BRUSSELS (Reuters) - European Parliament adopted a plan on Wednesday to guard the carbon market in case of a breakdown in Brexit talks, which they fear would crash the price of tradable emissions permits.
Lawmakers voted 601 to 69 in favour of an amendment, which part of a move to extend the exemption of international flights from the EU’s cap-and-trade system pending the adoption of last year’s United Nations deal on tackling aircraft emissions.
It would void all permits in the EU’s Emission Trading System (ETS) issued by a country leaving the bloc should the European Union and Britain not reach trade agreement before its exit date in late March 2019.
The measure aims to guard against a sudden selloff by British utilities, among the largest buyers of the permits to pollute, flooding the market.
Reporting by Alissa de Carbonnel and Julia Fioretti