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CEMBUREAU reacts to European Parliament vote on carbon border adjustments

Published by , Deputy Editor
World Cement,

CEMBUREAU, the European Cement Association, has reacted to the adoption of the European Parliament’s Environment Committee report on Carbon Border Adjustment Mechanisms (CBAM).

“A CBAM is a useful tool to address the imports of products not subject to similar carbon constraints in the European Union and therewith mitigates the carbon leakage risk allowing the European cement industry to deliver low-carbon investments. The Environment Committee’s report highlights some key points in this respect, notably that a CBAM should result in EU and non-EU suppliers competing on the same CO2 costs basis; that the scope of CBAM should be wide to avoid market distortions, and that both direct and indirect emissions should be included,” commented Koen Coppenholle, CEO of CEMBUREAU.

“However, a pragmatic approach is needed regarding the interaction of CBAM with the existing carbon leakage measures. A full co-existence of CBAM and free allocation is essential to minimise risks for the industry, avoid distortions on the internal market, safeguard the competitiveness of exports, and provide certainty for investors. Such full co-existence, which can be done without any risk of ‘double protection’, should last at least until the end of phase IV of the EU ETS in 2030, following which the CBAM will be hopefully mature and expanded to cover most sectors of the economy”.

The own-initiative report, which was adopted by the Environment Committee on 05 February, is to be considered in the European Parliament’s plenary session in March. On its side, the European Commission is expected to deliver legislative proposals on CBAM as part of its ‘Fit for 55% package’ in June 2021.

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European cement news Construction news