EU Emissions Reform Promises More Deindustrialization and Poverty

The European Parliament passed a reform of the European Emissions Trading System (EU ETS) market on April 18, which will increase the price of CO₂. The vote ratifies an agreement reached late last year among negotiators for the member states and the Parliament. “Under the reform, factories will lose the free CO₂ allowances they currently receive until 2034. Likewise, shipping emissions will be integrated into the CO₂ market from 2024”, Euractiv reports.

In other words, the offer of the EU’s CO2 allowances (EUA) will be curbed, while the demand will increase (through extension to the shipping sector). Less offer + more demand means a price rise, i.e. taxation on production will increase. Since the ETS market has become a market for speculation — you can buy or sell CO2 which has not yet been produced – the price rise will not be linear, but exponential.

This is similar to what occurred to the energy market in 2022, when the spike on gas prices on the world market began. By increasing the CO2 price, the energy demand shifted from coal to gas – a larger demand finding a smaller offer. The situation was aggravated by weeks of lull in winds in the North Sea, bringing Germany’s windparks to a stillstand, and thus creating an even larger demand for gas. It is documented that speculative funds poured massive investments in gas futures, causing prices to skyrocket.

Ignoring the lessons from the past, the European Commission is repeating the same mistakes. Is this deliberate? Is the intention to destroy EU economies?

In addition to the above measures, the EU plans a tax on CO2-intensive products imported from outside the union. Deputy Commission chairman Frans Timmermans, the man in charge of the EU transition policy, stated that “To tackle the climate crisis, emissions must fall globally. When energy-intensive goods come to the EU, we will make sure that CO₂ emissions are paid for.”

According to Euractiv, as part of the same package, “the Parliament also voted on plans to introduce a new EU market for CO₂ emissions from 2027. This will cover emissions from fuels used in cars and buildings.”

The Commission itself admits that this will make gasoline more expensive, but says it will not go up more than 10 cents. A €86.7 billion fund will be introduced to help households affected by the costs – which is a ridiculous figure for an EU of 447 million people.

In sum, Brussels is implementing plans for the deindustrialization of Europe and the impoverishment of its population – all this ostensibly to fight “climate change”. By so doing, they’re ignoring the call from over 1000 world scientists, who insist that there is no climate emergency and recommend taking the debate out of TV talk shows, and back to universities and academic centers.