BRUSSELS — Center-right lawmakers in the European Parliament are intensifying efforts to weaken two EU climate laws, a campaign that could undermine the bloc’s push to cut planet-warming emissions.
The European People’s Party, the largest group in Parliament, will this week push for a three-year delay to rules on emissions of the climate pollutant methane, a change the fossil fuel sector and the U.S. government have lobbied hard for.
A growing number of EPP lawmakers now also want to delay — or scrap altogether — a new carbon price on transport and heating, known as ETS2, according to a document obtained by POLITICO. That puts them in line with several EU member countries, including Italy and Poland, which pushed for a delay to the new carbon price at a meeting of EU leaders in Brussels last week.
Both policies are central pillars in the EU’s effort to reduce its planet-warming emissions. A successful repeal of ETS2 in particular would be a blow to EU climate goals, as it covers around 40% of the bloc’s greenhouse gas emissions.
But it would also be a major victory for conservative and pro-business lawmakers and national governments that have been campaigning for less stringent EU climate laws in the name of industrial competitiveness.
Ax the tax
The EU Emissions Trading System, launched in 2005, requires power plants and factories in sectors like steel, chemicals and cement to acquire carbon allowances for every ton of carbon they emit. The total number of allowances is reduced each year, eventually reaching zero.
ETS2 applies the same idea to suppliers of fuel for transport and heating from 2028.
The cap-and-trade scheme will be a powerful tool for reducing emissions from these highly polluting activities. But many policymakers worry it will raise the cost of gasoline, diesel and natural gas and add to voters’ cost-of-living pressures.
Nine national delegations of the EPP — the Polish, Spanish, Italian, French, Romanian, Croatian, Slovenian, Slovak and Estonian — are now calling for ETS2 to be repealed, according to draft amendments obtained by POLITICO. “ETS2 should be deleted,” the amendment, sponsored by Polish EPP lawmaker Adam Jarubas, argues.
Another amendment in the same draft, backed by 10 national delegations, takes a softer approach and asks for ETS2 to be “postponed until 2031.”
EU legislators are already reviewing a proposed reform of the EU’s original Emissions Trading System, which makes amending ETS2 — which is contained in the same legislation as the first ETS — much simpler.
No majority in Parliament or among member countries currently supports delaying or repealing ETS2, but a string of elections next year raises the likelihood that more right-wing governments will be in power before ETS2 comes into force, adding momentum to the push to scrap or delay it.
Methane delay
Last week, the European Commission, the EU’s executive arm, proposed a year-long delay to rules that will require oil and gas importers to monitor, report, and eventually reduce emissions of the potent greenhouse gas.
The delay — which affects monitoring requirements and later obligations on methane intensity — followed months of lobbying from industry and member countries, which claimed the Commission provided insufficient clarity on how to comply. The U.S. government also pushed to delay the rules, which are currently due to come into force on Jan. 1, 2027.
But the proposed delay requires support from both governments and lawmakers, some of whom want to go well beyond the Commission’s revised timeline.
On Tuesday, European lawmakers voted to fast-track parliamentary discussions around the Commission’s proposed delay, laying the groundwork for a fresh vote Thursday. At that vote, the EPP is expected to campaign for a three-year delay of the rules, as well as possible further adjustments, according to one lawmaker familiar with the matter.
Dimitris Tsiodras, a European lawmaker, echoed industry concerns that compliance risks could deter cargoes from Europe if left unaddressed. “We cannot afford to put our energy supplies at further risk,” he told lawmakers.
Right-wingers against the rules will still face opposition from left-leaning lawmakers. Jutta Paulus, a German Greens lawmaker who steered the parliament’s position on the legislation in 2024, announced on Tuesday that her party would table an amendment to reject the delay altogether.
However, the EPP could reach an outright majority if it joined with right-wing and far-right groups.
The party is already exploring a deal with those groups if the Socialists and Democrats — the Parliament’s second-largest group — don’t cooperate with its push for a longer postponement, according to two people familiar with the matter. S&D lawmakers opposed extending the delay earlier this month, but a group spokesperson said the party has yet to adopt a formal position in negotiations.
A parliamentary push for a three-year delay could also invigorate member countries’ efforts to delay the rules further.
Member countries are currently divided, though many, including heavyweight France, support the one-year delay proposed by Brussels, according to two diplomats briefed on the matter.
Poland, Slovakia and Czechia, meanwhile, would prefer a three-year delay, but their luck in campaigning for an extension may depend on where Germany lands, the people said. Berlin is currently split between its socialist-controlled environment ministry and its center-right-controlled energy ministry, leaving countries uncertain whether they can formulate a joint position tomorrow, they added.
Italy is also trying to decide whether to opt for one year or more, two diplomats familiar with the matter said.
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