Lawmakers in the European Parliament on Friday (5 February) backed a levy on carbon-intensive products imported into Europe, calling on the European Commission to introduce a so-called “carbon border adjustment mechanism” as quickly as possible.
In a resolution adopted on Friday (5 February), the European Parliament’s environment committee emphasised the need for the levy to be WTO-compatible and introduced no later than 2023.
“A carbon border adjustment mechanism should cover all imports, but as a starting point already by 2023, it should cover the power sector and energy-intensive industrial sectors like cement, steel, chemicals and fertilisers,” reads the opinion.
The resolution sees the levy as a way to decarbonise in Europe and beyond by exposing imported goods to the same carbon costs faced by EU manufacturers.