Where the law stands, Dossier 2026/0085(COD)
Market stability reserve for the EU Emissions Trading System (EU ETS): ceasing the invalidation of allowances
Amending Decision (EU) 2015/1814 as regards ceasing the invalidation of allowances in the market stability reserve
Ordinary legislative procedure (COD): Parliament and the Council decide together as equals. · First reading
A proposed EU law. Parliament and the Council must agree on the same text: Parliament adopts its position, then negotiates with the Council.
Where it stands
Negotiations with the Council
Parliament adopted its position on 15 September 2026. Negotiations with the Council on a common text are under way.
- Referred to committee(done) 27 April 2026
- Committee work(done) Report adopted 10 September 2026
- Tabled for plenary(done) 10 September 2026
- Plenary vote(done) Adopted 15 September 2026
- Negotiations with the Council Talks opened 15 September 2026
- Published as law(to come)
Decided in plenary
15 September 2026 · decision 3
Climate & environment, New EU law
Market stability reserve for the EU Emissions Trading System (EU ETS): ceasing the invalidation of allowances
Passed 367 for · 240 against · 59 abstained by a clear majority
AI summary:The proposal concerns a decision amending Decision (EU) 2015/1814 so that allowances in the Market Stability Reserve (MSR) of the EU Emissions Trading System (ETS) would no longer be invalidated.
What changed
Latest Tabled for plenary → Adopted by Parliament
AI summary:The text no longer requires consulting the Committee of the Regions. It changes the dates for when allowances held in the market stability reserve above certain thresholds cease to be valid.
Committee draft → Tabled for plenary
AI summary:The text now states that allowances held in the reserve above 650 million are invalid from 1 March 2027, and that the 400 million threshold applies until 28 February 2027. It adds recitals on the Paris Agreement, the market stability reserve and long-term market predictability. The other changes are formal or wording: the Committee of the Regions reference is rephrased and a full stop is removed.
Who works on it
- Lead committee
- Environment, Climate and Food Safety
- The MEP who drafts the report and negotiates it on behalf of the committee.
- Pierfrancesco Maran (S&D)
- An MEP who follows a report on behalf of their own group when another group holds the rapporteur.
- Niels Flemming Hansen (EPP), Mohammed Chahim (S&D), Ondřej Knotek (Patriots), Alexandr Vondra (ECR), Emma Wiesner (Renew), Michael Bloss (Greens), Li Andersson (The Left)
The text, version by version
Newest first.
Adopted by Parliament· 15 Sept 2026
AI summary:Parliament's amended version of a proposed decision amending Decision (EU) 2015/1814 on the market stability reserve of the EU Emissions Trading System. It changes the threshold above which allowances held in the reserve are invalidated, and sets dates for when the new threshold applies.
Tabled for plenary· 10 Sept 2026
AI summary:Parliament's amended version of the Commission proposal to amend Decision (EU) 2015/1814 on the market stability reserve. It keeps the invalidation of allowances until 28 February 2027, then raises the threshold above which allowances in the reserve become invalid from 400 million to 650 million from 1 March 2027.
Committee draft· 11 Jun 2026
AI summary:This is a draft report by the ENVI committee on a Commission proposal to stop invalidating allowances in the Market Stability Reserve (MSR) set up by Decision (EU) 2015/1814.
Timeline
Newest first.
Negotiations with the Council 1 step
15 September 2026
Parliament opened negotiations with the Council
After its vote Parliament sent the file back to committee, so that its negotiators can seek a compromise text with the Council (in “trilogues”).
Plenary stage 5 steps
15 September 2026
Plenary vote
Sitting of 15 Sept 2026 Adopted text TA10-0278/2026Report A10-0230/2026
15 September 2026
6 amendments tabled for the plenary vote
Groups propose changes to the tabled text; each is voted on before the final vote.
14 September 2026
Debated in plenary
MEPs debated the text in the chamber ahead of the vote.
Sitting of 14 Sept 2026 Council / Commission text C10-0093/2026Council / Commission text C10-0352/2025Council / Commission text C10-0353/2025Report A10-0201/2026Report A10-0202/2026Report A10-0230/2026
11 September 2026
3 amendments tabled for the plenary vote
Groups propose changes to the tabled text; each is voted on before the final vote.
10 September 2026
Report tabled for plenary
This is the text all MEPs vote on. Political groups can still table amendments to it.
Committee stage 4 steps
10 September 2026
Committee vote: report adopted
ENVI (Environment, Climate and Food Safety) voted on the amendments and adopted the report that goes to plenary.
22 July 2026
Amendments tabled in committee
Members of ENVI (Environment, Climate and Food Safety) proposed changes to the draft.
11 June 2026
Draft report published
The rapporteur’s first text in ENVI (Environment, Climate and Food Safety). Members can table amendments before the committee votes.
27 April 2026
Referred to the ENVI (Environment, Climate and Food Safety) committee
The lead committee prepares Parliament’s report.
Official record: Legislative Observatory, 2026/0085(COD)