Solar Heat Europe has joined 76 companies, industry associations and civil society organisations in co-signing an open letter calling for an ambitious and timely implementation of the EU’s new Emissions Tarding System for buildings and road transport (ETS2).
ETS2 is a cornerstone of Europe’s strategy to strengthen industrial competitiveness and accelerate investment in clean technologies to decarbonise small and medium-sized industries, buildings and road transport, helping the EU meet its 2030 and 2050 climate targets.
However, recent discussions about postponing the launch of ETS2 or revising key elements of the instrument risk significantly weakening its effectiveness and undermining the regulatory stability needed by businesses and households to make long-term investment decisions. Such uncertainty could slow down the deployment of clean technologies and delay the transition to a more sustainable and resilient energy system. Moreover, the one-year delay recently adopted is estimated to cost Member States around €50 billion in lost auctioning revenues.
In this letter, the signatories urge the European Commission, the European Parliament and Member States to:
- Operationalise ETS2 in 2028, with no further delays or increased carbon budget
- Implement strong complementary climate, social and fiscal policies at national level to reduce the demand for emission allowances, facilitate investments in clean solutions and support lower-income households during the transition
- Ensure broad transparency and public participation in the design and implementation of national ETS2 investment plans
A robust ETS2 framework will be essential to unlock investments in clean heating and cooling solutions, including solar thermal, and to ensure that Europe remains on track to achieve its 2030 and 2050 climate objectives.