S&Ds will push for fine tuning of the Emissions Trading System (ETS)

S&Ds will push for fine tuning of the Emissions Trading System (ETS), Matthias Groote, Market Stability Reserve, fight climate change, COP21 climate negotiations in Paris, research and innovation, intensive-energy industries,

Today Matthias Groote, S&D spokesperson on climate, welcomed the proposal of the European Commission to reform the Emissions Trading System (ETS). The S&D Group had insisted that a plan should be put forward before the summer.

Matthias Groote said:

"It is urgent to update the ETS, we cannot waste one more day. After the approval of a Market Stability Reserve to deal with the surplus allowances in the short term, we must address the reform of the ETS to make it more efficient and able to achieve our goals for emission reduction and also for the transition to a low-carbon economy. It is part of the vision for a competitive Europe.

"The ETS is one of the main pillars of EU climate policy. It is our main instrument to reduce emissions and fight climate change. When finally the rest of the world is waking up to the threats and challenges of climate change – for the earth, for people's health and for the sustainability of the economy – Europe must keep its leadership and propose innovative ways.
 
"Our commitment to strengthen the ETS brings stability to potential investors and also sends a clear message ahead of the COP21 climate negotiations in Paris in December.

"It is not about putting our industry at risk. On the contrary, we should start reducing the number of exceptions – free allowances – granted as carbon leakage provisions. The answer is not granting exceptions, but promoting research and innovation, as well as helping intensive-energy industries to shift to a low carbon production model. We could not only produce cheaper products but also export our know-how."