14 Amendments of Josianne CUTAJAR related to 2021/0214(COD)
Amendment 75 #
Proposal for a regulation
Recital 7 a (new)
Recital 7 a (new)
(7 a) Tackling climate change and keeping global warming below 1.5°C requires global action. The Union must not only lead by example, by eliminating its own emissions, including those embedded in the products it imports, but also cooperate with its partners, in accordance with WTO rules, to create an open, multilateral and cooperative global system, acting as a key enabler of the green transition.
Amendment 80 #
Proposal for a regulation
Recital 8
Recital 8
(8) As long as a significant number of the Union’s international partners have policy approaches that do not result in the same level of climate ambition, there is a risk of carbon leakage. An effective CBAM implementation should ensure the creation of a level playing field while encouraging trade partners to decarbonize. Carbon leakage occurs if, for reasons of costs related to climate policies, businesses in certain industry sectors or subsectors were to transfer production to other countries or imports from those countries would replace equivalent but less GHG emissions intensive products. That could lead to an increase in their total emissions globally, thus jeopardising the reduction of GHG emissions that is urgently needed if the world is to keep the global average temperature to well below 2 °C above pre- industrial levels.
Amendment 97 #
Proposal for a regulation
Recital 9
Recital 9
(9) The initiative for a carbon border adjustment mechanism (‘CBAM’) is a part of the ‘Fit for 55 Package’. That mechanism is to serve as an essential element of the EU toolbox to meet the objective of a climate-neutral Union by 2050 in line with the Paris Agreement by addressing risks of carbon leakage resulting from the increased Union climate ambition and ensuring a level playing field to preserve the competitiveness of EU industries.
Amendment 101 #
Proposal for a regulation
Recital 9 a (new)
Recital 9 a (new)
(9 a) Innovation will be crucial to boost growth and competitiveness by empowering EU businesses, in particular SMEs to become global leaders in developing new and clean technology and to achieve the European Green Deal objectives. The Commission and the Member States should channelled incentives and policies for innovation, through a robust Innovation Fund to promote zero-carbon industrial processes.
Amendment 125 #
Proposal for a regulation
Recital 11
Recital 11
(11) The CBAM seeks to replace these existing mechanisms by addressing the risk of carbon leakage in a different way, namely by ensuring equivalent carbon pricing for imports and domestic products. The CBAM should ensure an integrated approach between imports dynamics, the internal market development and the exports. To ensure a gradual transition from the current system of free allowances to the CBAM, the CBAM should be progressively phased in while free allowances in sectors covered by the CBAM are phased out. The combined and transitional application of EU ETS allowances allocated free of charge and of the CBAM should in no case result in more favourable treatment for Union goods compared to goods imported into the customs territory of the Union.
Amendment 199 #
Proposal for a regulation
Recital 29
Recital 29
(29) The goods under this Regulation should be selected after a careful analysis of their relevance in terms of cumulated GHG emissions and risk of carbon leakage in the corresponding EU ETS sectors while limiting complexity and administrative burden. In particular, the actual selection should take into account basic materials and basic products covered by the EU ETS with the objective of ensuring that imports of energy intensive products into the Union are on equal footing with EU products in terms of EU ETS carbon pricing, and to mitigate risks of carbon leakage. Other relevant criteria to narrow the selection should be: firstly, relevance of sectors in terms of emissions, namely whether the sector is one of the largest aggregate emitters of GHG emissions; secondly, sector’s exposure to significant risk of carbon leakage, as defined pursuant to Directive 2003/87/EC; thirdly, the need to balance broad coverage in terms of GHG emissions while limiting complexity and administrative effort. Particular attention should also be paid to the risk of market distortions between the different sectors covered by the CBAM.
Amendment 256 #
Proposal for a regulation
Recital 50 a (new)
Recital 50 a (new)
(50 a) The full effectiveness of the CBAM in tackling the carbon leakage risk both on the EU market and on export markets should be assessed and positively verified through a strong monitoring of the impacts on EU businesses, with a view to modify the present legislation, if necessary.
Amendment 262 #
Proposal for a regulation
Recital 51
Recital 51
(51) To facilitate and ensure a proper functioning of the CBAM, the Commission should ensure interoperability between the national and central databases. The Commission should also provide support to the competent authorities responsible for the application of this Regulation in carrying out their obligations. The Commission should assist enterprises, especially SMEs, in adapting to this Regulation and establish an expert group to share information and best practices with the competent authorities.
Amendment 269 #
Proposal for a regulation
Recital 52
Recital 52
(52) The Commission should evaluate the application of this Regulation before the end of the transitional period and report to the European Parliament and the Council. The report of the Commission should in particular focus on the impact on competitiveness of EU downstream industry and its synchronisation with the technological perspectives and maturities, concerning namely the new clean energy alternatives such as the availability of cost-competitive green hydrogen. The report should also evaluate the possibilities to enhance climate actions towards the objective of a climate neutral Union by 2050. The Commission should, as part of that evaluation, initiate collection of information necessary to possibly extend the scope to indirect emissions, as well as to other goods and services at risk of carbon leakage, and to develop methods of calculating embedded emissions based on the environmental footprint methods47 . __________________ 47Commission Recommendation 2013/179/EU of 9 April 2013 on the use of common methods to measure and communicate the life cycle environmental performance of products and organisations (OJ L 124, 4.5.2013, p. 1).
Amendment 289 #
Proposal for a regulation
Recital 55 a (new)
Recital 55 a (new)
(55 a) To support least developed countries' efforts towards the decarbonisation of their manufacturing industries, financial support should be provided, including through reinforcing climate spending in the Union budget’s Instrument for Pre-Accession Assistance III established by Regulation (EU) 2021/1529 of the European Parliament and of the Council and the relevant geographic and thematic programmes of the Neighbourhood, Development and International Cooperation Instrument established by Regulation(EU) 2021/947 of the European Parliament and of the Council.
Amendment 301 #
Proposal for a regulation
Article 1 – paragraph 1
Article 1 – paragraph 1
1. This Regulation establishes a carbon border adjustment mechanism (the ‘CBAM’) for addressing greenhouse gas emissions embedded in the goods referred to in Annex I, upon their importation into the customs territory of the Union, in order to ensure a level playing field to preserve the competitiveness of EU industries, and thus to prevent the risk of carbon leakage.
Amendment 358 #
Proposal for a regulation
Article 2 – paragraph 12 a (new)
Article 2 – paragraph 12 a (new)
12a. The Union may pursue complementary approaches to CBAM through cooperation and dialogue with third countries, with a view to conclude agreements on open, multilateral and cooperative approaches to tackle carbon leakage and achieve the deep decarbonisation of energy intensive industries, including through non-pricing policies. The introduction of CBAM and the proposal to increase cooperation and dialogue with third countries may actively contribute to tackle climate challenges at international level.
Amendment 463 #
Proposal for a regulation
Article 12 – paragraph 1 a (new)
Article 12 – paragraph 1 a (new)
The Commission shall provide enterprises, especially SMEs, with technical advice and assistance in order to facilitate their adaptation to the obligations laid down in this Regulation.
Amendment 464 #
Proposal for a regulation
Article 12 – paragraph 1 b (new)
Article 12 – paragraph 1 b (new)
The Commission shall set up an expert group representing the competent authorities in order to exchange information and best practices on the application of this Regulation.