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Brussels Live
Transcribed and translated by AI

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We should encourage innovation, not undermine
the competitive advantage of companies

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investing in cleaner technologies.
Third, on regulatory simplification, the

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Commission proposes an additional reporting
requirement concerning the purpose of

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airport of call. Yet this formation is
already relevant to determining whether a

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ship's stop qualifies as a port of
call under the existing MRV framework.

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In this point, I propose deleting this
additional reporting obligation, avoiding

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unnecessary duplication. Better regulations
should mean more effective monitoring,

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not simply more reporting. And fourth,
on competitiveness and carbon leakage,

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European shipping operates in a
highly competitive global market;

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we need effective measures to prevent
carbon leakage at the diversion of maritime

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traffic away from European ports, with
therefore must preserve a genuine lever

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playing field and avoid placing European
ports and shipping companies at a

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competitive disadvantage. Thank you.

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Thank you. For SND, Andrew Katis.

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Thank you. Thank you very much, indeed.
I would like to speak in Lithuanian.

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I would like to draw attention to those
colleagues who argue for the fundamental

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necessity of abolishing the ETL system.
But I would like to remind them that both

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the Draghi report and the LETA report as
well, I would like to draw attention to

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those colleagues who argue for the need
to abolish the ETL system in principle.

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But I want to remind them that both the
Draghi report, the LETA report, and the

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Ninisto report—three reports that present
huge economic calculations—none of them

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recommend abandoning the ETL. On the
contrary, they calculate that this is a major

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competitive advantage
for the European Union.

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Next, I thank Peter Liese for his work,
but I also want to remind everyone that

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pollution claims the lives of hundreds
of thousands of people, and when we talk

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about climate change, we must consider
how many excess deaths from climate change

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there are in the European Union this year.

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Calculate the human losses. If you
do not understand that climate change

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comprehensively affects the quality of
life of our people, labour productivity,

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jobs, and reduces our demographic position,
then perhaps you will understand how

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important it is to maintain ETL as a
comprehensive measure not only for combating

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climate change, not only for competitiveness,
but also for protecting human lives.

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We must once again turn our attention
to that human capital which needs to be

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preserved. Without it, the European
Union will not be able to maintain any

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competitiveness. We need to ensure that
as many people as possible are protected

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from pollution and harmful substances.
This is also about studies.

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This is health economics. The ETL is also
active here, so to all those who argue

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against it, I would like to suggest
reading the statistics and real numbers.

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Thank you. Our last speaker
is Ference from Patchets.

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Thank you, Chair. I
will speak in Hungarian.

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Dear Colleagues! On the ETS reform, it
is not enough to merely talk about a few

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technical adjustments. We have already
held several debates on this topic, but the

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situation fundamentally has not
changed. Honourable colleagues!

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With regard to the ETS reform, it is not
enough to talk merely about a few technical

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amendments. We have already held several
debates on this topic, but the situation

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has not fundamentally changed. Reading the
proposal, several parts of the system are

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affected. However, one issue
is conspicuously avoided:

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as the EPP representative put it
earlier, the elephant in the room.

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And that is the ETS2, or the carbon
tax. In our opinion, the ETS2 should be

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completely abolished, as its costs
will be borne by European households.

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This carbon tax would impose a disproportionate
burden on households, particularly

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in the areas of heating and transport. In
light of current energy and fuel prices,

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we simply cannot allow this
system to enter into force.

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And I would also like to
ask the EPP a question:

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we have heard here that several of their
Members also demand the abolition of ETS2.

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This is welcome. But then why does not
every delegation of the EPP, particularly

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those coming from Central
Europe, represent this position?

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It is also your responsibility to save
the people living in our countries from

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further burdens.

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Thank you.

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Okay, so now for the Commission. We give
the floor to Mette Quinn, Head of Unit

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DigiClima B1. You have the
floor for five minutes.

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Thank you very much. Delivering a five-minute
reaction to more than 3,000 amendments

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is challenging. To say the least. But
following this debate, I would like to

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highlight three things. First, the need
for a stable, credible, and predictable

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framework for the EU ETS. This is essential
for business investment planning and for

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decarbonization. This means a decarbonization
pathway that is fully in line with the

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climate law and delivers
on its 2040 target.

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Also, avoiding more costly and
complex efforts outside the EU ETS.

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This is exactly what the Commission
proposal delivers, based on targets and

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flexibilities set in the climate law. The
cap in 2040 is based on economic modeling

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for a cost-effective distribution between
the EU ETS and the non-ETS sectors.

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This also means safeguarding the ETS
as a clear, transparent, and robust

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market-based system that is key to its
success, to market participants, investment

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predictability, and to cost effectiveness.

