ETS2 review - a victory for common sense

The Prime Minister spoke of a weight off his shoulders after securing a provision for the review of ETS2 - the EU climate-charge system that was to enter into force in 2027. “ETS2 would be very unfavourable for Polish users. I am pleased that we managed to include a review of this project - that is, to block this solution from entering into force in 2027,” said the head of government. Thanks to the review clause, the “automaticity” that assumed ETS2 would inevitably take effect in 2027 has been removed. Cooperation with the Nordic and Baltic countries - traditionally very pro-climate - was key in this respect. “The Scandinavian and Baltic states, traditionally very pro-climate, accepted our point of view. We have a right to be proud, because this Polish point of view is becoming increasingly widespread,” said the Prime Minister.

ETS2 was adopted in spring 2023 and, under the plan, was to start in 2027. The government’s success in Brussels is of particular importance for Polish families. Under the European Commission’s original plan, ETS2 was to cover emissions from transport and heating, which would have translated into higher prices of fuels, gas and coal - with the increases hitting low- and middle-income households the most.

A new direction in climate policy

At the summit, leaders stressed the need to change EU climate policy so that it is more flexible and realistic, while better reflecting the interests of the economy and Europe’s competitiveness. “The world has changed. Europe must once again become an industrial power, otherwise we will lose out to China; we will lose the Russia–Ukraine war,” recalled Prime Minister Donald Tusk.

The head of government also confirmed that Poland would not vote in favour of introducing a 90 per cent emission-reduction target by 2040. Warsaw has the backing, among others, of France and Italy. Poland does not deny the need to protect the climate, but opposes a “green ideology” detached from social and economic realities. There is a shift under way in the West on this issue - and Poland has played an important role in it. Excessive climate ambitions are a mistake that has fuelled radical movements.

Potential sanctions on Russia

The Prime Minister commented on US announcements concerning, among other things, the imposition of sanctions on the Russian oil companies Rosneft and Lukoil. “Our biggest allies like to surprise everyone, but these are massive sanctions. However, I would be wary of saying that this will definitely happen,” noted the head of government. He spoke in a similar vein about reports that China had stopped purchasing Russian oil. “I do not rule out that this is the case, but today building a forecast even three days ahead is a risky business, given our partners and the volatility of their positions,” underlined Donald Tusk.

If confirmed, a Chinese “turning away from Russia” would, in his view, mark a turning point in the Russia–Ukraine war.

A reparations loan for Ukraine

The head of government also referred to the issue of a reparations loan for Ukraine, to be made possible by frozen Russian assets. Belgium - where most of these funds are held - is approaching the matter with great caution, as no such decision has ever been taken before. “We are trying to convince our Belgian friends that we are ready to build a mechanism of common, pan-European responsibility,” said the Prime Minister. He added that Hungary’s Prime Minister Viktor Orbán still opposes any conclusions on Ukraine. A meeting of the European Council will be held in December and, in the Prime Minister’s view, that must be the final deadline for a decision. Ukraine will not win the war without financial support, and there are no realistic alternative sources.