CAN Europe Positions

CAN Europe Position on Essential ETS Reforms for post-2020

CAN Europe ETS reform position for post-2020 contains detailed recommendations on the following topics:


​1.     Making the ETS fit for purpose

1.1         Starting point for 2021 should be at actual emission levels
1.2         Permanent cancellation of allowances
1.3         Raising the Linear Reduction Factor 
1.4         Raising the target every five years
1.5         Preserving the domestic overall EU target: no use of international offsets, ETS linking only under certain conditions

2.     Ensuring rapid mitigation action

2.1         Unused allowances not to be used for new entrants
2.2         Allowing alternative policies and measures at national level 
2.3         Maximizing auctioning of allowances

3.     Stopping industry handouts and windfall profits

3.1         Phasing out free pollution permits and moving to 100% auctioning
3.2         Avoiding windfall profits
3.3         Benchmarks
3.4         Limiting the hand-out of free pollution permits to those really at risk
3.5         Indirect costs

4.     Funding Climate Action (not all sections in this chapter have been finalized yet)

4.1         Innovation fund (formally NER 300) 
4.2         Modernization fund
4.3         Article 10c
4.4         Auctioning revenues for EU and international climate action
4.5         Establishing International Climate Action Fund
4.6         Establishing a Just Transition Fund

5.     Ensuring ETS incentivizes only sustainable bioenergy use

6.     Addressing emissions from aviation and shipping

7.     Ensuring road transport reduces emission outside of the ETS

pdf CAN Europe ETS reform position 21-12-2016 (1.07 MB)

Latest Publications

  • Off target: Ranking of EU countries’ ambition and progress in fighting climate change

    The aim of this publication is to examine which EU Member States are willing to increase their climate action and tackle the gap between the goals of the Paris Agreement and current greenhouse gas emission reduction efforts in the EU.
  • Statement of the Coalition for Higher Ambition

    A unique coalition of businesses, associations, investor groups, local and regional authorities, and civil society organisations have called upon EU Heads of State and Government to step up Europe's climate commitments.
  • Briefing: Key priorities for the new EU long term climate strategy

    The Paris Agreement calls upon all its signatories to communicate “long term low greenhouse gas emissions development strategies” by 2020, which is the same deadline for when countries will have to re-submit their short term climate targets (NDCs).
  • Briefing: How NECPs can set Paris in motion in every country

    EU Member States are, through the new ‘Governance of the Energy Union Regulation’, required to develop ten year Integrated National Energy and Climate Plans (NECPs).  With the word ‘integrated’, the NECPs present a new regime in EU Climate and Energy Policy making. The European Union’s credibility in the international climate policy arena depends heavily on its capacity to make a coherent contribution. However, the current EU climate and energy policy regime is not driving transformative change. This biefing paper presents our proposals to improve the current NECPs. Download our briefing here: Briefing Paper: How National Energy and Climate Plans can set Paris in motion in every country (May 2018)
See All: Climate & Energy Targets