EU leader, 'Commission evaluate the impact of the Ets2 system'

The European Council invites the EU Commission to update the assessment of all the impacts of ETS2, in particular as regards its structure and its safeguard measures. This is what we read in the text of the conclusions of the EU Summit adopted after a long clash between the 27 on the dossier. The text "reiterates the need to urgently ensure a well-functioning, transparent and predictable carbon market, to reduce the volatility of the carbon price and to mitigate its impact on electricity prices, while preserving the essential role of the ETS". Finally, a reference to the Ets2 system was included in the conclusions at the request of Italy and the Visegrad group countries, although a specific reference to the need to postpone the carbon market for transport and buildings was not included. In the chapter dedicated to energy of the conclusions, we further read that "in the context of the ongoing review of the ETS system and in order to support European industrial competitiveness" the EU Summit "reaffirms the need to urgently guarantee a well-functioning, transparent and predictable carbon market, to effectively protect against carbon leakage, to reduce the volatility of the carbon price and to mitigate its impact on electricity prices, while preserving the essential role of the ETS in the climate and energy transition through a market-based price signal for carbon emissions that stimulates investment and innovation."