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While the IIA raises several issues within a possible ETS extension, the Regulatory Assistance Project (RAP) focuses here on just four, all related to the buildings sector. 1. Simply extending the ETS to the buildings sector is not an effective answer.

•Enel welcomes the approach of the legislative initiative, aimed at strengthening the EU ETS, and the ambitious package of policies and measures to accelerate the just transition to a low-carbon economy. It is critical for the EC to adopt a holistic approach enhancing carbon pricing alongside complementary policies and measures.

Please, find below a synthesis of Enel’s view on EU ETS revision proposal. For further details, please see the attached document. Enel welcomes the EU ETS Directive’s “Fit for 55” proposal of reform as it fits with the increased EU climate ambition and will help provide stable and predictable carbon price signals.

The Regulatory Assistance Project would like to submit one recent study on rebalancing energy prices. It contains examples of how to lower energy prices for residential heating and may be useful for the Commission in promoting such strategies in line with the objective from the Action Plan for Affordable Energy to lower taxation of electricity and remove non-energy cost components from electricity bills.

Enel welcomes the inclusion of the EU Electrification Action Plan (EAP) as one of the key actions from this European Commission to ensure that all Europeans have access to affordable energy and the opportunity brought to all stakeholders to provide timely feedback to the action plan.