News Detail

COMMITTEES
06.10.2025

New EU study preparing the launch of ETS2

The European Commission has released a new study to help Member States prepare for the launch of the EU Emissions Trading System for buildings, road transport, and small industry (ETS2), which will take full effect in 2027. The study highlights 21 case studies from across the EU, showcasing practical measures that can accelerate early decarbonisation. These were selected for their cost-effectiveness, scalability, replicability, and near-term impact, with particular attention to the benefits and opportunities they create for low- and middle-income households. It can be downloaded here

Created as part of the 2023 revision of the EU ETS Directive, ETS2 will apply to CO₂ emissions from fossil fuel use in these sectors, which have so far proven difficult to decarbonise. Like the existing system, it is designed to drive emissions reductions through carbon pricing. A dedicated Social Climate Fund will channel more than €87 billion to support vulnerable households and micro-enterprises, while the remaining revenues must be used by Member States for climate action. More information is available on EC DG CLIMA website here.