Brussels, 25/11/2015 (Agence Europe) - Border carbon emissions adjustment, proposed by MEP Édouard Martin (S&D, France) in a report on the future of the steel-making sector, was strongly criticised by a section of the European Parliament when the issue was debated in the evening of Tuesday 24 November, with Industry Commissioner Elzbieta Bienkowska in attendance.
Such a measure would be tantamount to adopting a protectionist policy, said Ashley Fox (ECR, UK), arguing that the real problem is, in fact, the EU's environmental policy, in particular the carbon trading scheme (ETS) which is damaging the sector's competitiveness. A number of MEPs, such as Krisjanis Karins (EPP, Latvia), would seem to be of the same view on the latter point. Angelika Mlinar (ALDE, Austria), without calling into question the entire policy, wanted a fair balance to be found between the need to address climate change and need to be able to compete internationally. She said that “in order to avoid any confusion”, the ETS should be the subject of a separate report and should not be addressed in the report presented.
On the other hand, in the opinion of the Greens, border adjustment is a valuable tool, according to Claude Turmes (Luxembourg). He opined that the problem is not European climate policy but the crisis and austerity policies that have crippled demand. “I'll be very clear: if we do not bring in border (carbon emissions) adjustment then, indeed, we will be putting protectionist measures in place”, retorted the rapporteur. He opined that, abandoning this measure would be just like protecting the US, Indian and Chinese markets from European competition, given that “external polluters” would not be required to pay for the pollution they create.
A Parliamentary source close to the matter told EUROPE that the adjustment issue is causing a certain degree of controversy among MEPs, highlighting, for instance, reticence on the part of the Germans who are fearful for their exports resulting from the higher costs of imported metals that such a measure would bring.
Industry Commissioner Bienkowska was not prepared to commit herself on this issue but did say that she backed the report. This was confirmed by Martin's office which, in its exchanges with DG Markets and Industry, noted that the report had been well received - but it still remains for Bienkowska to win the support of the College of Commissioners.
Following on from the extraordinary Competitiveness Council held on 9 November, the conclusions of which were given a mixed reception (see EUROPE 11428), a high-level conference will be held before the end of the year. Foreign affairs ministers will discuss the issue on 27 November. In addition, the commissioner announced, a high-level group of member state experts will meet on 18 December, shortly after the plenary session vote on the own initiative report on 15 December. (Original version in French by Pascal Hansens)