The Estonian Parliament's special committee on the state budget convened to address pressing issues within Estonia's electricity system, particularly focusing on its dependency on oil shale for energy production. This reliance manifests itself in the significant volatility of CO2 quota prices, which directly impacts the cost of electricity. During the meeting, representatives from the Ministry of Climate provided insights into the structure of the CO2 quota system and the underlying reasons for its instability.

The Ministry of Climate's representative clarified that the fluctuations in CO2 quota prices are largely a result of the unique characteristics of Estonia's energy production methods. The heavy use of oil shale entails a complex balance within the quota pricing system, making it susceptible to various external factors. Furthermore, the committee discussed how these price changes affect not only the state budget but also the broader energy market and consumers, emphasizing the need for a more stable and predictable CO2 pricing mechanism.

This discussion signals a critical juncture for Estonia's energy policy as it navigates environmental commitments while ensuring energy affordability and security. The findings from this meeting could pave the way for future policy reforms aimed at restructuring the CO2 quota system, potentially leading to a more sustainable energy framework that accommodates both economic and environmental considerations.