The UK has published its plans for the UK ETS starting in 2021. In the UK, this will replace the EU ETS, which the UK is set to leave at the end 2020 with the termination of the Brexit transition period. It is part of the UK government’s plan to drive domestic and international action on climate change and, as such, to deliver on its net-zero carbon target by 2050.
In the following article we unpick the details of the UK ETS, outlining who will be covered and how it will work compared to the existing EU ETS, and setting out some high-level thoughts on how well the UK ETS will align with both its EU counterpart scheme and the UK’s climate policy ambitions found here.