E.ON head calls for CO₂ price in all sectors

Johannes Teyssen, CEO of German energy company E.ON, has called for the introduction of a price on CO₂ emissions in all economic sectors in an interview with Tagesspiegel Background, but came out against extending the scope of the European Union’s Emissions Trading System (ETS) to transport, buildings and agriculture. “If we are serious about climate protection, we need an economy-wide - and not just sector-wide - CO₂ price. Everything else is a patchwork and in reality more expensive,” said Teyssen. He rejected expanding the ETS, as suggested by some conservatives in the federal government. “A fundamental reform of the ETS requires structural majorities in Brussels. It’s often people who really don't want it who demand something like this," he said.

Germany is under pressure to meet its goal of cutting greenhouse gas emissions by 55 percent by 2030. After shying away from the debate for a long time, the governing parties and Chancellor Angela Merkel herself have recently announced their willingness to look into CO₂ pricing as way to help Germany reach its 2030 climate targets. However, the specific concept – be it a new CO₂ tax or a cap and trade system – is heavily disputed.