The German think tank Agora Energiewende has published a report on the implementation of the Carbon Border Adjustment Mechanism (CBAM). The author suggests, among other things, that export assistance for European companies in sectors covered by the CBAM should be considered.
“Insofar as exporters will lose market share to more carbon-intensive competitors, carbon leakage will occur”, says report author Oliver Sartor.
He also joins the camp of those who believe that free allocation of...