Market barriers may weaken EU ETS price signal, study finds

Published 12:33 on May 27, 2026 / Last updated at 12:33 on May 27, 2026 / / CO2 Management (CCUS), EMEA (Compliance Markets & Taxes, Europe), Net Zero Transition (Industrial Decarbonisation)

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Short planning horizons among EU ETS participants and industrial investors, alongside limits on allowance banking and policy risk, could weaken carbon price signals, delay low-carbon investment, and push steelmakers towards less efficient transition technologies, a recent study has found.
Short planning horizons among EU ETS participants and industrial investors, alongside limits on allowance banking and policy risk, could weaken carbon price signals, delay low-carbon investment, and push steelmakers towards less efficient transition technologies, a recent study has found.


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