The EU Parliament, Council and European Commission have reached an informal agreement on a more responsive price control mechanism under the EU Emissions Trading System (EU ETS), according to a key European Parliament member.
The agreement came during a third round of three-way talks to reform the EU ETS under the bloc's Fit-for-55 climate package.
"We agreed on a strong mechanism against price hikes. The Article 29a was sharpened," Peter Liese, the lead negotiator for ETS reform, said in a statement.
The revised Article 29a is a mechanism under the EU ETS Directive that allows for intervention to increase supply if the carbon price traded at more than 2.4 times the average of the previous two years for six consecutive months or more.