The EU today took a major step toward integrating carbon removal into climate policy.
For the first time, the European Commission has proposed allowing permanent carbon removals within the EU Emissions Trading System (ETS) as part of its pathway to a 90% emissions reduction by 2040.
If adopted, the proposal would create a compliance-driven market for carbon removals, giving heavy industry a regulated pathway to address residual emissions and potentially driving demand for up to 48 million tonnes of permanent CO₂ removals annually by 2040.
It’s one of the strongest policy signals yet that durable carbon removal is becoming an essential part of long-term industrial decarbonization.
Read the EC’s press release here.