The ETS investment engine: scaling Europe’s strategic e-fuel market for shipping and aviation

The EU Emissions Trading System (ETS) review proposal published in July 2026 is intended to make the EU’s most vital climate policy mechanism fit for its 2040 climate targets. It also carries the ambition to turn the ETS into an ‘’engine for innovation and investment”. This policy brief looks at the investment dimension of the ETS review proposal and its potential impact on the shipping and aviation sectors.