Last Friday, the European Commission released preliminary data on verified emissions for 2024, as submitted by Member States by the 31 March deadline. Compared to the previous year, the report indicates a 5% drop in emissions from stationary installations and aircraft operators.

As a result, EU ETS emissions are 50% below levels recorded in 2025,putting them on track for the target of -62% set for 2030. “The observed trend confirms the effectiveness and efficiency of the EU’s cap and trade system as an important policy instrument for the decarbonisation of the European economy”, according to the Commission.

As expected, much of the progress has been triggered by the power sector where emissions dropped by 12% below levels reached in the previous year, despite the total electricity generation remaining stable. “The main drivers were the increased electricity production from renewables such as solar (by an impressive 19%) and hydropower while “wind-generated power remained steady in spite of less favourable weather conditions in certain periods of the year.”

Meanwhile, emissions from the energy-intensive industry remained stable, with significant differences between sectors: emissions from the fertilizer sectors increased by 7% while the cement sectors saw a decline of 5%. The aircraft operators reported an increase of around 15%. However the rise was “in part due to the broadening of geographical coverage.”

The market showed little reaction to the publication of the verified emissions data which matched earlier projections. However, the benchmark prices for EUA Dec’25 dropped by 3,4% on Friday as part of a general downtrend across global markets amid fears of recession following the US tariff announcements.