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And it means stability and
clarity from the start.

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No change in conditions all the time.
So that the future ETS continues to be a

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long-term framework for
industrial decision-making.

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Second, we welcome the very clear
support from the Parliament to the solid

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investment and innovation
drive in the proposal.

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A strong industrial decarbonization bank
is crucial to support industry accelerate

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low-carbon investments and
enhance competitiveness.

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We would therefore like to stress the
need to maintain the proposed budget so it

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remains commensurate with the challenge
that we are facing and to strike the balance

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between funding the best projects avoid
fragmentation administrative simplicity and

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speed as well as solidarity. We also
thank you for the strong support for more

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targeted spending of national ETS
revenues for the ETS decarbonization.

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And we remind of the importance of balancing
continued solidarity with reciprocity

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in spending. Third element, talking about
effective reciprocity, we urge you to

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follow a strategic direction of travel.

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Europe needs a contract with industry.
To increase support and continue carbon

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leakage protection, as we have proposed
it, to reward those who has invested and

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protect those who are investing in Europe.

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But also to expect a
commitment to Europe in return.

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Ultimately, this is the best
competitiveness guarantee and carbon leakage

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protection. Reciprocity is
also about level playing field.

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For companies making long-term
investments, fragmentation is the enemy.

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One of the ETS's enduring strength is that
it supports a level playing field across

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the single market and avoids a
patchwork of carbon pricing approaches.

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That's why it's important to effectively
extend this in aviation, in maritime, and

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in circularity. To conclude, I would like
to thank the members of the Parliament for

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the many very good proposals tabled. Let
me underline the urgency to advance on this

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key file in line with the One Europe, One
Market roadmap to deliver certainty to our

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industry. We call on the Parliament to take
your responsibility to deliver a timely

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and robust result, focus on what really
matters, and work towards a reform that

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makes Europe fit for
clean competitive future.

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We have a strong ETS
architecture in place;

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no need to reinvent the whole wheel. And
we stand ready to facilitate your work, and

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we wish the rapporteur and
the shadows bon courage.

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Thank you.

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Thank you. And last, we leave back the
floor to the rapporteur, Peter Lise.

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Yeah. Thank you to all the colleagues
that made many of them quite constructive

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proposals. I will start with Emma Ytterell,
with a new name, also from this place

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congratulations to your marriage. And I
fully support, and that's also a priority

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for EPP, that we should
look at the front runners.

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Those companies that have been investing
shouldn't be punished, and these projects

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that were construction
has already started.

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There is still grain in Sweden, Michael
Bloss mentioned Zarstal, in Germany there

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are many, many others. They should
really be supported with the review.

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However, you know, like Michael Bloss, I
met the CEO of Zarstal, and he understood

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that this support cannot
mean an unamended LRF.

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Now, that was their position for quite
some time, but they also understand that in

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the chemical industry, for example, the
companies will not sustain an LRF of 4.

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4. That's why many, many colleagues,
including from Sweden, for example, Helen.

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Fritzon, and also Timo Völken from S&D,
Manuela Ripa, and me from EPP, we put

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forward a specific solutions
for the front runners.

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And we will discuss it tomorrow
in the shadows meeting:

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how can we support these investments
even if the LRF is lower?

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And I'm convinced it's possible, and you
know, at least the CEO of this very big

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steel plant in Germany said
it's a good way forward.

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And I think it is very important also to
see the magnitude of these investments.

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What is the biggest industrial
investment in Europe?

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That is STEGRA in Sweden. The
biggest investment in Germany?

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That is Zarstal. So when we speak about
jobs and industry, let's also talk about

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this front runners. Second point on the
ambition level, Michael Bloss mentioned some

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analysis that the proposal of the commission
and my proposal are not in line with

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the 2040 target. The commission has
modeled that we even overachieve the 2040

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target. So we not only go for 85% domestic
reduction as it's foreseen in the climate

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law, but to 87. You know, the reason why
people think it's not enough is that they

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think in other

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sectors like road transport and buildings,
we will not be able to do the same

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ambition. But when you really look at the
facts in chemical industry, the abatement

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cost at least for the last
percentage is 450 euros.

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In road transport and heating, we sometimes
in prices like crisis like this, we have

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negative costs. So in the end, you will
save money if you invest in decarbonization

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in these sectors. So the question is not
should we overburden the industry, but how

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can we enable people to decarbonize also
in their private home and in their car.

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In their road transport? It's very difficult
to argue with Anja Arndt, but I still

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try to give some arguments. You know, she
mentioned RWE, a big electricity producer

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in Germany. I know them very
well. And you know what?

