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What will be the cost of including transport and buildings in the EU ETS?


What will be the cost of including transport and buildings in the EU ETS?


The EU Emissions Trading System (ETS) has proven to be an effective tool in driving emissions reductions. Installations covered by the ETS reduced emissions by about 35% between 2005 and 2019.

The Commission has recently presented an impact-assessed plan to increase the EU’s net emissions reductions target to at least 55% by 2030. By June 2021, the Commission plans to present legislative proposals to implement the new target, including revising and extending the EU ETS to include buildings and transport. The two sectors might be included directly in the current EU ETS or a separate ETS might be established for them, with a possible incorporation into the EU ETS after the alignment of prices.

However, some stakeholders have raised concerns. A recent study by Cambridge Econometrics found that extending the ETS to include transport and buildings would have little additional impact on emissions from these sectors, but would increase living costs for poorer households.

A report to be published by the Polish Economic Institute, ERCST and Cambridge Econometrics concludes that covering buildings and transport by the current EU ETS would involve the necessity to significantly increase the price if the system is to be effective in stimulating changes in the new sectors.

It has also been pointed out that road transport emissions are already covered by more targeted schemes, like emission standards for cars.

Join this EURACTIV Virtual Conference to discuss the logic, implications, and cost of including transport and buildings in the EU ETS.

Supported by:





Pascal Canfin, MEP, Chair of ENVI, European Parliament


Adam Guibourgé-Czetwertynski, Undersecretary of State, Poland
Andrei Marcu, Founder and Executive Director, ERCST
Sofie Defour, Climate Manager, Transport & Environment
Piotr Arak, Director, Polish Economic Institute


Frédéric Simon, Journalist, EURACTIV


09:30 – 09:35 Welcome
09:35 – 09:50 Keynote speech by MEP Pascal Canfin
9:50 - 9:55 Presentation of the Polish Economic Institute report by Piotr Arak
09:55 - 10:05 Panellist statements
10:05 – 10:40 Discussion and Q&A
10:40 – 10:45 Closing statements


Matea Krivanek

Related article

Planned EU carbon market reform is ‘politically suicidal’, warns French MEP

Planned EU carbon market reform is ‘politically suicidal’, warns French MEP

Plans to extend the EU's carbon market to transport and buildings would be "politically suicidal" and risk triggering social unrest similar to the 2018 Yellow Vests movement in France, warned French MEP Pascal Canfin last week. EURACTIV France reports.