Reform of the EU ETS should be top priority

Reform of the EU ETS should be top priority

April 13, 2015

Partner Sigurd Næss-Schmidt presented Copenhagen Economics’ results on reforming the EU ETS at the Finnish Energy Day Conference in Helsinki.


The main conclusion was that we need to think climate policy in a package – not in isolated decisions:

  • It is obvious that ETS prices are far too low to drive any meaningful climate policy. This hinders long term investments
  • There is a risk of blockage if decisions are taken step wise, as energy intensive industry will not accept tougher ETS without clear regard for treating the risk of leakage consistently
  • Climate policy is taking place in many different ministries and DG’s. Stronger coordination is needed, e.g. in dealing with carbon leakage.
  • The consultation on a 2030 climate policy framework is the perfect time for at rethink

Find the presentation here Find Copenhagen Economics’ recent study for Norden “Efficient strategy to support renewable energy” here Find Copenhagen Economics’ study for Fores “Reform of the EU ETS system” here

For further information please contact Partner Sigurd Næss-Schmidt