Poland-Led EU Coalition Urges ETS Reforms Before Summit

A coalition of European Union member states, led by Poland, is urging significant changes to the bloc's Emissions Trading System ahead of a leaders' summit in Brussels on Thursday, as rising energy costs and geopolitical tensions fuel demands for relief on households and industries.

Polish Prime Minister Donald Tusk announced on Wednesday that Poland, alongside Austria, Belgium, Bulgaria, Italy and Slovakia, had sent a letter to the European Commission calling for the continued allocation of free carbon permits to energy-intensive industries. These permits help offset the costs of complying with the ETS, which requires power plants and manufacturers to purchase allowances for their carbon dioxide emissions. Tusk emphasized the need for a more flexible approach to EU climate policy, one that accounts for each country's unique circumstances. "This is about a change of philosophy, a profound adjustment so that each member state can count on a specific approach that takes into account its specific characteristics," he said during a speech at an energy conference in Warsaw.

The push comes amid heightened concerns over energy prices, exacerbated by the ongoing U.S.-Israeli conflict...