By the EU Directorate-General for Climate Action
The European Commission earlier this week published the verified EU Emissions Trading System (EU ETS) emissions data for 2025 showing a -1.3% reduction in ETS emissions, compared to 2024 levels. For maritime, the reported data so far shows that emissions from the sector fell by around 3%.
This reduction continues the steady downward trend of emissions. Since the ETS was launched in 2005, the system has halved emissions in the sectors it covers. It remains on track to achieve the 2030 target of a 62% reduction.
This is the data reported by EU Member States as of the deadline of 31 March 2026 for stationary installations, maritime and aircraft operators. Overall, the data submitted covers the vast majority of operators within the scope of the Directive but reporting for aviation and maritime emissions is ongoing, and the final trends will only become clear once this process is complete.
Since the ETS was launched in 2005, the system has halved emissions in the sectors it covers. It remains on track to achieve the 2030 target of a 62% reduction.
Electricity generation – continued growth in solar generation while wind remained stable
Emissions from power generation through combustion of fossil fuels continued their downward trend, falling by -0.4% in 2025, while EU net electricity generation increased modestly growing by 1.7% compared to the year before. The share of renewable electricity in total power generation mix saw a small uptick in 2025 – 47.3% compared to 47.2% in 2024. Solar power experienced the biggest growth in 2025, with 24.6% year-on-year increase. This significant growth in solar electricity generation also counteracted a downtick in wind and hydro-electricity production in 2025 due to lower wind speeds and lower rainfall in Northern Europe. These same conditions, combined with continued growth in solar capacity, boosted solar generation to the point where it overtook hydropower for the first time, becoming the EU’s second-largest renewable electricity source after wind. Total electricity generation from fossil fuels increased by 3.5% in 2025 year-on-year. While coal power emissions experienced a 6.8% year-on-year drop, electricity generation from natural gas grew by 11.4% year-on-year.
Industry – emissions decrease
Emissions from energy intensive industries show a downward trend of 2.5%, mostly driven by the cement sector as well as iron and steel production. Data available at the reporting deadline indicates this reduction results in part from a reduction in activity in the construction sector and other economic activities, as well as from the transformation of industries as a result of the clean energy transition. Further analysis is ongoing, as trends vary across sectors.
About the EU ETS
The EU Emissions Trading System (EU ETS) in a nutshell:
- requires polluters to pay for their greenhouse gas (GHG) emissions;
- launched in 2005, it is the world’s first carbon market and among the largest ones globally;
- helps bring overall EU emissions down while generating revenues to finance the green transition;
- covers emissions from the electricity and heat generation, industrial manufacturing and aviation sectors – which account for roughly 40% of total GHG emissions in the EU;
- started covering emissions from maritime transport in 2024;
- operates in all EU countries plus Iceland, Liechtenstein and Norway, and is linked to the Swiss ETS (since 2020)