Carbon Market Watch Newsletter – February 2017

Editorial

This month the European Parliament adopted its position on the EU Emissions Trading System reform. Earlier calls from nearly 100 000 citizens across Europe failed to motivate lawmakers into taking bolder steps to strengthen the EU’s key climate law. MEPs voted against steeper emission cuts and in favour of more free pollution permits. However, in a welcome move, they decided to include ships under the EU’s carbon market in the absence of global action on shipping emissions, and voted for strengthened rules on aviation.

All eyes are on Germany this year as the country hosts both the meeting of the most powerful countries in the world, the G20, and the 23rd UN climate change conference along with Fiji. The G20 have long been talking about ending fossil fuel subsidies, but with little action. Putting a price on carbon, on the other hand, has proven a popular tool to rein in emissions, with many of the G20 countries having such schemes. An end to subsidies, and a strong price signal could be powerful tools to fight against climate change. Will Chancellor Merkel manage to convince her peers to finally move on such climate action?

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Carbon Market Watch