Europe's carbon market is broken

Spare CO2 allowances on the market:

At this rate the surplus will reach billion tonnes by 2020.

This is equivalent to extra tonnes per second.


Rate of energy demand growth

Tap the slider to change the rate


per annum



Emissions in Europe are steeply declining and the ETS is failing to keep pace. Read here (pdf) for the reasons why we believe energy demand is falling and the surplus growing.

Underlying demand for electricity is key but even changing it to grow each year doesn't stop the surplus building - it merely slows the rate of increase.

Read our new report:
Slaying the Dragon


Brussels must fix the ETS within the next 12 months.

Otherwise it will be time to scrap it and find a climate policy that works.