Market stability reserve: Council backs measures for a smoother launch of ETS2

Press release

Today, the Council (at EU ambassadors level) adopted its position on a targeted amendment of the market stability reserve for the new emissions trading system for buildings, road transport and other sectors (ETS2). The amendment aims to ensure a better price stability and predictability for a smoother start of ETS2 in 2028. The amendment does not change the overall design of the market stability reserve.

The market stability reserve helps address supply and demand imbalances in ETS2. It automatically adjusts the number of emission allowances available when prices fluctuate.

"The new emissions trading system should begin on firm ground. The Council’s position on adjusting the market stability reserve sends a clear signal that the EU is committed to a stable and predictable carbon market."
Maria Panayiotou
Minister of Agriculture, Rural Development and Environment of the Republic of Cyprus

Find more information on the official website of the Council of the EU.

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