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Ceasing Invalidation of Allowances in the Market Stability Reserve

Summary

This report discusses stopping the invalidation of carbon allowances within the EU's Market Stability Reserve. It suggests that a final decision should wait for a broader review of the emissions trading system.
10 30.06.2026
Other
economy
environment
european union

Key points

  • A proposal has been made to change how carbon allowances are handled in the EU market.
  • The specific goal is to stop the invalidation of allowances within the Market Stability Reserve.
  • The rapporteur has adopted the Commission's proposal as a procedural step to keep the legislative process moving.
  • A final decision is expected to be linked to the broader review of the EU Emissions Trading System, anticipated in mid-2026.
Documents (PDFs)
DRAFT REPORT on the proposal for a decision of the European Parliament and of the Council amending Decision (EU) 2015/1814 as regards ceasing the invalidation of allowances in the market stability reserve
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