EU carbon market will be extended to buildings and transport, von der Leyen confirms

Europe will apply its emissions trading scheme to buildings and transport, European Commission President Ursula von der Leyen told a summit of world leaders on Thursday (22 April), setting the stage for the EU’s planned overhaul of its carbon market.

A way forward to bring transport and buildings in the ETS

Rapid emission cuts need one carbon price for all sectors, including transport and buildings. But to move quickly enough, we should allow some differentiation for a limited time, writes Georg Zachmann. 

Four key issues to watch in the EU’s carbon market reform

EU carbon market emissions experienced a record fall last year, but when it comes to heavy industry, the effect is likely to be short-lived, writes Agnese Ruggiero.

EU’s green building push risks driving homelessness, activists warn

The European Commission must ensure that plans to price carbon emissions in the building sector does not lead to growing rates of homelessness, campaigners said on Wednesday (17 March).

Biggest challenge in energy transition is social justice, EU official says

While legitimate worries are being expressed about funding for low-carbon technologies to meet EU climate goals, the biggest challenge will be to manage the energy transition in a way that does not deepen social inequalities, a senior EU official has said.

EU climate plan could see bloc’s carbon price double this decade

Carbon costs for Europe's businesses could double this decade under European Union plans to deliver deeper emissions reductions by 2030, according to analysis of European Commission modelling.

Extended ETS outperforms carbon border adjustment in the power sector

Creating a carbon border adjustment mechanism would not work as well as extending the EU Emissions Trading Scheme to reduce global emissions and further integrate energy exporting countries into the European power market, argue András Mezősi, Zsuzsanna Pató and László Szabó.

How the coronavirus outbreak affects the EU’s 2030 climate targets

Ultimately, the coronavirus pandemic may slow down initial plans to adopt the European Climate Law and a number of other climate-related policy proposals, writes Robert Jeszke.

Inside the EU’s shadow climate fight

The EU’s new industrial strategy, due out on 10 March, is an opportunity to shake up more than a decade of lethargic progress in cutting greenhouse gas emissions from Europe’s heavy industries, writes Wilf Lytton.

Extending EU carbon market must not hinder more urgent reforms

The European Commission’s proposal to include new sectors in the EU Emissions Trading Scheme (ETS) is not expected to significantly reduce emissions but could risk the stability of the EU’s carbon market and the decarbonisation of the power sector, argue Outi Haanperä and Verena Graichen.

Achieving 1.5°C warming goal requires rapid reform of EU carbon market

To deliver quick results at least political cost, the European Commission should focus on two measures when revising the EU Emissions Trading Scheme: strengthening the cap and enhancing the Market Stability Reserve (MSR), write Mari Pantsar and Outi Haanperä.

Road transport in the EU ETS: A high-risk, low-reward strategy

The Emissions Trading Scheme (ETS) is not a good instrument to cut road transport emissions because it will raise petrol prices and fuel popular discontent, as seen in the past with the ‘Gilets Jaunes’ protests, writes William Todts. Road emissions...

Bas Eickhout: EU carbon market needs alignment with 2050 goal

The next European Commission will have to reopen the Emissions Trading Scheme directive if it is serious about reaching carbon neutrality by 2050, argues Bas Eickhout, warning the next Commission chief will need to find a broader majority in the European Parliament than his predecessor.

Why we need more than just the EU carbon market to tackle industrial pollution

Latest data shows that the market-based solution alone is not enough to cut carbon pollution from heavy industry in line with the Paris Agreement goals. A new industrial policy mix is needed to ensure Europe is on a pathway to net-zero carbon emissions by 2040, writes Agnese Ruggiero.
Energy 26-04-2018

Carbon prices seen hitting €55 in 2030, hastening ‘major’ coal-to-gas switch

EU carbon prices are set to double by 2021 and could quadruple to €55 a tonne by 2030 if the European Union aligns its emissions targets with the Paris Agreement on climate change, according to a new report published on Thursday (26 April).
Climate change 09-04-2018

‘Invisible’ cement polluters urged to double climate efforts

European producers were singled out among the worst performers in a new environmental ranking of the world’s largest publicly-listed cement companies, published on Monday (9 April).

The case for a price floor in the EU ETS

The recently adopted reform of the EU Emissions Trading Scheme (EU ETS) is insufficient to trigger cost-efficient decarbonisation of the economy, argue Christian Flachsland and Anna Leipprand. A carbon floor price that starts at a significant level and rises over time would address the problem, they write.

EU and California to discuss linking carbon markets

The EU and California are beginning talks to potentially create a common carbon market that could also include China.