Business & Investment

EU Environment Minister sees why: A comprehensive emissions trading system for roads has been agreed

The EU Minister of the Environment, who met at the Council of the European Union, voted on the Building and Road Emissions Trading System (ETS II) for a reason, incorporating important road transport industry recommendations.

After a dramatic European Parliament plenary session vote last week that adopted an unsuitable version of ETS II, IRU was relieved to see that a more realistic and wise approach was adopted by EU member states.

IRUEU Advocacy Director Raluca Marian “We include all road users in the scope of ETS II and set a start date in 2028, which is more realistic than both the Parliamentary version and the original Commission’s proposal, the EU Environment Minister’s decision. The Council also understood and acted on our concerns about multiple taxation and billing counter productivity. “

All-inclusive ETSII

In contrast to the European Parliament, the Board supports comprehensive ETS that does not distinguish between individual and commercial users.

As IRU has repeatedly said, this is The only approach accepted by ETSII.. ETS II, which includes only commercial vehicles, sends a powerful counterproductive signal to EU citizens and businesses against the important roles of public transport, mass transit and efficient goods transportation in road greening.

Moreover, in practice, it is nearly impossible to implement the distinction between private and commercial transportation by pump, especially for light vehicles, making the entire system ineffective.

More realistic start date

Compared to 2025 and 2026, which were first proposed by the European Commission, or 2024, which is the start date endorsed by the European Parliament, the Board’s proposal to start ETS II in 2028 is quite realistic.

The fixed launch of 2028 may not yet be ideal. IRU urges the phased adoption of ETS II as technology and charging infrastructure develop. EU member states’ agreement on the timing of ETS II So ambitious deployment of alternative fuel infrastructure..

Smart taxation, not multiple taxation

The IRU appreciates the council’s approach, which takes into account multiple tax aspects. More precisely, the Council’s version of ETS II allows suppliers to be exempt from waiver of allowances until the end of 2030 if member states are already subject to carbon taxes at the national level.

“It’s nice to see Member States assessing the potential negative effects of multiple taxes and claims. The European Parliament is usually very much for the industry because Member States focus on budgets. We are trying to avoid harmful and unproductive approaches, etc. This is more evidence that the European Parliament has advocated ETS II, which is not suitable for careless purposes. ”

“But there is still a lack of allocation of ETS II revenue at the Member State level to ensure that the revenue generated from ETS is reinvested in the road transport sector.” IRUEU Advocacy Director Raluca Marian..

As both the council and parliamentary positions are ready for negotiations, the commercial road transport sector expects the council’s more practical approach to outweigh the weak compromises from parliament.

The IRU hopes that MPs will support the reason and choose a pragmatic and wise proposal from the Council to achieve optimal results for decarbonization of EU transport.

EU Environment Minister sees why: A comprehensive emissions trading system for roads has been agreed EU Environment Minister sees why: A comprehensive emissions trading system for roads has been agreed

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