Achieving ambitious EU climate targets requires transforming nascent domestic low-carbon industries into mature markets. While increasing carbon prices go a long way, they are unlikely to make all required investments commercially viable. One policy tool for developing low-carbon markets are commercialisation contracts. These contracts work by using public subsidies to provide sufficiently high carbon prices on a project-by-project basis such that low-carbon alternatives become economically competitive. The goal is to commercialise essential low carbon technologies more rapidly. Such contracts are already being developed at the national level and discussed at the European level.
At this event, speakers will introduce the core idea of the policy, and then discuss key design elements. This includes whether contracts should be issued at the EU or national level, how competition for contracts should be organised, and which industries should be eligible for support.
Link to the video here