EU ETS (Emissions Trading System)
Carbon & ClimateThe EU Emissions Trading System is the world's first and largest cap-and-trade carbon market, covering approximately 40% of EU greenhouse gas emissions. It sets a declining cap on total emissions from covered installations (power, industry, aviation, maritime) and allows trading of emission allowances. The EU ETS price directly links to CBAM certificate pricing. Phase 4 (2021-2030) accelerates cap reduction to achieve 62% emission cuts vs 2005 levels.
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