By Kate Abnett

BRUSSELS (Reuters). The European Parliament has rejected a proposal for reforming the European Union’s Carbon Market. Instead, it will send it back into a parliamentary commission to be redrafted. In rare moves that expose divisions over the largest policy of the bloc on climate change and can delay the proposed measure.

This vote prevented an EU assembly from confirming its position in negotiations over the final carbon-market law. Instead, lawmakers split on whether or not to strengthen the EU’s emission trading system (ETS).

ETS is an EU policy that reduces greenhouse gas emissions. It forces power plants to buy CO2 permits if they pollute. This upgrade, along with many other climate policies, aims to get the EU, which is the third largest polluter in the world, back on track towards its 2020 target of decreasing net emissions by 55%, compared to 1990.

After initial votes showed that parliament’s ambition would be lessened than it was, Socialist and Green lawmakers rejected the proposal for a carbon market. It was also rejected by right-wingers, including European Conservatives and Reformists. However, they did agree to accept some compromises prior to the vote.

Peter Liese was the parliament’s chief negotiator in relation to reforming the carbon markets. He urged his peers to go back to the committee again to seek out a proposal which would be supported.

He said, “All who voted against today are free to think again…please don’t kill ETS.”

A rare rejection may delay the completion of the law, which is what the EU is trying to achieve by the end this decade.

The Parliament votes Wednesday on seven climate change policy proposals. However, their outcome is uncertain due to concerns over rising energy costs and inflation. This coincides with Europe’s pledges to reduce global warming.

The lawmakers have a split decision on how to support or undermine the plans. They will also consider hundreds of modifications.

Brussels touts these policies as a way of swapping Russian fossil fuels in favor of locally-produced energy. This will eventually lower energy prices, and avoid the spiraling costs associated with failing to combat global warming.

However, some legislators cite the immediate costs of energy, the economic implications of the Ukraine conflict, and the necessity to give industries greater time to adapt to the situation as reasons for slowing down.

One of the key votes will focus on proposals to cut CO2 emissions for new cars up to 100% by 2035. It effectively prohibits sales of new combustion engine vehicles in Europe. Some legislators want it to be lowered to 90%. It is up to the voters whether or not the EU will implement a carbon levy that would apply to imports of carbon-intensive products like steel and cement.

Emails that Reuters has seen show how industry lobbyists have urged politicians to weaken or delay the legislation.