Ten European Union member states have called on the European Commission to reconsider its planned carbon pricing scheme for transport and heating fuels, setting the stage for a political clash over one of the bloc’s flagship climate policies.
In a joint statement seen by Reuters, Italy, Poland, Bulgaria, Cyprus, the Czech Republic, Estonia, Greece, Hungary, Romania and Slovakia urged Brussels to use its upcoming revision of the EU Emissions Trading System (ETS) to reassess the new carbon pricing mechanism, known as ETS2.
The appeal comes ahead of the European Commission’s proposal on Friday to revise the existing ETS, under which power plants, factories, airlines and shipping companies pay for their carbon dioxide emissions.
The ten countries argue that introducing a new carbon price on transport and heating fuels would place an additional burden on European households during a period of economic and geopolitical uncertainty.
“European citizens should not be facing new climate taxes in current economic and geopolitical circumstances. ETS2 should therefore be addressed directly in the revision and carefully reconsidered,” the joint statement said.
The Commission has already postponed the introduction of ETS2 by one year, delaying its launch until 2028 after concerns from governments that the measure could increase fuel costs for consumers.
Beyond opposing the new carbon pricing scheme, the group is also seeking changes to the existing emissions trading system. Among their proposals is a call for industries to receive additional free carbon permits without broad conditions. The Commission has indicated it prefers to grant extra allowances only to companies that commit to investing in decarbonization projects within Europe.
The growing opposition threatens to complicate negotiations over the EU’s climate agenda, with supporters of ETS2, including Germany and Sweden, arguing the policy is essential to accelerating the transition to cleaner transport and home heating.
Backers also note that revenue generated by the carbon pricing system is intended to help households adopt cleaner technologies, reducing the long-term financial impact on consumers.
While the Commission has maintained that it does not want to revise ETS2 further before its launch, saying businesses need regulatory certainty to prepare, the proposal could still be amended during negotiations between EU member states and the European Parliament.