Emission Trading System (Ets), companies need balance

The recent decisions of the European Council in March 2026 regarding the emissions trading system (Ets), which represent an important moment for the industrial future of Italy and Europe. I welcome the result achieved by the Council, which recognizes the importance of protecting the competitiveness of Italian companies while pursuing European climate goals.

The President of the Council, Giorgia Meloni, expressed great satisfaction with the progress made, calling the results a fundamental step forward for the needs of our country and for the competitiveness of Italian companies. Italy has pursued a clear line with determination: the Ets must be an effective tool in the fight against climate change, but also balanced with the needs of industrial production. The costs of emission permits, so high, risk jeopardizing the competitiveness of Italian companies and the continuity of jobs. It should be noted that the Ets is essentially a tax on the most polluting forms of energy, but if not calibrated carefully, it ends up causing an increase in costs even for less polluting sources, weighing on the entire energy system and on the budgets of companies.

The result achieved at the European Council is particularly significant. The Italian position prevailed on key points considered "indispensable," securing a commitment to discuss the extension of free allowances for energy-intensive industries beyond 2034 and the initiation of negotiations with the European Commission for changes to the pollution tax. Now it is necessary to conclude this excellent result by transforming it into a positive outcome with the Commission, in order to make the agreed measures concrete and ensure a real benefit for Italian companies. As highlighted by the president of Confindustria Emanuele Orsini, "the costs of emission permits, so high, put the survival of the European industry at risk. Europe risks losing companies without achieving significant reductions in emissions."

His words remind us that the ETS must be effective but also sustainable: only then can the ecological transition become an opportunity for industry rather than an obstacle. Europe accounts for only a portion of global emissions, while other major producers do not face similar constraints. For this reason, it is essential to ensure flexible, predictable, and clear tools that allow businesses to plan investments, innovation, and employment without excessive penalties. A balanced ETS can also concretely become a driver of innovation and green competitiveness, guiding companies towards more sustainable technologies without compromising production.

I firmly believe that we cannot underestimate the importance of a stable and accessible energy system: it is essential not only for companies but also for the transport sector and for consumers. A tax of such significance, if not calibrated correctly, risks weighing on the lives of businesses and the daily lives of citizens. It is crucial that European policy considers these implications with balance and foresight, so as to transform the complex ecological transition into a real opportunity for all.

Franz Di Bella
president
deputy
of Confindustria
Catania