EU lawmakers in committee adopt report on carbon market reform

[BRUSSELS] Members of the European Parliament's industry committee voted in favour of a proposed compromise on reforming the bloc's carbon market that also seeks to protect European businesses.

The Emissions Trading System, which is designed to make big polluters pay for their emissions, has suffered from a surplus of carbon credits following the economic crisis that has weakened prices.

The reform proposals seek to tighten the amount of carbon permits overall as part of the EU's policy to implement a landmark global climate deal, the Paris Agreement.

Parliament's Environment Committee, which has the main responsibility for shepherding the bill through Parliament, favours a faster pace of reduction to take into account the ambitious climate goals of the Paris Agreement.

The industry committee, which provides an opinion to the environmental committee, voted 45 to 13 in favour of the report.

REUTERS