A draft document outlining preliminary benchmarks for the EU CBAM was circulated among market participants.
The UK Allowance (UKA) market reacted positively to the news.
Following intense debate and several last-minute amendments, MEPs seemed to have endorsed the compromise text adopted by the ENVI Committee earlier in the week.
The European Commission has delivered long-awaited reforms to the ETS2, responding to demands from 19 Member States to boost the market's resilience.
The European Parliament has adopted the compromise text on the CBAM simplification framework laid out in the "Omnibus I" package.
These three consultations aim to provide much-needed clarity for businesses and stakeholders as the compliance period approaches on 1 January 2026
The move is viewed as slightly bullish by UKA market participants.
Notably, the amendment allows for the international use of Article 6 credits to meet up to 3% of the EU’s 1990 emissions.
This proposal includes a binding 90% net reduction in emissions by 2040 compared to 1990 levels, with some flexibilities.