The decision taken on Tuesday April 17th, is yet another hit to an effective fight against climate change. On this day, the European Parliament, decided to reject the proposal of backloading 900 billion emission allowances from the ETS. Backloading, although agreeably not the best method to counteract the oversupply of allowances in the ETS, was a short-term solution to help raise the price of carbon until a stronger reform were enacted. However, as predicted by experts, immediately after the vote, the price of emission allowances decreased reaching the new record low of €2.63. Analysts predict that the price will continue to fall in the upcoming months.
The ETS was meant to serve as a guide to help the European Union achieve its emission targets. For the year 2020, the EU had committed to cut its emissions to 20% below 1990 levels. For 2050, EU leaders certified the objective of reducing Europe’s greenhouse gas emissions by 80-95% compared to 1990 levels. With the recent vote, it is hard to predict if the EU will achieve its targets at all. Further, the decision has tattered Europe’s reputation as a global leader in the fight against climate change.
TheCompensators* believe that our work has become more important than ever. Since the European Parliament has not agreed in a reform, we believe that TheCompensators* and all our supporters need to take serious action. It is our job to reduce the number of pollution rights in the ETS to not only reduce emissions of green house gases, but also to give renewable energy a chance to become price competitive. Given the most recent events, the momentum towards a greener and sustainable future must be renewed and strengthened.
The ever-falling carbon price must be halted in order to keep the EU on track with its emission targets. Struck with disappointment due to the recent decisions, TheCompensators* want to assure our supporters that we will continue campaigning in favor of a zero-carbon society that will help avoid dangerous climate change. The world is in grave danger and this affects each and every single one of us. Together, with the help of our members and supporters we hope to avert a dreadful future.
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