At a time when few would contest that climate change presents the great existential challenge of our era, it is remarkable that globally, carbon pricing remains marginal. Carbon taxes and carbon markets (or emissions trading schemes), of different sorts cover less than a fifth of global carbon emissions as of 2022. Nevertheless, the number has been on the rise and it is no stretch to claim that the European Union with its ETS launched in 2005 has played a pivotal role in the proliferation of carbon pricing. Now, the introduction of CBAM should serve as a reminder that the Union is serious about the need for global climate action.

Czechia, like other member states of the European Union, must increasingly deal with the socio-economic effects of Russian aggression in Ukraine and also with its dependence on fossil fuels. Against the background of the ongoing energy crisis, the burning issue of energy poverty is therefore coming to the fore, which traditionally adds a human dimension to the traditionally rather security and technical issue of energy.

The energy crisis, high energy prices and associated negative social impacts led to the initiation of considerations on the future of the internal market for electricity and natural gas and its ability to provide for the needs of households and companies in the European Union in the long term and at acceptable costs. Russia's invasion of Ukraine gave new momentum to the already ongoing discussions. The issue of energy security is coming to the fore, understood increasingly as independence from fossil fuel supplies from potentially unstable or outright hostile countries and regions.