The extension of the EU emissions trading system to cover the heating sector should be considered to boost combined heat and power (CHP), utilities association Eurelectric said in a report on Friday.
“District heating is at a competitive disadvantage compared to other heating technologies, if the costs of CO2 are not internalised,” the group said.
Larger CHP plants are included in the ETS and their emissions are relatively low, meaning a strengthened ETS would boost the sector, Eurelectric added.
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