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When there was the first discussion about
weakening the ETS, the boss of RWE called

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me and said, "Peter,
please don't crash the ETS.

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We need to make it survive. Our investment
in renewable energy is dependent on a

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stable ETS, so it's the
opposite of what Mrs.

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Arndt said. " And when it comes to the
effect of Europe, you know, please study the

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international situation. Look at the studies
of Professor Catherine Wolfram from the

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MIT in Massachusetts. She says that due to
the CBAM, 80% of the global production of

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steel fertilizers and other CBAM
products are already covered by the ETS.

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So you shouldn't look only at the European
effect, but our effect on the global

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situation. We have to do
better. That's for sure.

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But this calculations are just nonsense.
Very important point that Radan Karnev

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made. You know, the elephant
in the room is not ETS.

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It is not the ETS2. It's the energy price.

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Why do we have high energy
prices? It's because of Putin.

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Because of Putin cutting the gas supply
to Europe invading in the Ukraine.

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And it's because of Trump and the war that
he started and the consequences of the

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street of Hormuz. And the patriots are
friends of Putin and friend of Trump.

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And that should be spoken
out loud and clear every day.

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They are responsible for
the high energy prices.

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And when we look at the energy prices
in Europe, no, Kadri mentioned it.

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Finland has a very low electricity bill.
They have the same ETS like Germany, Italy,

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and Poland, but in Germany the
price is more than twice as high.

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Why? Because you have decarbonized. You
have nuclear and I admit it was a mistake of

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Germany to face our nuclear, but it's good
to invest in renewables like Finland did.

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Portugal the same many
other parts of Europe.

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So it's not the ETS, but it is fossil fuel
dependence that brings the high energy

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prices. On Christoph Clairvaux, you made
a very important point on the maritime and

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I exactly share your position. We need to
make sure that all the money that maritime

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industry pays go back to
innovation in the maritime sector.

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We have agreed on this years
ago in an initiative report.

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We had this position
in the last parliament.

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But sorry, talk to your people in S&D.
When I made this proposal in the shadow

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meetings, your staff and Mohamed
Shahib didn't support it.

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So talk to them. It is the right position.

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We are united, but we need
to convince your group.

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The maritime sector is environmental
friendly and it makes no sense to spend the

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money for something else than
decarbonizing this sector.

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On Dimitris Siodras, transshipment to
avoid transshipment is very important.

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And I'm very impressed
by the maritime sector.

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Because they are covered already with
50% of their trips from and to Europe.

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And they don't complain. They just want
to be protected against transshipment.

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And they want the money back. And that's
two reasonable proposals and we should make

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it work. In the aviation, we have a very
small extension of the scope compared to

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maritime and they are up in
arms. So that's a bit strange.

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Last but not least, I come to the end.
I have to echo what Emma said on ECR.

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You know, I want to work with
ECR. You should be on the table.

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But with speeches like that from Ana
Zalewska, how can we find common ground?

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So look at your ITRA colleagues.
They are working constructive.

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They are doing compromises
and not always repeating.

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And you know, my most difficult moment in
this debate on ECS was last time and some

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people that are here now can witness this.

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Emma and others were around. We made a
deal with the council, with the Czech

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presidency. The shadow rapporteur
of ECR said it's a good deal.

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It was from the same party
than the Czech presidency.

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And then you Polish delegation and
others in ECR made the ECR vote a no.

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So there was a deal. The shadow
rapporteur said it's a good deal.

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I support it. You delivered
everything. So how can I trust ECR?

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When you behave like this?
So that has to change.

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And I have some optimism when I
look at the ITRA negotiations.

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But change your speech
and be more constructive.

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Last but not least, now the last
patriot is leaving the room.

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They all mentioned The far right majority.

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You know, sometimes it was unavoidable to
bring the EPP position to the table and

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not look who votes in favor. This
case, in this time, it is impossible.

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Because you know, the first sentence of
the EPP position is we are in favor of the

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ETS. And when you look at the amendments
of the patriots, their first amendment is

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we should kill the ETS. This won't
enable any far right majority.

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We want to keep the ETS.
We want to change it.

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We want to make it better. And most
important is we need to work together.

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Everybody has to move. If we don't fix this,
there will be uncertainty for the front

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runners and uncertainty
for all the others.

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We need to do it and all the heads of
states Roberta Metsola and Ursula von der

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Leyen said you finish by March next
year. That's why we need to speed up.

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It is complicated, but
delaying is no option.

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Thank you.

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Thank you. The voting envy, we'll take
place the 1st of December and also in the

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plenary it will be the month of December.
Now we have a small break we will be back

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at 11. With the joint envy stunt.
