ETS-sector businesses become eligible recipients of Member-State-channelled ETS auction revenue for decarbonisation investment support across a defined menu of purposes: topping up EU-level support mechanisms, clean energy/grid buildout around industrial clusters, industrial decarbonisation (electrification, CCUS, CO2 transport network), maritime and aviation decarbonisation, modal shift, municipal waste hierarchy measures, circularity, and lead markets for low-carbon products such as green steel.

Businesses in ETS sectors (industrial, maritime, aviation) and waste management authorities are offered support, and this is not law yet.

Why it matters

This is a Commission proposal: it is not law yet, and it can change before it is.

It is Art. 1(14)(c), replacing Art. 10(3) of Directive 2003/87/EC, in the EU ETS revision. as of 2026-08-14
The act gives its timing as: n/a. as of 2026-08-14
It names 6 industries by name: Steel, Chemicals, Shipping, Aviation, Waste and Construction. as of 2026-08-14
Compliance is checked by none, n/a. as of 2026-08-14

Addressee Businesses in ETS sectors (industrial, maritime, aviation) and waste management authoritiesAct COM(2026) 616 final, 2026/0212 (COD)Article Art. 1(14)(c), replacing Art. 10(3) of Directive 2003/87/ECClass Businesses

The rule

New — no predecessor

Trigger

project falls within one of the listed decarbonisation priority purposes and the Member State chooses to fund it from earmarked auction revenue

Benefit

ETS-sector businesses become eligible recipients of Member-State-channelled ETS auction revenue for decarbonisation investment support across a defined menu of purposes: topping up EU-level support mechanisms, clean energy/grid buildout around industrial clusters, industrial decarbonisation (electrification, CCUS, CO2 transport network), maritime and aviation decarbonisation, modal shift, municipal waste hierarchy measures, circularity, and lead markets for low-carbon products such as green steel.

Who is affected

Addressee

Businesses in ETS sectors (industrial, maritime, aviation) and waste management authorities

Class

Businesses

Sectors

Names Steel, Chemicals and refining, Shipping, Aviation, Waste and landfill, Construction

Applies

n/a

Burden drivers

No burden drivers recorded on this provision.

Source text

Verbatim

Member States shall use at least 50% of those revenues, with the exception of the revenues used for the compensation of indirect carbon costs referred to in Article 10a(6) of this Directive, or the equivalent in financial value of those revenues, to support the decarbonisation of ETS sectors, for one or more of the following priority purposes:

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