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Steel manufacturing is among the sectors that has to hand in allowances for polluting - but most companies have more than enough. (Photo: LarsAC)

How can the EU's flagship climate tool be saved?

The future of the EU's most important instrument to reduce greenhouse gas emissions is to be the topic of intense discussion in Brussels in the coming weeks, with both EU governments and members of the European Parliament divided over details of how to introduce a reserve for superfluous carbon permits.

The EU launched its "flagship" emissions trading scheme (ETS) in 2005 as a way to put a price on emitting greenhouse gases, which increase global warming.

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Steel manufacturing is among the sectors that has to hand in allowances for polluting - but most companies have more than enough. (Photo: LarsAC)

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