120 Amendments of Laura HUHTASAARI related to 2021/0214(COD)
Amendment 181 #
Proposal for a regulation
Recital 10
Recital 10
(10) Existing mechanisms to address the risk of carbon leakage in sectors or sub- sectors at risk of carbon leakage are the transitional free allocation of EU ETS allowances and financial measures to compensate for indirect emission costs incurred from GHG emission costs passed on in electricity prices respectively laid down in Articles 10a(6) and 10b of Directive 2003/87/EC. However, free allocation under the EU ETS weakens theSuch mechanisms are based on strict product benchmarks (or by default using fall back benchmarks such as heat, fuel and prioce signal that the system provides for the installations receiving it compared to full auctioning and thus affects the incentives for investment into further abatement of emissions. ss emissions) set by the best performing installations so that they preserve an incentive to reduce emissions under the ETS and provide a carbon price signal for emissions above the benchmark level. Both approaches have proven so far to be effective in mitigating the risk of carbon leakage.
Amendment 193 #
Proposal for a regulation
Recital 11
Recital 11
(11) The CBAM seeks to replacestrengthen carbon leakage protection in view of higher EU climate ambition by 2030 and thereafter replace progressively 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. 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 and by ensuring that EU products exported in the global market are not replaced by more carbon intensive products, which would undermine the objective of reducing global emissions. As indicated in the Impact Assessment accompanying the Commission proposal, “changes in employment are largely driven by the presence(or not) of free allocation”, since retaining free allocation results in better impact on employment. 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 as of 2030 after a test phase and .an assessment by the Commission has proven the effectiveness of the CBAM regulation in terms of protection from the risk of carbon leakage both for imports and exports. 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 220 #
Proposal for a regulation
Recital 11 a (new)
Recital 11 a (new)
(11a) First, under the import provisions, the CBAM seeks to ensure equivalent carbon pricing for imports and domestic products. 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 progressively phased out as of 2030 and only provided that the CBAM has proved to be effective to prevent the risk of carbon leakage both for imports and exports. 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 231 #
Proposal for a regulation
Recital 11 b (new)
Recital 11 b (new)
Amendment 260 #
Proposal for a regulation
Recital 13
Recital 13
(13) As an instrument to prevent carbon leakage and reduce GHG emissions the CBAM, under the import provisions, should ensure that imported products are subject to a regulatory system that applies carbon costs equivalent to the ones that otherwise would have been borne under the EU ETS. Under the export provisions, the CBAM should ensure that allowance adjustments provided to European exported products simply calibrate the regulatory obligation and the net regulatory burden imposed in the Union when these products are exported to third countries which have not yet limited or priced GHG emissions at the same levels as the EU. The CBAM is a climate measure which should prevent the risk of carbon leakage and support the Union’s increased ambition on climate mitigation, while ensuring WTO compatibility..
Amendment 281 #
Proposal for a regulation
Recital 14
Recital 14
(14) This Regulation should apply to goods imported into the customs territory of the Union from third countries, except where their production has already been subject to the EU ETS, whereby it applies to third countries or territories, or to a carbon pricing system fully linked with the EU ETS. Exceptions will be granted only to those goods imported into the customs territory of the Union which are subject to carbon cost burden equivalent to that incurred under the EU ETS.
Amendment 286 #
Proposal for a regulation
Recital 14 a (new)
Recital 14 a (new)
(14a) This Regulation should also apply to goods produced in EU installations subject to the EU ETS and exported from the customs territory of the Union to third countries which have not yet limited or priced GHG emissions at the same levels as the EU.
Amendment 291 #
Proposal for a regulation
Recital 15
Recital 15
(15) In order to exclude from the CBAM third countries or territories fully integrated into, or linked, to the EU ETS and where the carbon cost burden is equivalent to that under the EU ETS, in the event of future agreements, the power to adopt acts in accordance with Article 290 of TFEU should be delegated to the Commission in respect of amending the list of countries in Annex II. Conversely, those third countries or territories should be excluded from the list in Annex II and be subject to CBAM whereby they do not effectively charge the ETS price on goods exported to the Union.
Amendment 312 #
Proposal for a regulation
Recital 17 a (new)
Recital 17 a (new)
(17a) The implementing act pursuant to Article 7(6) shall include all input materials that contribute significantly to GHG emissions. In the case of stainless steel (CN codes 7218-7223), ferro-alloys shall be included in the list of input materials as they fulfil this criterion
Amendment 320 #
Proposal for a regulation
Recital 19
Recital 19
(19) However, while the EU ETS sets an absolute cap on the GHG emissions from the activities under its scope and allows tradability of allowances (so called ‘cap and trade system’), the CBAM should not establish quantitative limits to import or export, so as to ensure that trade flows are not restricted. Moreover, while the EU ETS applies to installations based in the Union, the CBAM should be applied to certain goods imported into or exported from the customs territory of the Union.
