“The proposed changes extend the ETS to additional sectors, prolong its operation for decades to come, and make financial support for businesses conditional on meeting strict decarbonization investment requirements. This means more regulations and even greater uncertainty for industry,” said Anna Zalewska, an MEP from Law and Justice (PiS), commenting on the changes to the EU Emissions Trading System (ETS) announced today by the European Commission. The proposals were also criticized by Przemysław Czarnek, deputy leader of Law and Justice (PiS). “Tusk has once again been outplayed in Brussels,” he said.
On Friday, the European Commission unveiled a far-reaching reform of the European Union’s Emissions Trading System (ETS). One of its key proposals would require member states to allocate at least half of the revenue generated from emissions allowance auctions to decarbonization-related investments. Currently, only around 5 percent of those funds are used for that purpose.
The ETS, which has been in operation since 2005, has generated more than €260 billion in revenue. Most of the proceeds have gone directly to the budgets of EU member states.
Brussels also proposes slowing the pace at which emissions allowances are reduced. Beginning in 2031, the annual reduction factor would decrease from 4.3 percent to 3.1 percent, and from 2036 onward it would fall further to 1.7 percent. The Commission says it wants to preserve the “polluter pays” principle while strengthening financial incentives for companies that reduce emissions.
“More Uncertainty”
The proposed reforms drew strong criticism from MEPs representing Law and Justice (PiS). According to Anna Zalewska, “Instead of learning from Europe’s declining competitiveness and the steadily rising costs imposed on European industry, Ursula von der Leyen is proposing to expand the system even further and introduce more ‘green’ obligations, stubbornly pursuing a 90 percent reduction in CO2 emissions within just 14 years.”
“The proposed changes extend the ETS to additional sectors, prolong its operation for decades to come, and make financial support for businesses conditional on meeting strict decarbonization investment requirements. This means more regulations and even greater uncertainty for industry,” she said.
She added that “Europe needs competitiveness, affordable energy, and a strong industrial base – not more costs imposed by Brussels.” Zalewska stressed that “The transition must be rational and based on economic realities, not ideology.”
Meanwhile, according to Beata Szydło, the proposed changes “bring virtually nothing new.” She argued that “This is still the same policy that is devastating the European economy.”
“Worst of all, the European Commission has proposed nothing regarding changes to ETS2. ETS2 will hit the wallets of millions of Europeans – especially Poles – the hardest,” she emphasized.
“Tusk Has Once Again Been Outplayed”
The proposals were also commented on by Law and Justice (PiS)’s candidate for prime minister, Przemysław Czarnek. In his view, Prime Minister Donald Tusk “has once again been outplayed in Brussels.”
“He promised meaningful changes to the ETS that would lower electricity bills. The result? The European Commission is proposing only cosmetic adjustments, while the system will continue to drive up energy prices, weaken Polish industry, and drain the wallets of Polish citizens,” Czarnek said.
He concluded: “We do not need a softer ETS. We need to leave the ETS altogether. My draft legislation is ready. It is time to end this experiment, which is destroying the Polish economy and condemning Poles to ever-higher electricity bills.”