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    EU-ETS 2

    Find out how the new EU ETS II will regulate the CO2 price from 2027 and which companies will be affected.

    Basics
    Differentiation from EU ETS I
    Functionality
    Primary market vs. secondary market
    Price development
    Trading window
    Conclusion
    Basics

    The EU ETS II is the new European emissions trading system that will come into force from 2027 and specifically covers the road transport and buildings sectors. It expands the existing EU ETS I, which previously focused on industry and the energy sector. The aim is to gradually reduce CO₂ emissions in these previously unregulated sectors and thus contribute to achieving the European climate targets.

    Similar to the national emissions trading system (nEHS) in Germany, companies that place fossil fuels on the market (e.g. oil companies, gas suppliers) must purchase emission allowances for CO₂ emissions.

    The EU ETS II creates a uniform European CO₂ price for the building and transport sectors, which replaces the previous national emissions trading system (nEHS).

    Differentiation from EU ETS I
    The EU ETS II is an extension of the previous EU ETS I. While the classic EU ETS I regulates large industrial plants, power plants and aviation, the EU ETS II is specifically aimed at:
    Road transport: petrol station operators and oil companies
    Building sector: gas suppliers and energy providers
    Differences to the previous EU ETS:

    Feature

    EU-ETS I

    EU-ETS II

    Start year

    2005

    2027

    Sectors

    Industry, energy, aviation

    Road transport, buildings

    Market mechanism

    Auction-based trading

    Auction-based trading from 2027

    Coverage

    Large companies

    Energy and fuel suppliers

    Transitional arrangements

    Free allocation for industry until 2030

    Price-reducing measures (e.g. frontloading, MSR) possible

    The EU ETS II replaces the nEHS in Germany, creating a uniform European solution for CO₂ emissions in transport and buildings.

    Functionality
    Companies that place fossil fuels (e.g. gas, heating oil, diesel, petrol) on the market and have to pay the corresponding energy tax mustpurchasecertificatesfor the associated CO₂ emissions.
    Obligation to surrender certificates: Companies that sell fossil fuels must purchase certificates for CO₂ emissions.
    Price formation:
    Prices are set freely based on supply and demand.
    Surrender deadline: Annual obligation to surrender certificates by the companies concerned.
    Primary market vs. secondary market

    Primary market

    Secondary market

    Certificates are issued by the EU via auctions.

    Certificates are traded between companies or trading platforms such as q-bility GmbH.

    Price is influenced by government measures to curb prices.

    Prices are freely determined by supply and demand.

    Participation only for registered companies.

    Flexible trading via brokers and platforms such as q-bility.

    Without fixed state prices, the secondary market of ETS II will be very important from the outset.

    Price development

    There is no price specification for the EU ETS II market.

    Prices are therefore regulated by supply and demand and may therefore be subject to a high degree of flexibility.

    Trading window

    Primary market:

    Start year: 2027
    Trading period: open
    Trading platforms: open

    Conclusion
    The EU ETS II replaces the German nEHS and introduces uniform Europe-wide CO₂ pricing for buildings and transport.
    Companies must purchase emission allowances for fossil fuels.
    There is no price regulation, so prices are set freely.
    Revenue flows into climate protection measures and social compensation.

    FAQ

    Frequently asked questions about the EU ETS II market
    1 What is the EU ETS II?
    An EU-wide emissions trading system for transport and buildings from 2027.
    2. who is affected?
    Companies that place fossil fuels on the market.
    3. how are CO₂ certificates traded?
    Via auctions (primary market) or via intermediaries and trading platforms such as q-bility GmbH (secondary market).
    4. how high is the CO₂ price?
    The price is subject to the free market and results from supply and demand
    5 When will the EU ETS II start?

    The start date for the EU ETS II is 2027.

    6. are there penalties for non-compliance?
    Yes, heavy fines.
    7 What happens to the income?
    They flow into climate protection measures.
    8 How does the EU ETS II differ from the EU ETS I?
    The EU ETS II regulates transport and buildings, while the EU ETS I regulates industry.
    9. how can you buy certificates?
    Via the EEX, intermediaries or the q-bility GmbH trading platform.
    10. will the system remain in place after 2030?
    Yes, with free pricing.