EPP lawmakers seek changes to EU carbon pricing and methane rules

Lawmakers from the European People’s Party (EPP) are seeking to postpone or abolish the EU’s planned carbon price for transport and heating. The European Parliament’s largest group is also expected to press for a three-year postponement of methane rules, according to a lawmaker familiar with the discussions.

Draft amendments show that nine EPP national delegations support removing the carbon-pricing scheme, known as ETS2. A separate proposal supported by 10 delegations would defer it until 2031. ETS2 is due to apply to transport and heating fuel suppliers from 2028 and covers activities responsible for around 40 per cent of EU greenhouse gas emissions.

Neither postponement nor repeal currently commands a majority in Parliament or among member countries. Italy and Poland are among the governments pressing for a delay. Policymakers have expressed concern that the scheme could increase petrol, diesel and natural gas costs.

On methane, the European Commission has proposed postponing requirements for oil and gas importers by one year. The rules, currently scheduled to take effect on 1 January 2027, require monitoring and reporting, followed eventually by emissions reductions. Industry and member countries have complained of insufficient compliance guidance, while the US government has also sought a delay.

Parliament has voted to accelerate consideration of the Commission’s proposal. German Greens lawmaker Jutta Paulus said her group would seek to reject any postponement. The EPP could nevertheless assemble a majority alongside right-wing and far-right groups.

Governments remain divided. France supports the Commission’s one-year proposal, while Poland, Slovakia and Czechia favour three years, according to diplomats briefed on the talks. Germany has not settled a joint position, and Italy is weighing the length of a delay.