Possible extension of the EU Emissions Trading System (ETS) to cover emissions from the use of fossil fuels in particular in the road transport and the buildings sector. Final report

The objective of this study was to: Explore options for possible inclusion of CO2 emissions into an emissions trading system of the road transport and/or buildings sectors. Assess with qualitative and for selected questions also quantitative tools the relevance and the impacts of the identified options, in particular in terms of effectiveness (emissions reduction achieved in both sectors), of regulatory robustness (monitoring, reporting and verification), as well as distributional effects on households and small and medium enterprises (SMEs) and potential quantitative impacts on the existing EU Emissions Trading System (ETS) and the Effort Sharing Regulation (ESR). Explore the option for possible inclusion into an EU emissions trading system of all CO2 emissions from fossil fuels. The results of the study serve as an input for the Commission's assessment of the various options for a possible inclusion of the CO2 emissions from the use of fossil fuels in particular in the road transport and/or buildings sectors into an emissions trading system. The work was conducted between February 2020 and September 2020.