Carbon Trust points to 2009 as turning point for EU Emissions Trading Scheme
June 11th 2008

Amendments to the EU emissions trading scheme (EU ETS) proposed by the European Commission are a big step forward and should be adopted into EU legislation by the spring of 2009. This, says a report published by the Carbon Trust, would increase the chances of securing a worldwide climate deal and boost business and investor confidence.

The report, “Cutting carbon in Europe: the 2020 package and outlook for the EU ETS”, analyses the climate change package proposed by the European Commission earlier this year and its implications for business. It concludes that the proposals are a bold and significant step in the right direction that correct weaknesses in the current scheme and provide the level of certainty that business and investors have been calling for. In order to increase the chances of reaching a global climate deal in Copenhagen in December 2009, the amendments to the EU ETS should now be adopted before the European Parliament’s recess in spring 2009.

Michael Grubb, chief economist at The Carbon Trust said:

“It’s an intelligent, well-crafted package of proposals. The ability of the EU to adopt these into legislation quickly is critical in maintaining the momentum for a global climate change deal. By making this commitment as early as possible, the EU has the opportunity to send a strong signal to the new US administration and have a powerful impact on the actions of the global community at Copenhagen. Businesses and investors can also begin to act in the knowledge that they will be operating in a carbon-constrained future.”

Visit www.carbontrust.co.uk for more information and to download the report

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