Carbon pricing for buildings and industry: the missing link to decarbonise heating

The European Heat Pump Association (EHPA) supports the introduction of a European CO2 price for heating fuels as essential to correct the price mechanism for heating of buildings and industrial processes. The EU Emissions Trading System for Buildings and Transport (ETS2), as proposed by the Commission in the July 2021 Fit-for-55 package, is an appropriate step towards a more balanced energy price system, but a careful design is necessary.