Amendment 329 #
Proposal for a regulation
Recital 21
Recital 21
(21) In order to preserve its effectiveness as a carbon leakage measure, the CBAM needs to reflect closely the EU ETS price. While on the EU ETS market the price of allowances is determined through auctions, the price of CBAM certificates for imports should reasonably reflect the price of such auctions through averages calculated on a weekly basis. Such weekly average prices reflect closely the price fluctuations of the EU ETS and allow a reasonable margin for importers to take advantage of the price changes of the EU ETS while at the same ensuring that the system remains manageable for the administrative authorities.
Amendment 332 #
Proposal for a regulation
Recital 22
Recital 22
(22) Under the EU ETS, the total number of allowances issued (the ‘cap’) determines the supply of emission allowances and provides certainty about the maximum emissions of GHG. The carbon price is determined by the balance of this supply against the demand of the market. Scarcity is necessary for there to be a price incentive. As it is not possible to impose a cap on the number of CBAM import certificates available to importers, if importers had the possibility to carry forward and trade CBAM import certificates, this could result in situations where the price for CBAM import certificates would no longer reflect the evolution of the price in the EU ETS. That would weaken the incentive for decarbonisation between domestic and imported goods, favouring carbon leakage and impairing the overarching climate objective of the CBAM. It could also result in different prices for operators of different countries. Therefore, the limits to the possibilities to trade CBAM import certificates and to carry them forward is justified by the need to avoid undermining the effectiveness and climate objective of the CBAM and to ensure even handed treatment to operators from different countries. However, in order to preserve the possibility for importers to optimise their costs, this Regulation should foresee a system where authorities can re-purchase a certain amount of excess certificates from the importers. Such amount is set at a level which allows a reasonable margin for importers to leverage their costs over the period of validity of the import certificates whilst preserving the overall price transmission effect, ensuring that the environmental objective of the measure is preserved.
Amendment 338 #
Proposal for a regulation
Recital 23
Recital 23
(23) Given that the CBAM, under the import provisions, applies to imports of goods into the customs territory of the Union rather than to installations, certain adaptations and simplifications would also need to apply in the CBAM regime. One of those simplifications should consist in a declarative system where importers should report the total verified GHG emissions embedded in goods imported in a given calendar year. A different timing compared to the compliance cycle of the EU ETS should also be applied to avoid any potential bottleneck resulting from obligations for accredited verifiers under this Regulation and the EU ETS.
Amendment 340 #
Proposal for a regulation
Recital 23 a (new)
Recital 23 a (new)
(23a) Under the export provisions of the CBAM, given that the installations concerned can be easily identified, the CBAM would apply to EU installations. Operators will be provided adjustment allowances resulting from exports that will be either deducted from the amount of allowances above the product benchmark, or by default, the amount of allowances not covered by the fall back benchmarks to be surrendered to the competent authority. The adjustment allowances provided for exported products will calibrate the regulatory obligation and the net regulatory burden imposed under the CBAM regime when those goods are exported from the customs territory of the Union to third countries which have not yet limited or priced GHG emissions at the same levels as the EU.
Amendment 343 #
Proposal for a regulation
Recital 23 b (new)
Recital 23 b (new)
(23b) Given the unique nature of the CBAM and the need for close EU coordination, a CBAM authority at the EU level should be established to properly implement and monitor the import and export provisions of the CBAM.
Amendment 345 #
Proposal for a regulation
Recital 24
Recital 24
(24) In terms of sanctions, Member Statpenalties should apply penalties to infringements of this Regulation and competent authorities in the EU should ensure that they are implemented. The amount of those penalties should be identical to penalties currently applied within the Union in case of infringement of EU ETS according to Article 16(3) and (4) of Directive 2003/87/EC. However, in case of circumvention or absorption practices or in case of repeated infringements of the provisions of the present Regulation, stronger penalties should apply to avoid undermining the effectiveness of the CBAM regime.
