A forecast 1.9 billion tonne oversupply of carbon permits in EU Emissions Trading System (ETS) is undermining action on climate change. Urgent need to agree reduction of permit supply before next trading period begins in 2013.
New research by Sandbag Climate Campaign shows the expected oversupply of carbon permits in the ETS growing to 1.9 billion tonnes through until 2020. This will likely depress carbon prices yet further, delay low-carbon investment and fail to halt the growth in Europe’s carbon emissions.