The state aid guidelines for indirect costs compensation in the EU ETS are up for revision – not review – which means that they could change significantly. The current guidelines expire on 31 December 2020, and the new guidelines would ‘indicatively’ be ready by Q3 2020 – just a few months before the new ones actually enter into force.
The new state aid guidelines will need to balance a number of issues, among which:

• carbon leakage risk
• risk of overcompensation and potential windfall profits
• risk of internal market distortion
• how to incentivise cost efficient decarbonisation

In 2019, the European Commission held two consultations, a public one and a targeted one. Subsequently, on the 14th of January it published the draft guidelines, which are subject to a 8-week public consultation period, ending on March 10.
ERCST has actively engaged on this topic, organising a series of meetings on state aid guidelines and indirect costs compensation, and responding to the first public consultation. This meeting has the intention of discussing the draft guidelines with EU stakeholders, providing space for various stakeholders to present and discuss their submissions to the public consultation.

[rtec-registration-form]

Workshop Material(s)
Agenda
ERCST presentation
W. Stoefs (CMW) presentation
J. Delarue (ClientEarth) presentation
 
Upcoming Events

• Stakeholder Consultation: CBAM in an International Context

  April 22 @ 15:00 - 17:00

• Launch Event – 2026 ETS Review

  April 23 @ 10:00 - 12:00

• Launch Event – Carbon Leakage under CBAM and Free Allocation

  May 13 @ 10:30 - 12:30

• 2026 State of ETS – Launch

  May 20 @ 15:00 - 16:30

• International Townhall: CBAM in an International Context

  June 23 @ 14:30 - 16:30

• 2026 Review of EU ETS – Stakeholder meeting

  April 1 @ 15:00 - 17:00

• Launch Event – Policy options for sustainable mobility: the road to decarbonization

  April 1 @ 10:00 - 12:00

• Quo Vadis ETS: Challenges and Solutions

  March 23 @ 16:00 - 18:00