Knives are out with ETS on the menu

Europe’s emission trading system came under increasingly strong attacks from heavy industry this week. Then, on Wednesday, German Chancellor Friedrich Merz voiced support for a ‘delay’ if ETS1. The European Commission stood up in its defence, and so did French President on Thursday, when Merz also walked back on his earlier statements. Yet the support expressed by member state leaders is far from overwhelming. For champions of ETS, this was arguably the most horrible week ever, at least since the transition from the first pilot phase to the second trading period in 2008.