Minimum carbon pricing is distortive and not needed – why free price formation should remain a cornerstone of the EU ETS’ volume-based cap-and-trade mechanism

Brussels, 30 November 2020 | The EU Emissions Trading System (EU ETS) is a cornerstone of the EU’s policy to combat climate change and the key carbon pricing instrument for reducing greenhouse gas emissions cost efficiently. While the main variant in terms of carbon pricing is a cap and trade system such as the EU ETS, other variants exist. The concept of a carbon price floor, for example, is regularly advertised as a way to improve investment certainty by reducing carbon price risk, decreasing the cost of capital and facilitating access to finance. Additionally, the price floor argument has been
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Categories: Position Papers.

Europex Feedback to the Amendment of the EU Emissions Trading System Inception Impact Assessment

Brussels, 26 November 2020 | Europex welcomes the Commission’s initiative to review the EU Emissions Trading System (EU ETS) to align it with the increased decarbonisation climate targets for 2030 and net zero by 2050. The emissions and energy markets will be key in delivering on Europe’s climate ambitions and scaling up innovative low-carbon technologies as well as renewable energy sources for electricity (RES). As Europe’s most successful policy to combat climate change, the EU ETS is the right tool to incentivise emissions reductions where they are most efficient and to promote investments in clean technologies, providing consistent carbon pricing
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Categories: Consultation Responses.

Moving towards full market integration of renewables – the most cost-efficient way to decarbonise the energy sector

Brussels, 20 November 2020 | Significant deployment of renewable energy sources (RES) is required to achieve the EU 2050 net zero target proposed in the Green Deal as well as the raised ambition of the EU 2030 targets. The recently published EU Offshore Renewable Energy Strategy sets out the scale of the challenge, estimating that an installed capacity of at least 300 GW of offshore wind alone will be needed by 2050. Energy markets will be vital to help achieve this scale-up at an acceptable cost. Despite the high fixed cost structure of renewables as well as the need for
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Categories: Position Papers.

Public consultation on the ACER study on efficient price formation and easy market entry and participation for new players and smaller actors in electricity markets

Brussels, 1 November 2020 | The objective of this consultation is to gather views and information from stakeholders regarding the ongoing ACER study on efficient price formation and easy market entry and participation for new players and smaller actors in electricity markets, developed in accordance with Article 15 of Regulation (EU) 2019/942. Europex welcomes the opportunity to provide input to the process of identifying barriers and developing indicators. We provide below our responses to selected questions in the consultation.
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Categories: Consultation Responses.