Jennifer Baker is joined by Greens spokesperson Richard More O’Ferrall to talk about the planned reform of the EU’s Emissions Trading Scheme (ETS).
According to the Greens, the current surplus of permits has led to a low carbon price which results in firms “lacking incentives to take proactive steps to reduce their emissions.” Last week, MEPs voted in favour of creating a carbon market reserve. This Market Stability Reserve needs to come into effect as quickly as possible according to the Greens. However, many fear that the 2019 start date may be pushed back even further at the Environment Council on Friday 6 March, committing the ETS to “another 7 years of complete malfunctioning.”
EU ETS: pushing back 2019 start date of Market Stability Reserve means “another 7 years of complete malfunctioning” tweet