EU ETS 2 allowance price for 2027 approaches EUR 80

The price of an emissions allowance in the EU ETS 2 system, which is also set to cover the buildings and transport sectors, is approaching EUR 80/t CO₂ for the DEC27 contract. For 2028 and the DEC28 product, it is already above that threshold. The allowance price is even higher than in the first EU ETS system. The Czech Republic is now seeking to push through changes to the EU ETS2 system that would mitigate the impact on end consumers.

The introduction of EU ETS 2 was approved in December 2022 during the Czech presidency of the Council of the EU and was at the time regarded by Czech representatives as a major success of the Czech presidency.

"From the outset, we wanted to finalise a balanced agreement on changes to the emissions trading system and the Social Climate Fund during our presidency. The fact that we have succeeded is a huge achievement. It will allow us to meet climate targets in key economic sectors while ensuring that the most vulnerable households and small businesses are effectively supported in the transition to the new climate policy," said then Environment Minister Marian Jurečka (KDU-ČSL) on reaching the agreement in December 2022.