Sources indicate that the European Union is drafting plans to terminate the automatic cancellation mechanism for surplus allowances in its Emissions Trading System (EU ETS). The EU is also drafting plans to amend the carbon market stability reserve (

2026-03-25

Sources indicate that the European Union is drafting plans to terminate the automatic cancellation mechanism for surplus allowances in its Emissions Trading System (EU ETS). The EU is also drafting plans to amend the carbon market stability reserve (MSR) mechanism, aiming to reduce future price volatility.