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IIFIEC Paper Required EU ETS upgrades for European manufacturing industry to realise Carbon Neutral Future

Klimaat EmissieRapport1 mei 2021Jacques van de Worp

A secure legal and economic framework with effective and adequate carbon leakage protection are crucial for the energy-intensive industry to maintain international competitiveness and at the same time enable the transformation towards a carbon neutral economy.

The main target of the green deal is to pave the way to reach carbon neutrality by 2050. The EU shall focus on the reduction of the European carbon footprint while avoiding carbon leakage that would increase the worldwide GHG emissions. Carbon leakage protection should be effective. Thus, the current measures that address the risk of carbon leakage should be not only maintained but as they will be not sufficient, also complemented by an additional protection scheme. It must be ensured that the planned reform of emissions trading does not lead to additional cost increase for industrial installations in Europe, and thus to a decrease in competitiveness of the European industry.

Bron: CE Delft