Institutional Investors Group for Climate Change publishes EUR 12 trillion investor statement urging EU leaders to preserve a robust EU Emissions Trading System

The Institutional Investors Group for Climate Change has published a joint statement from 46 investors representing EUR 12 trillion in assets calling on EU leaders to maintain a robust and predictable EU Emissions Trading System as the bloc prepares to review the regime in July. The investors argue the ETS should remain the bedrock of Europe’s clean industrial strategy and that the review should strengthen, not weaken, its role as a long-term carbon price signal for competitiveness, energy security and low-carbon investment. The statement says the next phase of the ETS should preserve a clear long-term carbon price, support cost-effective decarbonisation and give companies and investors enough certainty to deploy capital into electrification, industrial transformation and strategic clean technologies. It also calls for complementary policies to address barriers facing energy-intensive industries and for stronger use of ETS revenues to support industrial decarbonisation, energy system transformation and a just transition. Among the signatories are Allianz SE, L&G Asset Management, Church of England Pension Board, Erste Asset Management, Sampension and Nordea Asset Management, and the statement is endorsed by the Net-Zero Asset Owner Alliance. The statement was issued ahead of the European Council meeting on 18-19 June and the EU ETS review in July.