Bellona Europa’s latest position paper outlines why the EU Emissions Trading System (EU ETS) remains a cornerstone of Europe’s industrial competitiveness, resilience and climate ambition ahead of the European Commission’s upcoming 2026 review.

The paper argues that weakening carbon pricing would undermine investment certainty and slow industrial decarbonisation, while reinforcing the ETS can help reduce fossil fuel dependency, strengthen energy security and drive innovation in low-carbon technologies. It sets out recommendations on free allocation, CBAM compatibility, ETS revenues, the Market Stability Reserve, carbon removals, waste incineration and international carbon markets to ensure the ETS continues to support a competitive and climate-aligned European industry.

Read more in our latest position paper.