In the European Parliament’s Committee on International Trade (INTA), the rapporteur for the opinion on the Carbon Border Adjustment Mechanism (CBAM), Karin Karlsbro (Renew Europe, Sweden), has her work cut out for her to reach a compromise. More than 500 amendments to her draft opinion (see EUROPE 12874/12), which is due to be voted on in commission at the end of February, have been tabled.
The divisions remain mainly the same as in previous debates, notably on: - the timetable for the exit of free allowances under the Emissions Trading System (ETS); - the sectors covered by the mechanism; - whether or not to include indirect emissions from the production of the goods concerned; - the use of CBAM revenues; - export rebates for European companies; - the authority or authorities responsible for managing the CBAM.
On this last point, the rapporteur of the text in the ENVI Committee, Mohammed Chahim (S&D, Netherlands), suggested that a central authority should be responsible for managing CBAM certificates at European level. The Greens/EFA agree with him on this issue. Ms Karlsbro, on the other hand, maintained in her draft opinion the Commission’s proposal to have national authorities competent in this area.
On the other hand, MEP Christophe Hansen (EPP, Luxembourg) regretted that the discussions in INTA are about the use of CBAM revenues. On the one hand, he considered that this debate should take place in the Budget and Development Committees. On the other hand, he said he was “shocked’ that part of CBAM’s revenues would be allocated to third countries: “The revenues should be used internally to adapt our industry to the ecological transition”, he explained.
Karin Karlsbro recalled that it was important to allocate part of the revenues to the transition of the least developed countries that will be affected by CBAM, especially under the World Trade Organization’s requirements on non-discrimination.
See the draft opinion: https://bit.ly/3nKEl0q (Original version in French by Léa Marchal)