The Market Stability Reserve

In January 2014, the European Commission put forward its 2030 Climate & Energy Policy Framework. Part of this package was a legislative proposal to implement a market Stability Reserve (MSR) by 2021 to tackle the EU ETS supply-demand imbalance and make the market more resilient to future external demand shocks. At the time of writing, the European Parliament and Council had reached an agreement trilogue negotiations on a common legislative proposal for the MSR, which could potentially see the light in summer 2015.

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