As work gets back in full flow, we are happy to send you this autumn’s first newsletter!

This month, the European Commission outlined its priorities for the future of European industry, which include digitisation and decarbonisation. However, as emissions from Europe’s heavy industry have barely gone down with current policies, an industrial decarbonisation strategy is needed that provides strategic guidance on how to achieve emissions reductions in sectors such as steel, chemicals, and cement.

Carbon Market Watch was in Lisbon attending the tenth anniversary conference of the International Carbon Action Partnership (ICAP), which brings together policy makers working on emissions trading schemes. Those present highlighted the importance of implementing the Paris Agreement and pledged to strengthen existing carbon markets.

In a welcome development, the European Parliament has voted to limit the exclusion of international flights from Europe’s carbon market to January 2021, pending a review of the global offsetting scheme for aviation. At the same time, a new study warns that offsets from the UN’s Clean Development Mechanism are not fit to be used to meet the Paris climate goals, adding momentum to the calls to move beyond offsetting.