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ETS2: politics must not delay decarbonisation

ETS2: politics must not delay decarbonisation

05 Nov 2025

Photo: European Council

EU governments’ decision yesterday to delay the carbon price on buildings and road transport (ETS2) for a year to 2028 is unhelpful political posturing when time is of the essence.  

Rapidly putting a carbon price on buildings, along with targeted funding to help the most vulnerable, is key to pushing the switch away from fossil fuel heating towards heat pumps. 

“EU leaders must turn down the sound and fury and move on with the essential task of decarbonising Europe’s buildings”, said Paul Kenny, director general of the European Heat Pump Association. “Rapid implementation of the second Emissions Trading System will boost the heat pump sector, allowing it to invest in European competitiveness and reduce our use of often imported fossil fuels.” 

Two weeks ago, EU Climate Commissioner Hoekstra already announced changes to the ETS2, which would keep the carbon price lower.  

In addition to a rapid implementation of the ETS2, EHPA is calling for a shift of energy taxation away from electricity and building codes that close the door on fossil fuels, as they empower citizens to install heat pumps. 

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