In the past weeks, the European Union worked closely with the COP30 Presidency Brazil on a Declaration on the Open Coalition on Compliance Carbon Markets, to be adopted later today at the World Leaders segment of the UN's Climate Change Conference – COP30. The Leaders' Declaration boosts the recognition of carbon pricing and market mechanisms as key tools to advance climate action globally and implement national climate plans. At COP30, President of the European Commission Ursula von der Leyen encouraged other countries to emulate Brazil and launch their own domestic compliance carbon markets, as a growing number of countries are doing, and support the establishment of the Open Coalition.
On behalf of the European Union, President of the European Commission Ursula von der Leyen endorsed the Declaration and said: "Carbon pricing has become a central tool to reduce greenhouse gas emissions with a strong business case for the economy and for the people. I am happy to confirm the support of the European Union to the Declaration on the Open Coalition on Compliance Carbon Market. We want to work closely with Brazil and with many likeminded partners on putting a price on carbon. The key to success is to do it right and to do it together."
The coalition will work to implement ambition, effectiveness and fairness of compliance carbon markets as an important policy tool for achieving Nationally Determined Contributions under the Paris Agreement, while ensuring environmental integrity and supporting a just transition.
The coalition provides a platform for countries to work together on the development and enhancement of compliance carbon markets and carbon pricing policies to enable progress and achieve the Paris Agreement goals. These instruments have proven effective in driving decarbonisation and supporting countries in advancing their climate action goals. According to the World Bank , there are 80 carbon pricing instruments in more than 50 countries (as of June 2025). These instruments, which include both emissions trading systems and carbon taxes, cover 28% of global greenhouse gas (GHG) emissions. Since its establishment 20 years ago, the EU Emissions Trading System has reduced emissions in the covered sectors by 50% compared to 2005 levels and has generated over €250 billion in auction revenue. EU Member States use this revenue to fund climate and energy initiatives, such as renewable energy, energy efficiency and low-emission transport.
In April 2024, the European Commission created the Task Force for International Carbon Pricing and Markets Diplomacy that specifically aims to promote the development of carbon pricing and carbon markets worldwide. The Task Force actively engages with and supports partner countries to develop effective carbon pricing policies and robust approaches to international carbon markets aiming at reducing GHG emissions and contributing to sustainable development. In her opening speech at COP30, President von der Leyen said: "With our Carbon Pricing Task Force, we are supporting partners to build their own emissions trading systems. Because carbon pricing has proven to be one of the most powerful tools in the climate arsenal."
