On 15 July, the European Commission unveiled its long-awaited proposals for a structural reform of the EU Emission Trading Scheme (ETS) for after 2020. The proposals pleased no one: energy-intensive industries criticised the declining pot of free carbon allowances, while NGOs condemned the lack of ambition.

A fierce fight lies ahead. In September, MEP Ian Duncan, a Scotsman from the ECR Group, was appointed rapporteur and the Luxembourg EU presidency presented the plans to member states. Environment ministers will debate them at the next EU environment council on 26 October. Duncan envisages getting stuck into the meat of the debate early next year, after COP21 in Paris in December. Next year the European Commission is also due to present proposals for reducing non-ETS emissions and many expect the two sets of plans to be negotiated as a package.

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Ahead of these negotiations, policymakers are getting their heads round all the options on the table. The Commission expects lots of ideas from MEPs and member states on how to take the reform forward. The bottom line is: can the EU ETS reclaim its place at the heart of EU climate policy?

What will the EU ETS look like in 2030? Will the proposals deliver the “robust” carbon price that Europe needs to drive forward climate action? How should a deal in Paris impact EU ETS reform? Can the proposals stem the tide for national market interventions? How can they be reconciled with those interventions to date? Is EU ETS reform the most significant industrial policy decision the Juncker Commission will take in its mandate?