Amendment 350 #
Proposal for a regulation
Recital 25
Recital 25
(25) While the EU ETS applies to certain production processes and activities, the CBAM should target the corresponding imports or exports of goods. That requires clearly identifying imported or exported goods by way of their classification in the Combined nomenclature41 [1](‘CN’) and linking them to embedded GHG emissions. __________________ 41Council Regulation (EEC) No 2658/87 of 23 July 1987 on the tariff and statistical nomenclature and on the Common Customs Tariff (OJ L 256, 7.9.1987, p. 1). (.[1] statistical nomenclature and on the Common Customs Tariff (OJ L 256,7.9.1987, p. 1).)Or. en Council Regulation (EEC) No 2658/87 of 23 July 1987 on the tariff and
Amendment 394 #
Proposal for a regulation
Recital 35 a (new)
Recital 35 a (new)
(35a) In case European industries producing goods subject to the CBAM face serious difficulties as a result of its implementation, an in-depth assessment developed in close cooperation with the industrial sectors should be made as promptly as possible to examine whether a CBAM is effective and practicable.
Amendment 399 #
Proposal for a regulation
Recital 36 a (new)
Recital 36 a (new)
(36a) Before widening the scope of the CBAM to new sectors, including downstream products using goods covered by the CBAM, a prior assessment should be made by the European Commission in consultation with the industrial sectors in order to check its practicability and effectiveness.
Amendment 402 #
Proposal for a regulation
Recital 36 b (new)
Recital 36 b (new)
(36b) Circumvention practices must be prohibited, where a change in the pattern of trade between third countries and the Union or between third countries, or between individual companies or within the same undertaking in relation with products included in the scope of this regulation, whether slightly modified or not, stems from a practice, process or work that have insufficient due cause or economic justification other than avoiding obligations as laid down in this Regulation. Those practices should include all types of circumvention practices, including resource shuffling, cost absorption, manipulation of emissions data, wrongful labelling of goods and slight modifications of the product so as to import a product under a different customs code thereby avoiding the present Regulation.
Amendment 413 #
Proposal for a regulation
Recital 43
Recital 43
(43) CBAM certificates for imports differ from EU ETS allowances for which daily auctioning is an essential feature. The need to set a clear price for CBAM import certificates makes a daily publication excessively burdensome and confusing for operators, as daily prices risk becoming obsolete upon publication. Thus, the publication of CBAM prices on a weekly basis would accurately reflect the pricing trend of EU ETS allowances and pursue the same climate objective. The calculation of the price of CBAM import certificates should therefore be set on the basis of a longer timeframe (on a weekly basis) than in the timeframe established by the EU ETS (on a daily basis). The Commission should be tasked to calculate and publish that average price.
Amendment 415 #
Proposal for a regulation
Recital 44
Recital 44
(44) In order to give the authorised declarants flexibility in complying with their CBAM obligations and allow them to benefit from fluctuations in the price of EU ETS allowances, the CBAM import certificates should be valid for a period of two years from the date of purchase. The authorised declarant should be allowed to re-sell to the national authority a portion of the certificates bought in excess. The authorised declarant should build up during the year the amount of certificates required at the time of surrendering, with thresholds set at the end of each quarter.
Amendment 436 #
Proposal for a regulation
Recital 50
Recital 50
(50) A transitional period should apply during the period 2023 until 2025. AUnder the import provisions, a CBAM without financial adjustment should apply, with the objective to facilitate a smooth roll out of the mechanism hence reducing the risk of disruptive impacts on trade. Declarants should have to report on a quarterly basis the actual embedded emissions in goods imported during the transitional period, detailing direct and indirect emissions as well as any carbon price paid abroad.
Amendment 445 #
Proposal for a regulation
Recital 50 a (new)
Recital 50 a (new)
(50a) Under the export provisions of the CBAM, the allowance adjustments for exports would be implemented as of the start of the phasing out of EU ETS allowances allocated free of charge. A transitional period of two years before the implementation of allowance adjustments for exports is needed to ensure a swift implementation of the mechanism. In this respect, the declarants should notify the allowance adjustments resulting from exports, which would have to be deducted from the annual amount of allowances above the benchmark, or by default, the amount of allowances not covered by the fallback benchmarks to be surrendered to the competent authority. Particular attention should be paid to the arrangements for the calculation of corresponding allowance adjustments, the operation of registries, the application of the monitoring and reporting guidelines and verification.
