Response to the public consultation on EU proposal ETS revision

Carbon Market Watch argues that the European Commission's EU ETS revision proposal is inadequate, specifically citing an insufficient emission reduction target and a failure to implement the polluter pays principle through the continued use of free emission allowances. The organization proposes increasing the 2030 emission reduction target to 65% or 70%, reforming the Market Stability Reserve, phasing out free allocations, and expanding the scope of the ETS to include municipal solid waste incineration and full shipping emissions.

• The European Commission's proposed EU-wide 55% emission reduction target is considered insufficient for the goals of the Paris Agreement and the EU Green Deal; Carbon Market Watch suggests it be increased to 65%, or that the Linear Reduction Factor and cap reduction result in a 70% decrease by 2030.
• The current proposal fails to apply the polluter pays principle because free emission allowances for large polluting industries create market failures and windfall profits.
• Specific technical recommendations for the ETS revision include increasing the Market Stability Reserve intake rate to 36% from 2024, including municipal solid waste incineration plants in Annex I, and requiring shipping companies to surrender allowances for 100% of verified emissions starting in 2023.

APA

Carbon Market Watch (2021). Response to the public consultation on EU proposal ETS revision. https://carbonmarketwatch.org/publications/cmw-response-to-the-public-consultation-on-eu-proposal-ets-revision/

Chicago

Carbon Market Watch. Response to the public consultation on EU proposal ETS revision. 2021. https://carbonmarketwatch.org/publications/cmw-response-to-the-public-consultation-on-eu-proposal-ets-revision/.

Wikipedia

{{cite press release |author=Carbon Market Watch |title=Response to the public consultation on EU proposal ETS revision |date=8 November 2021 |url=https://carbonmarketwatch.org/publications/cmw-response-to-the-public-consultation-on-eu-proposal-ets-revision/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{carbonmarketwatch2021response, author = {{Carbon Market Watch}}, title = {{Response to the public consultation on EU proposal ETS revision}}, publisher = {Carbon Market Watch}, year = {2021}, month = nov, url = {https://carbonmarketwatch.org/publications/cmw-response-to-the-public-consultation-on-eu-proposal-ets-revision/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }