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Carbon border levy should start with steel, cement and fertilisers, says Poland
(EurActiv, 29 Apr 2021) Steel, cement and fertilisers should be among the first sectors covered by the upcoming carbon border levy aimed at safeguarding European businesses from cheaper CO2 intensive imports, according to Poland.
“Poland argues in favour of the implementation of a carbon border adjustment mechanism pilot phase, which would include at least the three following sectors at the beginning: steel, cement and fertilisers,” said Adam Guibourgé-Czetwertyński, undersecretary of state in the Polish Ministry of Climate and Environment.
The European Commission, which announced the border levy as part of its European Green Deal programme of environmental measures, said the goal of the proposal will be to avoid the risk of “carbon leakage” whereby companies relocate manufacturing abroad to countries where pollution costs are lower.
Although there is little evidence of carbon leakage to date, the risk is real and will only increase as the European Union adopts tougher climate goals for 2030, the EU executive said.
“We think that our approach should be both gradual and economically efficient to allow for a careful impact evaluation and a measured response to prevent carbon leakage, where it is most likely to occur,” Guibourgé-Czetwertyński said during a conference organised by Business & Science Poland, an employer’s association.
EurActiv, 29 Apr 2021: Carbon border levy should start with steel, cement and fertilisers, says Poland
