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Brief assessment of possible integration options; discussion paper
Autor:innen
Herausgeber
Quelle
Schlagwörter
Übereinkommen von Paris, Europäischer Emissionshandel
Förderkennzeichen (FKZ)
37K2 44 109 0
Forschungskennzahl
44
Zitation
Montrone, L., Leukers, J., Jha, S., Scholz, D., Wehrl, A., & McDonald, H. (2026). Article 6 credits in the EU ETS 1 (Deutschland. Umweltbundesamt, ed.). https://doi.org/10.60810/openumwelt-8580
Zusammenfassung englisch
Following the amendment of the European Climate Law, the European Union (EU) may use a limited volume of Article 6 credits to meet its 2040 climate target. If a share of these credits enters the EU Emissions Trading System 1 (EU ETS 1), this paper argues that indirect integration through an intermediary mechanism would be preferable to direct use by regulated entities. It then assesses four indirect integration options based on supply control, decarbonization incentives, administrative complexity, and cost savings. The analysis highlights key trade-offs between options, identifies safeguards to mitigate risks, and finds that a cap-neutral approach with targeted cost reductions stands as a promising candidate for further exploration.
Übersetzungen
Verbundene Publikation
Options for implementing limits for CDR integrated into the EU ETS 1
(2026)
In the context of the ETS review starting in July 2026, the European Commission is expected to propose the integration of permanent carbon dioxide removals (CDR) into the EU Emissions Trading System 1. While beneficial, this integration also raises concerns due to several risks including mitigation deterrence, market uncertainty, and sustainability impacts. This report identifies and briefly assesses nine approaches to limiting CDR use within the EU ETS 1 to address these risks. The findings reveal key trade-offs, showing that limit suitability depends on policy objectives and integration models. Finally, the report outlines possible policy combinations and future research priorities.