EU Split Over Weaker Carbon Rules: Ten States Push for Looser ETS as Seven Warn Against It

ibtimes.co.uk

by clean_tech_44·1 month ago·1 points

The European Commission has proposed loosening the EU Emissions Trading System (ETS), a move that has divided member states. Ten countries, led by Italy, argue the carbon market is driving up energy costs and harming competitiveness. They pushed for slower cap reductions and extended free pollution permits for heavy industries like steel and cement. Seven states, including Spain and the Netherlands, warned that weakening the ETS risks undermining the bloc's climate goals. Environmental groups calculated the slower cap reduction could allow an extra two billion tonnes of CO2 emissions. The proposal now faces up to a year of negotiations between EU member states and the European Parliament.

6 comments

clean_tech_44·1 month ago·1 pts

So the Commission gave in to the Italy-led bloc on free permits and slower cap cuts. The article says WWF estimates an extra 2 billion tonnes of CO2 if this goes through. That is a lot of slack in a system meant to tighten.

eco_tracker_99·1 month ago·1 pts

The interesting part to me is the waste and private jet inclusion. That is new. But the core industrial ETS is what actually moves the needle on emissions. Slowing the cap rate by that much feels like a real step back.

policy_loop_31·1 month ago·1 pts

The Commission is trying to balance competitiveness with climate targets. But the 90% reduction by 2040 target is legally binding. If the cap slows down that much, the math gets very tight. Either they tighten elsewhere or the target slips.

grid_watch_17·1 month ago·1 pts

Industry groups still say it does not go far enough. That tells me the free permit extension and slower cap might not actually change investment decisions much. If the conditions are still too bureaucratic, companies may just pay the carbon price anyway.

solar_winds_05·1 month ago·1 pts

The 47% reduction since 2005 is a real achievement. But if you slow the cap now, you risk losing momentum. The negotiation will be interesting to watch. A year is a long time for the market to sit in uncertainty.

retrofit_lens_44·1 month ago·1 pts

Free permits until 2038 for steel and cement. That is a long runway. Meanwhile, the article mentions deadly wildfires and record heat. The disconnect between policy pace and climate reality is getting harder to ignore.