In a recent statement to ERR, Estonia's Minister of Energy and Environment, Andres Sutt, clarified that the country has no intentions of following Italy's lead in compensating fossil fuel power plants for the costs associated with purchasing carbon quotas. Sutt's remarks come amidst Italy's plans for a comprehensive reform of its electricity market, aimed at eliminating carbon costs from electricity bills. This reform has significantly impacted future trading prices, leading to a notable decline in fees associated with electricity.

Estonia is pivoting towards increasing its renewable energy supply as the most economically viable solution to reduce electricity bills and mitigate the effects of carbon costs. Sutt emphasized that investing in renewable energy will provide a more permanent solution to price volatility associated with carbon emissions. By bolstering the supply of affordable renewable energy, Estonia aims to lessen the impact of the EU's Emissions Trading System (ETS) costs on the final electricity prices that consumers face.

The divergence in strategies highlights the varying approaches European nations are taking in response to carbon pricing and the transition toward greener energy solutions. While Italy adopts a compensatory measure for fossil fuel power plants, Estonia is focusing on sustainable energy development, reinforcing its commitment to environmental stewardship and economic resilience in the face of fluctuating global energy markets.