Six EU member states, including Poland and the Czech Republic, are opposing a European Commission plan to reduce free carbon permits for industry. These governments argue that high energy prices threaten the competitiveness of energy intensive sectors, risking plant closures or relocation outside the bloc. While some nations push for a freeze on permit reductions, others like Spain and Sweden want to maintain the integrity of the Emissions Trading System to drive decarbonization. A final decision on the free allocation rules is expected by the end of June, with further long term revisions planned for July.
