

Carbon Frontiers 2025 Episode 1 | Mark Lewis, Head of Research, Andurand Capital
10 snips Feb 8, 2025
Mark Lewis, Head of Research at Andurand Capital, an expert in carbon markets, joins the discussion on the EU's complex carbon landscape. He explores the impact of the EU Emissions Trading System in balancing emissions reduction with industrial competitiveness. Mark delves into the implications of the U.S.'s exit from the Paris Agreement and how it reshapes global climate policies. He also addresses the challenges posed by the Carbon Border Adjustment Mechanism and the necessity for innovative strategies to maintain Europe's leadership in carbon trading.
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EU ETS at a Crossroads
- The EU ETS, the world's largest carbon market, faces a critical juncture.
- It must balance emission reduction with industrial competitiveness, especially with the US out of the Paris Agreement.
Shifting Drivers of Carbon Pricing
- The EU ETS is transitioning from power sector-driven price formation to industrial sector leadership.
- This shift necessitates industrial companies hedging their carbon liabilities like the power sector previously did.
UK-EU ETS Linkage
- Linking the UK ETS and EU ETS offers economic and political benefits.
- It could also create a model for linking separate compliance trading schemes globally.