The Balancing Act:Risks and Benefits ofIntegrating PermanentCarbon Removals intothe EU ETSCACLEAN AIRTFTASK FORCECONCITODecember 2024Table of ContentsExecutive Summary and Recommendations....11 Objectives of the Report12 Selection of Policy Options1.3 Selection of Permanent Carbon Removal Methods...1222.1 Assessment Criteria to Evaluate Policy Options.152.2 Quantitative and Qualitative Insights to Evaluate Policy Options....................173.1 Direct Integration into the EU ETS (Policy Option 1).183.2 Direct Integration into the EU ETS with a Maintained Emissions Cap (Policy Option 2)........253.3 Direct Integration into the EU ETS with Supply Controls (Policy Option 3)........................93.4 Integration into the EU ETS Through an Intermediary Institution (Policy Option 4)..............343.5 Summary and Pathway to Integration...........4.1 Supporting Policies..............4.2 Evolution of Emissions Trading in the EU..43Appendix 3-Literature Review on Intermediary Institution ..........................53The Balancing Act:Risks and Benefits of Integrating Permanent Carbon Removals into the EU ETS