The Market Stability Reserve: time to strengthen the EU ETS and ensure competitiveness

13Jan
2015
Dinner debate in Strasbourg
  • Miguel Arias Cañete, Commissioner for Climate Action & Energy
  • Christopher Delbrück, CEO E.ON Global Commodities SE
  • Simone Mori, Executive Vice President of Enel

 

The MSR proposal will be high on the agenda at the beginning of 2015. In this context, the EEF was honoured to welcome Miguel Arias Cañete, Climate Action & Energy Commissioner, for an exceptional intervention on behalf of the European Commission. The event provided Members of the European Parliament with a unique opportunity to address the issue and discuss all related aspects. 

Since 2009 the EU ETS, the cornerstone of the EU’s strategy for fighting climate change, has experienced a growing surplus of allowances and international credits compared to actual emissions which has significantly weakened the carbon price signal. Structural changes to the EU ETS are now needed. In this context, the European Commission has put forward a proposal for stabilizing mechanism to be introduced in the form of a Market Stability Reserve (MSR).  The reserve mechanism would not only address the growing number of surplus of allowances but would also improve the system’s overall resilience to major shocks by creating the necessary flexibility on the supply side.

Following the intervention of the Climate Action and Energy Commissioner and presentations by two senior industry representatives, participants were given a chance to discuss openly with the keynote speakers. Miguel Arias Cañete addressed concerns (carbon leakage, loss of competitiveness…) expressed by representatives from various sectors, from the chemical industry to the steel-making industry. Giving a broader perspective to the debate, the Commissioner also emphasised the issue of energy prices in the EU.

It was a pleasure to welcome our members to this event.

Participation is open to all MEPs interested in energy issues. Please contact the EEF if you are an MEP and you wish to take part in our debates.

 All EEF discussions are held under Chatham House Rule to provide anonymity to speakers and to encourage openness and sharing of information during the debate.

 The EEF is a membership-driven organisation. We are pleased to welcome non-member companies eligible for membership to two of our events. After, we reserve the right to request membership for further attendance at events.