ETS CREDITS SHOULD BE AUCTIONED - HUHNE

12.00.00am GMT Tue 5th Jun 2007

Commenting on the results of a BBC investigation into the Emissions Trading Scheme (ETS), which found that it has not led to a cut in emissions, Liberal Democrat Shadow Environment Secretary, Chris Huhne MP said:

"The first phase of the emissions trading scheme has flopped because allocations were far too generous.

"The second phase beginning in 2008 is already showing a carbon price of more than €15 per tonne, thanks to tougher Commission monitoring of permits.

"This should be strengthened further by selling off more permits by auction, rather than giving them to polluters for free.

"The principle of the ETS is a good one. The practice still needs improvement