Leaked Clean Industrial Deal: ETS, CBAM, and Carbon Removals in the Spotlight

A draft of the Clean Industrial Deal was leaked ahead of next week’s official release date (26 February). The document maps out the broad strokes of existing and forthcoming legislation that the European Commission intends to use to revitalize and decarbonise European industry. The EU ETS plays a small but active role in hitting some of the document’s targets. The Innovation Fund will be the source for a new decarbonisation and electrification investment facility, CBAM will be simplified and reviewed for improvements, and the EU ETS is targeted as a potential demand center for permanent carbon removals.