After the US president has announced that the USA will not be part of the climate agreement any more, the French president Emmanuel Macron has offered an idea how the EU could find a solution for climate change on its own. He proposes to raise the price of emission certificates to roughly 30 € – that would be six times the current price. Et voilà, that’s exactly what we always say: The EU Emissions Trading System could be fixed.
According to industry research firm Bloomberg New Energy Finance (BNEF), Macron has reached out to German chancellor Angela Merkel with his proposal. Apparently Merkel has not officially responded yet due to the elections in September. BNEF calls Macron’s idea a “hard sell”, after all, a lot of powerful German energy companies depend on coal and lignite. They predict job loss as a consequence of more expensive emissions.