Public Consultation: EU Emissions Trading System (EU ETS) revision

EuroACE replied to the European Commission’s public consultation on the revision of the EU Emissions Trading System (ETS) Directive, which looked at a possible extension of emissions trading to buildings and road transport.

A strong regulatory framework is needed to address the main barriers to increasing the rate and depth of energy renovation in the EU, and it must include independent advice, technical and project development assistance.

Putting a tax on heating fuels will send a price signal, but will not automatically make energy renovation financially more attractive nor technically easier, and will have an adverse impact on the most vulnerable consumers. Extending the ETS to emissions from buildings entails the risk of diverting the attention of Member States from designing and implementing a strong regulatory framework for the energy renovation of their buildings.

If the ETS is extended to emissions from buildings, it should be done in parallel with a strengthening of the ambition and measures dedicated to building renovation, such as clear regulatory milestones for existing buildings (minimum energy performance requirements) facilitated with subsidies and fiscal measures.