A joint investor statement led by the Principles for Responsible Investment (PRI) and the Institutional Investors Group on Climate Change (IIGCC) is urging European policymakers to strengthen the EU Emissions Trading System (EU ETS) ahead of its upcoming review.
The statement, backed by 46 investor signatories representing over €12trn in assets, calls for clear long-term carbon-pricing signals, credible market governance, and a stable policy framework that supports the EU’s competitiveness, investment, and net-zero transition.
NZAOA and its signatories argued that a dependable EU ETS gives investors the certainty they need to allocate capital toward the clean transition with confidence.
The EU ETS sets a price on carbon across key sectors of the European economy, making it one of the region’s central tools for cutting emissions. With the system due for review, investors are pressing for reforms that reinforce predictability and durability rather than introduce uncertainty. A stable framework, the signatories note, helps secure the long-term investment decisions that underpin Europe’s energy security and decarbonisation goals.
“A robust and predictable EU ETS is not just a climate tool; it’s the foundation on which long-term investment decisions are made,” NZAOA co-chairs Josselin Kalifa, chief investment officer of the Caisse des Depots (CDC) asset management division, and Toru Shindo, CIO of the United Nations Joint Staff Pension Fund (UNJSPF) said.
“In a period of geopolitical uncertainty, policy stability is the most cost-effective stimulus Europe can offer.”