Amendment 461 #
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 possibilities to enhance climate actions towards the objective of a climate neutral Union by 2050 and possibilities to improve carbon leakage measures. The Commission shouldall, 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, including downstream products using goods covered by the CBAM, and to develop methods of calculating embedded emissions based on the environmental footprint methods47 .[1]. With regard to indirect emissions, the evaluation shall take into account the mismatch between indirect carbon costs and indirect carbon emissions and that EU producers are exposed to carbon costs passed on in electricity prices due to the functioning of the EU energy market (indirect carbon costs) __________________ 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). ().[1] common methods to measure and communicate the life cycle environmental perfOr. en Commission Recommendation 2013/179/EU of 9 April2013 on the use of products and ormgance ofisations (OJ L 124,4.5.2013, p. 1).)
Amendment 470 #
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 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 . With regard to indirect emissions, the evaluation shall take into account the exposure of EU producers to carbon costs passed on in electricity prices due to the functioning of the EU energy market. __________________ 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 503 #
Proposal for a regulation
Recital 54
Recital 54
(54) The Commission should strive to engage in an even handed manner and in line with the international obligations of the EU, with the third countries whose trade to the EU is affected by this Regulation, to explore possibilities for dialogue and cooperation with regard to the implementation of specific elements of the Mechanism set out this Regulation and related implementing acts. It should also explore possibilities for concluding agreements to take into account their carbon pricing mechanism, provided that they deliver equivalent GHG emissions reductions and carbon costs constraints.
Amendment 527 #
Proposal for a regulation
Recital 59
Recital 59
(59) It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert and industry level, and that those consultations be conducted in accordance with the principles laid down in the Interinstitutional Agreement on Better Law-Making of 13 April 201651 . In particular, to ensure equal participation in the preparation of delegated acts, the European Parliament and the Council receive all documents at the same time as Member States' experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts. __________________ 51Interinstitutional Agreement between the European Parliament, the Council of the European Union and the European Commission on Better Law-Making (OJ L 123, 12.5.2016, p. 1).
Amendment 542 #
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 or exportation from the customs territory of the Union, in order to prevent the risk of carbon leakage.
Amendment 545 #
Proposal for a regulation
Article 1 – paragraph 2
Article 1 – paragraph 2
2. The CBAM complements the system established for greenhouse gas emission allowance trading within the Union by Directive 2003/87/EC by applying an equivalent set of rules to imports into theor exports from customs territory of the Union of goods referred to in Article 2.
Amendment 551 #
Proposal for a regulation
Article 1 – paragraph 3
Article 1 – paragraph 3
3. The mechanism willshall, if effective, progressively become an alternative to the mechanisms established under Directive 2003/87/EC to prevent the risk of carbon leakage, notably the allocation of allowances free of charge in accordance with Article 10a of that Directive, without prejudice to the maintenance of EU ETS allowances allocated free of charge until 2030 and only provided that the CBAM has proven to be effective to prevent the risk of carbon leakage both for imports into or exports from the customs territory of the Union.
Amendment 582 #
Proposal for a regulation
Article 2 – paragraph 2 a (new)
Article 2 – paragraph 2 a (new)
2a. This Regulation also applies to goods listed in Annex I when those goods are produced in EU installations subject to the EU ETS and exported from the Customs territory of the European Union to third countries, which have not yet limited or priced GHG emissions at the same levels as the EU.
Amendment 584 #
Proposal for a regulation
Article 2 – paragraph 3
Article 2 – paragraph 3
3. By way of derogation from paragraphs 1, 2 and 2a, this Regulation does not apply to goods originating in or exported to countries and territories listed in Annex II, Section A.
Amendment 593 #
Proposal for a regulation
Article 2 – paragraph 5 – point b a (new)
Article 2 – paragraph 5 – point b a (new)
(ba) the regulatory obligation and the net regulatory burden imposed in the country where the goods are originating in are equivalent to those imposed under the EU ETS.
Amendment 639 #
Proposal for a regulation
Article 3 – paragraph 1 – point 4 a (new)
Article 3 – paragraph 1 – point 4 a (new)
(4a) ‘exportation’ means the release for export of goods produced in EU installations subject to the EU ETS as provided in Article 269 of regulation (EU) N° 952/2013;
Amendment 642 #
Proposal for a regulation
Article 3 – paragraph 1 – point 11
Article 3 – paragraph 1 – point 11
(11) ‘competent authority’ means the CBAM authority at the EU level and the national authority, designated by each Member State in accordance with Article 11 of this Regulation;
Amendment 648 #
Proposal for a regulation
Article 3 – paragraph 1 – point 13
Article 3 – paragraph 1 – point 13
(13) ‘declarant’ means a person lodging a customs declaration, either for release for free circulation in its own name or for export, or the person in whose name such a declaration is lodged in accordance with Regulation (EU) No 952/2013;
Amendment 656 #
Proposal for a regulation
Article 3 – paragraph 1 – point 19
Article 3 – paragraph 1 – point 19
(19) ‘surrender’ means offsetting of CBAM certificates against the declared embedded emissions in imported or exported goods;
Amendment 661 #
Proposal for a regulation
Article 3 – paragraph 1 – point 26 a (new)
Article 3 – paragraph 1 – point 26 a (new)
(26a) “EU CBAM authority” means a competent body to be established at the EU level that supervises the implementation of this Regulation.
Amendment 667 #
Proposal for a regulation
Article 3 – paragraph 1 – point 28 a (new)
Article 3 – paragraph 1 – point 28 a (new)
(28a) ‘indirect emissions costs’ mean EUA costs passed on in electricity prices. These are not an indication of the physical indirect emissions in the production.
Amendment 673 #
Proposal for a regulation
Article 3 – paragraph 1 – point 28 b (new)
Article 3 – paragraph 1 – point 28 b (new)
(28b) ‘Resource shuffling’ means any practice, process or work that has insufficient due cause or economic justification other than avoiding obligations as laid down in this Regulation, or undermining their effects, without delivering environmental benefits on global GHG emissions.
Amendment 674 #
Proposal for a regulation
Article 4 – title
Article 4 – title
Importation and exportation of goods
Amendment 678 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
Goods shall only be imported into or exported from the customs territory of the Union by a declarant that is authorised by the competent authority in accordance with Article 17 (‘authorised declarant’).
Amendment 681 #
Proposal for a regulation
Article 5 – title
Article 5 – title
Application for an import authorisation
Amendment 686 #
Proposal for a regulation
Article 5 a (new)
Article 5 a (new)
Article 5a Notification and registration of exports 1. Any declarant wishing to obtain adjustments to their emission allowances corresponding to the embedded emissions of the goods produced in the EU and exported outside the territory of the customs union shall be registered as a declarant according to Article 4 and shall notify the competent authorities of its intention at the time of lodging the pre- departure declaration. On release of the goods, the customs office of export will transmit the necessary particulars of the export movement to the competent authority, which shall issue a certificate establishing the allowance adjustments to be granted to calibrate the regulatory obligation. 2. The Commission is empowered to adopt implementing acts concerning the standard format of the notification and the delays and procedure to be followed by the competent authority when processing applications for obtaining a CBAM certificate in accordance with paragraph 1 and the rules for identification by the competent authority of the declarants. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(2).
Amendment 689 #
Proposal for a regulation
Article 6 – title
Article 6 – title
CBAM import declaration
Amendment 713 #
Proposal for a regulation
Article 7 – paragraph 6
Article 7 – paragraph 6
6. The Commission is empowered to adopt implementing acts concerning detailed rules regarding the elements of the calculation methods set out in Annex III, including determining system boundaries of production processes, emission factors, installation-specific values of actual emissions and default values and their respective application to individual goods as well as laying down methods to ensure the reliability of data on the basis of which the default values shall be determined, including the level of detail and the verification of the data. Where necessary, those acts shall provide that the default values can be adapted to particular areas, regions or countries to take into account specific objective factors such as geography, natural resources, market conditions, prevailing energy sources, or industrial processes. The implementing acts shall build upon existing legislation for the verification of emissions and activity data for installations covered by Directive 2003/87/EC, in particular Implementing Regulation (EU) No 2018/2067.
Amendment 726 #
Proposal for a regulation
Article 8 – paragraph 1
Article 8 – paragraph 1
1. The authorised declarant shall ensure that the total embedded emissions declared in the CBAM declaration submitted pursuant to Article 6 are verified by a verifier accredited pursuant to Article 18, based on the verification principles set out in Annex V. The competent authority is authorised to verify the accuracy of the information in the CBAM declaration.
Amendment 733 #
Proposal for a regulation
Article 8 – paragraph 3 – subparagraph 1
Article 8 – paragraph 3 – subparagraph 1
The Commission is empowered to adopt implementing acts concerning the principles of verification referred to in paragraph 1 as regards the possibility to waive the obligation for the verifier to visit the installation where relevant goods are produced and the obligation to set thresholds for deciding whether misstatements or non-conformities are material and concerning the supporting documentation needed for the verification report. Waivers shall be seen as exceptions s and the competent authority should remain authorized to verify the accuracy of the information provided in the CBAM declaration. Provisions laid down in such implementing acts shall be equivalent to the provisions set in Regulation 2018/2067.
