The Federation of European Waste Management and Environmental Services (FEAD), the European waste industry body, has called for an impact assessment to evaluate the inclusion of energy-from-waste (EfW) plants in the EU Emissions Trading System (ETS).
Peter Liese, the lead negotiator for the EU ETS, believes that applying a carbon price to incineration would incentivize recycling, reuse, and other environmentally friendly choices that support a circular economy. FEAD agrees that the inclusion of municipal waste incinerators is necessary to ensure a level playing field but states that it may not be the most effective approach to reducing CO2 emissions when treating residual waste. FEAD argues that penalizing EfW solutions could send a negative signal and hinder the diversion of non-recyclable recoverable waste from large-scale landfilling, particularly in some EU countries where additional investments in recycling and energy recovery are needed. FEAD suggests that the impact assessment should consider the avoided CO2 emissions when EfW waste incinerators are used instead of fossil fuels for electricity and heating needs.
The European Suppliers of Waste-to-Energy Technology (ESWET) has also called for the inclusion of EfW solutions in the EU ETS but emphasizes the need for measures to avoid disruptions in the waste management chain. This includes conducting an impact assessment to prevent increased landfilling and waste exports, providing increased support for carbon capture technologies, and implementing a reasonable transition period. ESWET highlights that methane emissions should also be included in the trading scheme, as they are 84 times more potent than CO2 over a 20-year period.
Liese supports the need for an impact assessment to minimize the negative effects associated with landfills and waste exports. The EU Commission aims to include waste incineration in the ETS starting from January 1, 2028.
