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EU ministers mull carbon border tax, argue over nuclear’s green credentials

(EurActiv, 21 Jan 2022) European Union environment ministers gathered in France Thursday (20 January) to mull climate policy and the merits of a carbon border tax, while airing differences on whether nuclear energy can be classified as “green”.

The two-day informal talks in Amiens, hosted by France as it takes the rotating reins of the EU presidency, will look for a unified path toward achieving the 27-nation bloc’s ambitious target of slashing carbon emissions 55% from 1990 levels.

Discussion on overhauling the EU’s electricity market and carbon-trading system, already fraught, unfolds against a backdrop of sharp increases in energy prices, especially natural gas.

EU energy ministers will join the fray on Friday, and then continue on with separate talks.

Since last year, French President Emmanuel Macron has led the charge for the rapid implementation of a “carbon border adjustment mechanism”, essentially a tax on imported products made in countries with less stringent rules on reducing carbon pollution.

The objective is to avoid shifting Europe’s carbon emissions overseas as they are reduced at home – known as “carbon leakage”.

The sectors affected include steel, alumium, cement, fertiliser and electricity.

China is opposed to such a tax, with Beijing saying last year when the plan was unveiled that it would “violate World Trade Organisation (WTO) principles.”

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EurActiv, 21 Jan 2022: EU ministers mull carbon border tax, argue over nuclear’s green credentials