Amendment 748 #
Proposal for a regulation
Article 9 – paragraph 2
Article 9 – paragraph 2
2. The authorised declarant shall keep records of the documentation, certified by an independent person, verifier accredited pursuant to art. 18 and in line with the competences established in art.8(1) concerning the verification of embedded emissions. The accredited verifier is required to demonstrate that the declared embedded emissions were subject to a carbon price in the country of origin of the goods and keep evidence of the proof of the actual payment for that carbon price which should not have been subject to an export rebate or any other form of compensation on exportation.
Amendment 774 #
Proposal for a regulation
Article 10 – paragraph 1
Article 10 – paragraph 1
1. The Commission shall, upon request by a register the information on operators of an installations located in a third country, register the information on that operator and on itsies and on those installations in a central database referred to in Article 14(4).
Amendment 779 #
Proposal for a regulation
Article 10 – paragraph 6
Article 10 – paragraph 6
6. The records referred to in paragraph 5, point (c), shall be sufficiently detailed to enable the verification in accordance with paragraph 5, point (b), and to enable any competent authority to verify and to review, in accordance with Article 19(1), the CBAM declaration made by an authorised declarant to whom the relevant information was disclosed in accordance with paragraph 8.
Amendment 788 #
Proposal for a regulation
Article 10 – paragraph 8
Article 10 – paragraph 8
8. The operator may, at any timefter 10 years, ask to be deregistered from the database.
Amendment 792 #
Proposal for a regulation
Article 10 – paragraph 8 a (new)
Article 10 – paragraph 8 a (new)
8a. The central database should, in so far as possible, mirror the information provided in the ETS database.
Amendment 800 #
Proposal for a regulation
Article 11 – title
Article 11 – title
Competent authoritiesy
Amendment 803 #
Proposal for a regulation
Article 11 – paragraph 1 – subparagraph 1
Article 11 – paragraph 1 – subparagraph 1
1. Each Member State shall designate the national competent authority to carry out the obligations under this Regulation and inform the Commission thereofand cooperate with the EU CBAM authority under this Regulation and inform the EU CBAM authority thereof. The Commission shall make available to the Member States a list of all competent national authorities and publish this information in the Official Journal of the European Union.
Amendment 809 #
Proposal for a regulation
Article 11 – paragraph 1 a (new)
Article 11 – paragraph 1 a (new)
1a. A central CBAM authority at the EU level is established for the purpose of implementing and managing this Regulation. Its composition and task shall be established by way of a separate Regulation.
Amendment 813 #
Proposal for a regulation
Article 11 – paragraph 2
Article 11 – paragraph 2
2. Member States shall require that national competent authorities exchange any information that is essential or relevant to the exercise of their functions and duties through a network established under the responsibility of the EU CBAM authority.
Amendment 817 #
Proposal for a regulation
Article 12 – title
Article 12 – title
Commissionpetent authorities
Amendment 821 #
Proposal for a regulation
Article 12 – paragraph 1
Article 12 – paragraph 1
The CommissionEU CBAM authority shall be assisted by the competent national authorities in carrying out theirits obligations under this Regulation and shall coordinate their activities.
Amendment 824 #
Proposal for a regulation
Article 13 – paragraph 1
Article 13 – paragraph 1
All information acquired by the central and national competent authorityies in the course of performing itstheir duty which is by its nature confidential or which is provided on a confidential basis shall be covered by an obligation of professional secrecy. Such information shall not be disclosed by the competent authority without the express permission of the person or authority that provided it. It may be shared with customs authorities, the Commission and the European Public Prosecutors Office and shall be treated in accordance with Council Regulation (EC) No 515/97.
Amendment 831 #
Proposal for a regulation
Article 14 – paragraph 3
Article 14 – paragraph 3
3. The information in the database referred to in paragraph 2 shall be confidentialmade available to the public, unless it is proven that it is business confidential according to the relevant EU legislation. Confidential information shall include meaningful non-confidential summaries. Information equivalent to the one made publicly available for EU producers under the EU ETS central database shall be made public.
Amendment 842 #
Proposal for a regulation
Article 14 – paragraph 4
Article 14 – paragraph 4
4. The CommissionEU CBAM authority shall establish a central database at the EU level accessible to the public containing the names, addresses and contact details of the operators and the location of installations in third countries in accordance with Article 10(2). An operator may choose not to have its name, address and contact details accessible to the public. The central database should in so far as possible, mirror the ETS database.
