Germany urged to defy EU carbon squeeze

Industry warns Merkel against surrendering as Dimas insists the European commission will hold firm

Top industry officials have urged the German government to resist European commission demands that it scale back its national allocation plan (Nap) for the second phase of the EU emission trading scheme.

In a letter to chancellor Angela Merkel, the officials from some of the country’s largest power and chemical firms said that if the government agreed to the Commission’s demands, the additional costs would force industry to re-think planned investment in German energy capacity.

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