Category: Carbon Markets

ENVI VOTE on Phase IV ETS reform

Today’s ENVI committee vote on the EU ETS reached a last minute compromise on changes for the Phase IV of the system. The vote failed to create a well functioning market, instead binding the EU ETS to an unrealistic path inconsistent with both effective carbon pricing...

Dispelling the waterbed myth

Dispelling the waterbed myth

Additional actions to reduce greenhouse gas emissions are being taken across the EU in sectors covered by the EU Emissions Trading System (EU ETS). These include implementing energy efficiency programmes, deploying renewables, replacing lignite and coal plants with...

How to fix the ETS

How to fix the ETS

...and avoid the infamous Cross-Sectoral Correction Factor Each year, industries across the EU receive billions of Euros worth of free allowances from the European Commission in order to protect them from the costs of compliance with the EU carbon market. The logic...

Stabilising the Market Stability Reserve

Sandbag publishes a new briefing on Stabilising the Market Stability Reserve Sandbag has published analysis of the impact of Phase 4 EU ETS reforms on the Market Stability Reserve (MSR) to accompany its latest briefing - 'Aligning the surplus with reality'. Sandbag's...

Aligning Phase 4 EU ETS reform with reality

Today Sandbag published a new briefing on Phase 4 reform of the EU ETS, providing new insights on different scenarios for reducing the surplus of European Union Allowances (EUAs). Below is a summary of the key messages and findings that are detailed in the briefing:...