Amendment 849 #
Proposal for a regulation
Article 15 – paragraph 1
Article 15 – paragraph 1
1. The CommissionEU CBAM authority shall act as central administrator to maintain an independent transaction log recording the purchase of CBAM certificates, their holding, surrender, re-purchase and cancellation and ensure coordination of national registries.
Amendment 854 #
Proposal for a regulation
Article 15 – paragraph 3
Article 15 – paragraph 3
3. If irregularities are identified as a result of the controls carried out under paragraph 2, the Commission shall inform the Member State or Member States concerned for further investigation in order to correct the identified irregularities. Identified irregularities shall be corrected at the latest within one month from the day where they were identified, and, where appropriate, penalties pursuant to article 27 shall apply.
Amendment 857 #
Proposal for a regulation
Article 16 – paragraph 1
Article 16 – paragraph 1
1. The national competent authority shall assign to each authorised declarant a unique CBAM account number which will be registered with the EU CBAM Authority.
Amendment 863 #
Proposal for a regulation
Article 17 – paragraph 1 – introductory part
Article 17 – paragraph 1 – introductory part
1. The national competent authority shall authorise a declarant who submits an application for authorisation in accordance with Article 5(1), if the following conditions are fulfilled:
Amendment 865 #
Proposal for a regulation
Article 17 – paragraph 1 – point a
Article 17 – paragraph 1 – point a
(a) (a) the declarant hasand the operators of installations located in third countries from whom the declarants sources goods have respectively not been involved in a serious infringement or repeated infringements of customs legislation, circumvention of antidumping or anti- subsidy duties, taxation rules and market abuse rules and has no record of serious criminal offences relating to its economic activity during the five years preceding the application;
Amendment 881 #
Proposal for a regulation
Article 17 – paragraph 2
Article 17 – paragraph 2
2. Where the national competent authority finds that the conditions listed in paragraph 1 are not fulfilled, or where the applicant has failed to provide the information listed in Article 5(3), the authorisation of the declarant shall be refused.
Amendment 884 #
Proposal for a regulation
Article 17 – paragraph 3
Article 17 – paragraph 3
3. If the national competent authority refuses to authorise a declarant, the declarant requesting the authorisation may, prior to an appeal, object to the relevant authority under national law, who shall either instruct the national administrator to open the account or uphold the refusal in a reasoned decision, subject to requirements of national law that pursue a legitimate objective compatible with this Regulation and are proportionate.
Amendment 886 #
Proposal for a regulation
Article 17 – paragraph 4 – introductory part
Article 17 – paragraph 4 – introductory part
4. A decision of the competent national authority authorising a declarant shall contain the following information
Amendment 890 #
Proposal for a regulation
Article 17 – paragraph 6 – subparagraph 1
Article 17 – paragraph 6 – subparagraph 1
The competent national authority shall require the provision of a guarantee in order to authorise a declarant in accordance with paragraph 1, if the declarant was not established throughout the two financial years that precede the year when the application in accordance with Article 5(1) was submitted.
Amendment 892 #
Proposal for a regulation
Article 17 – paragraph 6 – subparagraph 2
Article 17 – paragraph 6 – subparagraph 2
The competent national authority shall fix the amount of such guarantee at the maximum amount, as estimated by the competent authority, of the value of the CBAM certificates that the authorised declarant have to surrender, in accordance with Article 22.
Amendment 894 #
Proposal for a regulation
Article 17 – paragraph 7
Article 17 – paragraph 7
7. The guarantee shall be provided as a bank guarantee, payable at first demand, by a financial institution operating in the Union or by another form of guarantee which provides equivalent assurance. Where the competent national authority establishes that the guarantee provided does not ensure, or is no longer certain or sufficient to ensure the amount of CBAM obligations, it shall require the authorised declarant either to provide an additional guarantee or to replace the initial guarantee with a new guarantee, according to its choice.
Amendment 896 #
Proposal for a regulation
Article 17 – paragraph 8
Article 17 – paragraph 8
8. The competent national authority shall release the guarantee immediately after 31 May of the second year in which the authorised declarant has surrendered CBAM certificates in accordance with Article 22.
Amendment 899 #
Proposal for a regulation
Article 17 – paragraph 9
Article 17 – paragraph 9
9. The competent national authority shall revoke the authorisation for a declarant who no longer meets the conditions laid down in paragraph 1, or who fails to cooperate with that authority.
