The Green Deal Problems and the Reality of the Carbon Market
The carbon market is going through one of the most difficult periods in recent years. While the official European discourse insists on ambition and sustainability, companies and consultants face a much harsher reality: contradictory regulations, high prices, excessive bureaucracy, and a loss of confidence in the EU’s ability to coherently implement the Green Deal.
At Carbon Expert we have always been defined by honesty. As some of the oldest environmental consultants in Europe, we have gone through all the market cycles and learned to recognize the darker sides as well. Since 2008, when Romania joined the EU ETS, there were around 200 participating companies and installations. Today there are only 132 left, a decrease of more than 34%. This reduction has occurred because many companies have gone bankrupt, entered insolvency, or significantly reduced their production and profits. (European Comission)
What we have seen in the market
- Close clients lost – companies that could no longer withstand the pressure of carbon certificates and bureaucracy.
- Projects suspended – not due to a lack of financing, but because of sudden changes coming from Brussels.
- Disillusionment within industry – confidence in the consistency of the European Commission has visibly eroded.
The Green Deal was conceived as a grand plan to transform the European economy, but incoherence and sudden changes have become its defining features. Heavy industry, instead of receiving clear and predictable directions, faces rules that change from one year to the next, resulting in blocked investments, capital withdrawal, and delayed modernization strategies. The energy sector, which should have benefitted from solid support for the green transition, has instead received regulations that are difficult to apply, discouraging traditional operators and leaving them without real alternatives. Agriculture and transport, essential areas for emissions reduction, have been met with measures perceived more as punitive than as supportive, generating resistance and discontent.
In theory, the Green Deal was meant to be the engine of a more sustainable economy. In reality, it has come to be seen by many as a burdensome set of obligations that are difficult to manage. The pressure to report quick results without solid methodologies generates low-impact projects, increasing the risk of greenwashing. At the same time, European companies face a competitive disadvantage compared to other global economies that do not operate under the same constraints, leading to a visible economic decoupling. On the social and political level, fatigue is evident: both the public and the business environment no longer see the Green Deal as an opportunity, but as a source of constraints.
Our position at Carbon Expert remains firm. We have always defined ourselves through honesty, and we prefer to tell the truth even when it is uncomfortable. We emphasize that we fully support environmental ambitions. Summers in Romania are becoming increasingly hot, and the beauty of our nature : the forests, fields, and mountains, is threatened by wildfires and other extreme events. This is precisely why climate policies are necessary and urgent. However, they must not undermine the country’s economic engine, eradicate thousands of jobs, or weaken competitiveness through burdensome costs and excessive bureaucracy. Only through a real balance between protecting the environment and maintaining a strong economy can we build a durable and fair future for the European society.