PRICE OF CO2
The price of CO2 must incite the development of clean energies
The CO2 market was created to incite the use of and the investment in low emission technologies, whilst reducing the use of higher emission technologies. The design must be improved to make it really effective.
- The Paris Agreement is a fundamental step forward in the transition towards a low-carbon economy. The Iberdrola group, with an emission rate that is 38% less than the average emissions of the European electricity sector and with the objective of achieving a 50% reduction in its CO2 emissions by 2030 (as compared with the 2007 levels), backs the EU's objective to achieve a 40% reduction in its emissions by 2030 (as compared with the 1990 levels).
Iberdrola's group objectives to fight against climate change.
- To achieve these goals, all energies must assume the cost generated by their emissions.
- The European emissions market (EU ETS) must be a key element to reduce emissions more efficiently.
- Currently, the price of CO2 in the EU ETS is not a sign of the adequate price that can foster the change towards production systems that generate less emissions (from fossil fuels to gas). Likewise, it is not attracting the investment in clean and/or low-carbon technologies.
- Iberdrola has proposed the modification of the ETS Directive, which is currently reviewed, to guarantee the minimum price of emission rights.
- Competitiveness in the industry is needed: the industrial sector facing the risk of "carbon leakage" should not be affected by an increase in the price of CO2.