EU Parliament’s biggest party seeks drastically increased, accelerated MSR sales under proposed RePowerEU changes
The centre-right EPP political group wants to auction €20 billion worth of MSR-held carbon allowances within a single year – rather than the four-year stretch proposed by the European Commission under its RePowerEU initiative, according to legislative amendments submitted this week that could increase bearish pressures on the market.
Read MoreBrussels to propose mandatory electricity curbs, contributions from energy firm profits, and cap on Russian gas -von der Leyen
European Commission President Ursula von der Leyen announced Wednesday that Brussels is planning a set of measures to shield vulnerable consumers and businesses, with the emergency package featuring a mandatory target for reducing electricity use during peak hours, the introduction of a windfall tax on generators using other sources than gas and a cap on gas flows from Moscow.
Read MoreFrontloading EU carbon sales a ‘win-win’ amid crisis, says ETS architect Delbeke
The EU should avert further hikes in its ETS by frontloading carbon allowance auction sales rather than capping prices at a time of unprecedented turmoil in the energy markets, one of the founding fathers of the bloc’s carbon market has told Carbon Pulse.
Read MorePREVIEW: EU ministers to rule on emergency interventions to stave off energy crisis
Energy ministers will meet later this week in a scramble to agree on a rapid fix to soaring energy prices, when options on the table will include establishing price caps, suspending power derivatives markets, taxing windfall profits by clean energy firms and fast-tracking the sale of EU ETS units held in the MSR.
Read MoreEU sees power demand curbs as key to market intervention – leaked non-paper
Brussels is seeking to rein in soaring electricity prices but it is yet to decide how without hitting legal hurdles or generating perverse effects such as increased power and gas demand, which could send prices further higher and worsen the bloc’s energy security outlook as a result.
Read MoreBrussels plans to revamp security of gas supply regulation to shield heavy industry
The European Commission is considering additional measures to help shield the bloc’s heavy industry from soaring energy prices, a senior official told parliamentarians on Thursday, admitting that regulation is falling short of providing the needed level of support to energy-intensive manufacturers.
Read MoreEU ETS reform talks pushed to October, MSR sale idea faces softer resistance
Inter-institutional talks on EU carbon market reforms are due to resume in earnest only in October, several key lawmakers told Carbon Pulse this week, making it virtually impossible to meet an initial goal to agree the mammoth Fit for 55 climate policy package in time for this year’s UN climate talks.
Read MoreEU’s von der Leyen snubs Poland’s calls for an ETS price freeze
European Commission President Ursula von der Leyen has shrugged off calls by Poland to freeze carbon allowance prices at €30 as a way to help the bloc’s industry cope with soaring gas and power prices.
Read MoreCalls for EU ETS intervention grow louder as cost-of-living crisis deepens
Calls for a freeze of the EU ETS have grown louder as European leaders scramble to tackle soaring gas and power prices while climate policies take a temporary backseat, with Poland blaming the bloc’s carbon market for worsening inflation and exacerbating energy poverty.
Read MoreOil ban costs Italy €190 million under 24-year-old energy supply treaty
Italy will have to pay as much as €190 million plus interest to a British oil company for obstructing an offshore project back in 2015, a behind-closed-door trial based on the Energy Charter Treaty (ECT) ruled on Wednesday.
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