Six EU member states, including Greece and Poland, are pushing back against European Commission plans to reduce free CO2 permits for industries. These governments argue that high energy prices caused by geopolitical instability threaten the competitiveness of energy intensive sectors, risking industrial closures or relocation outside the EU. While the Commission aims to lower carbon costs by 4 billion euros by 2030 to support industry, the resisting nations want a total freeze on permit reductions. This creates a divide between carbon intensive economies and nations like Sweden and Spain, which advocate for maintaining the integrity of the Emissions Trading System to meet climate targets.
