\u201cInconsistencies in the figures of default values and benchmarks would dilute the incentive for cleaner production processes and allow high-emission imports to enter the EU market with insufficient carbon costs,\u201d said one CBAM industry representative, granted anonymity to discuss the sensitive talks. \u201cThis could result in a CBAM that is not only significantly less effective but most likely counterproductive.\u201d<\/p>\n
The default values for CO2 emissions are like a stick. When the legislation was designed, they were expected to be set quite high to \u201cpunish importers that are not providing real emission data,\u201d and encourage companies to report their actual emissions to pay a lower CBAM fee, said Leon de Graaf, acting president of the Business for CBAM Coalition.<\/p>\n
But if these default values are too low then importers no longer have any incentive to provide their real emissions data. They risk making the CBAM less effective because it allows imported goods to appear cleaner than they really are, he said.<\/p>\n
The Commission is under pressure to adopt these EU acts quickly as they\u2019re needed to set the last technical details for the implementation of the CBAM, which applies from Jan. 1.<\/p>\n
However, de Graaf warned against rushing that process.<\/p>\n
On the one hand, importers \u201cneeded clarity yesterday\u201d because they are currently agreeing import deals for next year and at the moment \u201ccannot calculate what their CBAM cost will be,\u201d he said.<\/p>\n
But European importers are worried too, because once adopted the default emission values will apply for the next two years, the draft documents suggest<\/a>. The CBAM regulation<\/a> states that the default values \u201cshall be revised periodically.\u201d<\/p>\n \u201cIt means that if they are wrong now \u2026 they will hurt certain EU producers for at least two years,\u201d de Graaf said.<\/p>\n","protected":false},"excerpt":{"rendered":"\u201cInconsistencies in the figures of default values and benchmarks would dilute the incentive for cleaner production processes and…\n","protected":false},"author":2,"featured_media":604589,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5174],"tags":[1212,17467,768,2813,26258,35753,1395,2311,50712,2437,2814,10594,5398,2000,299,5187,34065,1214,10686,55223,475,730,806,2441,189546,2443,1218,1200,1201],"class_list":{"0":"post-604588","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-eu","8":"tag-aluminum","9":"tag-benchmarks","10":"tag-borders","11":"tag-carbon","12":"tag-carbon-border-tax","13":"tag-cement","14":"tag-china","15":"tag-climate-change","16":"tag-co2","17":"tag-companies","18":"tag-data","19":"tag-decarbonization","20":"tag-emissions","21":"tag-eu","22":"tag-europe","23":"tag-european","24":"tag-european-green-deal","25":"tag-exports","26":"tag-fertilizers","27":"tag-footprint","28":"tag-imports","29":"tag-india","30":"tag-industry","31":"tag-markets","32":"tag-multilateral-trade","33":"tag-regulation","34":"tag-steel","35":"tag-tax","36":"tag-trade"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115642395810978261","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/604588","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=604588"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/604588\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/604589"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=604588"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=604588"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=604588"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}