EU x carbon market = (Collapse)2.
The Guardian reports,
European politicians are expected on Tuesday to vote through an amendment that could pave the way for direct intervention in the EU carbon market, which has sunk to record lows.
Businesses and environmentalists have heaped pressure on the European Commission to bolster the EU Emissions Trading Scheme. The bloc’s flagship tool for cutting carbon emissions greatly suffered under the burden of a sovereign debt crisis and oversupply, which the amendment would seek to address by reducing availability of allowances.
The current carbon price of less than €7 ($9) per tonne is regarded as too low to encourage investment in green energy. For that, prices would need to reach somewhere between €20 and €50.
“We have not voted yet, but I expect broad, cross-party support for the compromise amendment,” Dutch Green MEP Bas Eickhout. “A broad majority in the parliament is really concerned about what’s going on with the carbon price.”
The vote is not binding. If passed, it would require a further vote next year and debate by member state governments…