Sectoral Differences in Emission Reduction in Hungary

Abstract

The European Union sets ambitious environmental and climate protection targets. The Emissions Trading System (ETS), launched in 2005, is seen as one of the main tools for reducing emissions. The system is currently in its 4th phase of operation. This article looks at the emission reductions achieved by Hungarian installations covered by the EU ETS during the 17 years of operation of the ETS. The analysis shows that the installations have achieved an overall reduction in CO2 emissions of around 37% from 2005 to 2022, with the most significant contribution from companies in the energy sector. Installations in the energy sector have almost halved their total verified CO2 emissions, while manufacturing has reduced emissions by only 3 percent.