14th September 2017 ETS reform proposals, as discussions stand after yesterday’s trialogue, could leave the scheme still with a 1-2 billion tonne allowance surplus available to the market in 2025. In this scenario, the carbon price would remain unlikely to rise...
Category: Carbon Pricing
Sandbag ETS Recommendations: How can the trialogues win a meaningful EU carbon price?
Tweet this image Since its creation in 2005, the EU Emissions Trading System (ETS) has been in a near constant state of crisis and reform. Since 2011, the carbon price has remained below €10 a tonne, unable to significantly influence investment decisions, and failing...
Factchecking the Business Europe study on ETS reform
On July 6th 2017 Business Europe released a study with consulting firm FTI Compass Lexecon examining reform options for the the EU Emissions Trading System (EU ETS). As negotiations on this file are advancing during the second round of trialogues, scheduled to take...
Steeling ourselves for the future: Steelmakers can help to cut EU emissions
EU ETS reform risks failing to cut the steel sector’s emissions whilst boosting the sector's unearned profits - this was the key message of a letter delivered yesterday to Heads of European Member States from Climate Action Network Europe (of which Sandbag is a...
Forecasting ETS Surpluses
On 12th May, the Commission for the first time published the scale of the ETS surplus[1]. This is the first time this has been published by the Commission since phase 2 started in 2008. We welcome the clarity this brings. According to the Commission, the ETS surplus...
Response to EUROFER’s press release on the Environment Council’s ETS Reform position
In its press release following the Environment Council’s (ENV) agreement on a general approach for reform of the EU Emissions Trading System (ETS), the European Steel Association (EUROFER) accuses the Council of falling short on carbon leakage protection. However, as...
EU ETS reform: European countries outbid the Parliament, giving hope for the long-term future of the ETS
01/03/2017 - In an unexpected move, the Environment Council has endorsed more ambitious EU ETS policy changes than those agreed by the European Parliament. Europe’s ETS cap in 2030 will still be out of line with the commitments the EU signed under the Paris...
Calling on the Council to do the right thing for ETS Reform
Where are we headed? This week, following the EU Parliament’s vote on February 15th, the EU Council will in turn confirm its preferences on reform of the EU Emissions Trading System. With so many issues to think about - LRFs, benchmarks, MSR withdrawal rates, auction...
Winners and losers in the EU ETS Plenary vote
The idea that a transition will always have winners and losers is why the ETS was created: the market’s raison d'être was to allow those who found it hard to make emissions cuts to pay for cheaper ones elsewhere. By introducing a linear trajectory and creating...
ETS reform vote expected to boost cement sector’s subsidy to €2.8 billion by 2030
(Image used under Creative Commons License. Credit: Alexos_Fotos) Last week the European Parliament voted against carbon border tariffs for cement, while supporting increased free allocation of emission allowances. Soon-to-be-published analysis of free allocation...