Friday

29th Sep 2023

States back emission trading rules

  • Phase III of the ETS starts in 2013 (Photo: EUobserver)

EU member states have unanimously backed commission proposals that will see carbon-emitting industries buy roughly half of their emission allowances from 2013 onwards.

The agreement by a committee of national experts this week (14 July) relates to phase three of the EU's emissions trading system (ETS), with companies currently receiving their allowances for free.

Read and decide

Join EUobserver today

Become an expert on Europe

Get instant access to all articles — and 20 years of archives. 14-day free trial.

... or subscribe as a group

Under the plans, Brussels has pushed the idea of a single European auctioning system to sell the pollution permits in the future.

This, it argues, will maximise auctioning efficiency and keep carbon prices sufficiently high to bring down emissions, the ultimate aim behind cap and trade schemes.

While agreeing to the single platform in theory, member states voiced concerns it could potentially have a negative impact on national trading systems, leading them to insist on the right to opt out from the EU-wide scheme at a later date.

Poland, the UK, Germany and Spain were chief among those expressing concerns.

As part of the agreement, Europe's embattled aviation sector will also be brought into the bloc's emission's trading system from 2012, with 15 percent of allowances to be auctioned, a proportion set to remain the same in subsequent years.

EU climate commissioner Connie Hedegaard welcomed the deal despite the opt outs.

"I am satisfied to see that member states have found a compromise that will provide a basis for a solid common auction platform," said the Danish politician who hosted the UN climate change conference in Copenhagen 2009 before joining the EU executive in February.

She added that governments wishing to leave the common platform would first have to meet "certain criteria that ensure the proper functioning of auctions and the carbon market."

This week's deal will now see the commission submit the draft regulation to the European Parliament for a three-month scrutiny period.

Provided the parliament does not raise objections, the new rules will then become law.

Opinion

Is there a fatal flaw in EU's emissions trading scheme?

New research has discovered fundamental flaws in a key component of the European Union's flagship Emissions Trading System. The little-known 'Market Stability Reserve' fixes a problem of the past but amplifies future shocks and undermines market stability.

IEA says: Go green now, save €11 trillion later

The International Energy Agency finds that the clean energy investment needed to stay below 1.5 degrees Celsius warming saves $12 trillion [€11.3 trillion] in fuel expenditure — and creates double the amount of jobs lost in fossil fuel-related industries.

Opinion

How do you make embarrassing EU documents 'disappear'?

The EU Commission's new magic formula for avoiding scrutiny is simple. You declare the documents in question to be "short-lived correspondence for a preliminary exchange of views" and thus exempt them from being logged in the official inventory.

Latest News

  1. Poland's culture of fear after three years of abortion 'ban'
  2. Time for a reset: EU regional funding needs overhauling
  3. Germany tightens police checks on Czech and Polish border
  4. EU Ombudsman warns of 'new normal' of crisis decision-making
  5. How do you make embarrassing EU documents 'disappear'?
  6. Resurgent Fico hopes for Slovak comeback at Saturday's election
  7. EU and US urge Azerbijan to allow aid access to Armenians
  8. EU warns of Russian 'mass manipulation' as elections loom

Stakeholders' Highlights

  1. International Medical Devices Regulators Forum (IMDRF)Join regulators, industry & healthcare experts at the 24th IMDRF session, September 25-26, Berlin. Register by 20 Sept to join in person or online.
  2. UNOPSUNOPS begins works under EU-funded project to repair schools in Ukraine
  3. Georgia Ministry of Foreign AffairsGeorgia effectively prevents sanctions evasion against Russia – confirm EU, UK, USA
  4. International Medical Devices Regulators Forum (IMDRF)Join regulators & industry experts at the 24th IMDRF session- Berlin September 25-26. Register early for discounted hotel rates
  5. Nordic Council of MinistersGlobal interest in the new Nordic Nutrition Recommendations – here are the speakers for the launch
  6. Nordic Council of Ministers20 June: Launch of the new Nordic Nutrition Recommendations

Join EUobserver

Support quality EU news

Join us