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EU countries agree world’s first carbon tariff, but leave out controversial issues
(EurActiv, 16 Mar 2022) The EU’s 27 economy ministers reached an agreement on Tuesday (15 March) to introduce a carbon levy on imports of highly-polluting goods like steel, cement and fertilisers, but kicked the can down the road on controversial aspects like the use of revenues coming from the scheme.
The carbon border adjustment mechanism (CBAM) was proposed by the European Commission last year as a way to protect EU industry from imports of products coming from countries where it is cheaper to pollute.
Making headway on the idea is a priority for France which currently holds the rotating presidency of the EU. According to French economy minister Bruno Le Maire, who chaired yesterday’s meeting, the agreement between EU countries on CBAM is “a victory for European climate policy”.
“It will give us a tool to speed up the decarbonisation of our industry, while protecting it from companies from countries with less ambitious climate goals,” he said.
“It will also incentivise other countries to become more sustainable and emit less. Finally, this mechanism responds to our European ambitious strategy that is to accelerate Europe’s energy independence,” he added.
EU countries want the levy to cover cement, aluminium, fertilisers, electric energy production, iron and steel.
The ministers agreed with a sizeable majority on their stance, which envisages greater centralisation of the scheme, including the creation of a new registry for importers at the EU level.
EurActiv, 16 Mar 2022: EU countries agree world’s first carbon tariff, but leave out controversial issues
