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How CBAM can become a steppingstone towards carbon pricing globally
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2600-271X
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EUI; STG; Policy Brief; 2023/06
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DELBEKE, Jos, VIS, Peter, How CBAM can become a steppingstone towards carbon pricing globally, EUI, STG, Policy Brief, 2023/06 - https://hdl.handle.net/1814/75472
Abstract
Following the introduction of the EU’s Carbon Border Adjustment
Mechanism (CBAM), this policy brief considers issues relating to
its implementation, in particular the possibility to reduce CBAM
liability if a carbon price has already been paid in the country
of origin of the goods. This provision is designed to incentivise
the use of carbon pricing across the world. However, the legal
text leaves room for interpretation and the EU will have to clarify
these issues further in the coming months. This offers a golden
opportunity to encourage carbon pricing in third countries,
whether regulatory or non-regulatory, and thereby strengthen
global action to address climate change.
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Funded by the European Union.