Officials from nine member states, including the UK, have made a joint statement setting out what they hope to achieve and clear timeframe.
It includes:
• Calls for national governments in the Council and MEPs in the Parliament to come to a resolution to backloading proposals by July this year at the latest
• Calls for the European Commission to produce a legislative proposal to deliver proper structural reform to the EU ETS by the end of this year at the latest
• Clarification on the key arguments and myths over the potential costs and risks of the backloading proposal that were communicated to MEPs in the run up to the European Parliament’s vote in April
Concerns over the operation of the ETS have arisen due to the low carbon price forced by the supply of credits currently outstripping demand. Unless reform is carried out, EU ministers are worried that the scheme’s credibility will be undermined as investors are not incentivised to invest in a low carbon economy.