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Carbon Market Watch Newsletter – February 2018


Europe’s carbon market reform for the next decade is a done deal, but while the EU’s pollution price has increased in recent weeks, prices are well below what’s needed to reach the Paris climate goals. Meaningful and rising carbon floor prices could provide the necessary push to phase out coal and encourage innovation.

The Organisation for Economic Co-operation and Development (OECD) also looked at pollution prices in major economies. The conclusion: taxes are far below the cost from the use of fossil fuels on climate and the environment, and governments need to do more to make polluters pay.

The aviation sector is currently preparing the rules for its future offsetting scheme (CORSIA), with industry pushing for speedy adoption of the rulebook, and even progressive countries seeming reluctant to strengthen it. However, there are various pitfalls that will have to be avoided if the scheme is to have any positive environmental impact.

And finally, how to guarantee a prosperous, climate friendly European industrial base that provides jobs and brings societal benefits? Find out here.

Happy Reading
Carbon Market Watch

– Floor prices are necessary to support weak EU carbon market

– OECD: Governments must boost carbon pricing to address climate change

Lessons learned should guide the work on aviation offsetting scheme

 European heavy industry can no longer dodge climate action

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