How can carbon credits work better?

New ideas on reaching climate targets as COP30 gets underway

In this episode of The Sound of Economics, host Rebecca Christie sits down with Bruegel’s Georg Zachmann and professor Jos Delbeke, former Director General of the European Commission’s climate division, to discuss how Europe can use its ambitious climate targets to best catalyse global decarbonisation. Zachmann proposes to develop the European Emission Trading System into an anchor for mitigation activities in other sectors and countries. Delbeke acknowledges the need to enhance the ETS so that it can continue to play its important role in the efficient decarbonisation of the EU economy. But he cautions against a direct use of foreign mitigation credits in EU trading systems. Ten years after the Paris accord, how can Europe be more proactive in the global debate and make the most of this year’s UN climate conference?

Related research:

• Zachmann, G. (2025) 'A Strawman Proposal to Use International Flexibility in Achieving Developed Countries Climate Targets to Catalyse Global Decarbonisation', De Gruyter Bill
• Europe’s energy future: balancing climate goals and competitiveness, Bruegel event, 14 November 2025
• International decarbonisation through coalitions of the willing: carbon pricing, climate finance, trade and nature, Bruegel event, 20 November 2025