Updating the EU Emissions Trading System

Europex welcomes the opportunity to participate in the Commission’s public consultation to update the EU Emission Trading System (EU ETS) and align it with the increased decarbonisation targets. The EU ETS is Europe’s most successful policy to combat climate change and the key carbon pricing instrument to reduce greenhouse gas (GHG) emissions at least cost. To this end, it is important to ensure that this revision strengthens the role of the EU ETS and continues to commit to strong market principles that safeguard the undistorted price signals, efficiency, transparency and liquidity of the emissions market.

In the attachment below, we elaborate on the fundamental principles that should underpin the EU ETS revision, as identified in the public consultation. For our full response, please see Annex I for our answers to the consultation questionnaire.