Amendment 905 #
Proposal for a regulation
Article 18 – paragraph 2
Article 18 – paragraph 2
Amendment 912 #
Proposal for a regulation
Article 18 – paragraph 3
Article 18 – paragraph 3
Amendment 917 #
Proposal for a regulation
Article 19 – paragraph 1
Article 19 – paragraph 1
1. The competententral and national authorityies may review the CBAM declaration within the period ending with the fourth year after the year in which the declaration should have been submitted. The review may consist in verifying the information provided in the CBAM declaration on the basis of the information communicated by the customs authorities in accordance with Article 25(2) and any other relevant evidence, and on the basis of any audit deemed necessary, including at the premises of the authorised declarant.
Amendment 921 #
Proposal for a regulation
Article 19 – paragraph 1 a (new)
Article 19 – paragraph 1 a (new)
1a. The national competent authority shall inform the EU CBAM authority of the quantity and installation source of the exports. The EU CBAM authority shall inform the Commission of the data received so as to allow the Commission to make adjustments to the allowances to be surrendered for the installation source of the exports
Amendment 923 #
Proposal for a regulation
Article 19 – paragraph 2
Article 19 – paragraph 2
2. Where a CBAM declaration in accordance with Article 6 has not been submitted, the competent authority of the Member State of establishment of the authorised declarant shall assess the CBAM obligations of that declarant on the basis of the information at its disposal and calculate the total number of CBAM certificates due at the latest by the 31 December of the fourth year following that when the CBAM declaration should have been submitted. This information shall be submitted to the competent central authority.
Amendment 927 #
Proposal for a regulation
Article 19 – paragraph 3
Article 19 – paragraph 3
3. Where the competent central or national authorityies hasve established that the declared number of CBAM certificates to be surrendered is incorrect, or that no CBAM declaration has been submitted pursuant to paragraph 2, it shall adjust the number of CBAM certificates due by the authorised declarant. The competent central or national authorityies shall notify the authorised declarant of the adjustment and request that the authorised declarant shall surrender the additional CBAM certificates within one month.
Amendment 929 #
Proposal for a regulation
Article 19 – paragraph 5
Article 19 – paragraph 5
5. Where CBAM certificates have been surrendered in excess of the number due, the competent central or national authority shall, without delay, reimburse the authorised declarant the value of CBAM certificates surrendered in excess, calculated at the average price paid for CBAM certificates by the authorised declarant during the year of import.
Amendment 933 #
Proposal for a regulation
Article 20 – title
Article 20 – title
Sale of CBAM import certificates
Amendment 935 #
Proposal for a regulation
Article 20 a (new)
Article 20 a (new)
Article 20a CBAM Export certificates 1.The competent authority shall register the export of goods listed in Annex I by the declarant. 2 For those export of goods listed in Annex I, the competent authority shall grant adjustment allowances certificates for goods produced in EU installations subject to the EU ETS and exported from the customs territory of the Union to third countries which have not yet limited or priced GHG emissions at the same level as the EU to calibrate the regulatory obligation and the net regulatory burden imposed under the CBAM. The adjustment allowances for the emissions embedded in the good exported mentioned in the certificate shall be deducted in accordance with Article 5 from the annual amount of allowances above the benchmark, or by default, the amount of allowances not covered by the fallback benchmarks to be surrendered to the competent authority. 3. The Commission is empowered to adopt implementing acts concerning the procedure to be followed by the competent authority when issuing the amounts referred to in paragraph 1. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 29(2).
Amendment 938 #
Proposal for a regulation
Article 21 – title
Article 21 – title
Price of CBAM import certificates
Amendment 946 #
Proposal for a regulation
Article 22 – title
Article 22 – title
Surrender of CBAM import certificates
Amendment 950 #
Proposal for a regulation
Article 23 – title
Article 23 – title
Re-purchase of CBAM import certificates
Amendment 952 #
Proposal for a regulation
Article 24 – title
Article 24 – title
Cancellation of CBAM import certificates
Amendment 968 #
Proposal for a regulation
Article 25 a (new)
Article 25 a (new)
Article 25a Procedures at the border when goods are exported The national competent authority shall not issue export certificates and the corresponding amount of adjustment allowances resulting from exports unless the export has been realised by a declarant registered according to the procedure referred to in Article 3.
Amendment 970 #
Proposal for a regulation
Article 26 – title
Article 26 – title
Penalties in relation to imports of goods
Amendment 977 #
Proposal for a regulation
Article 26 – paragraph 4 a (new)
Article 26 – paragraph 4 a (new)
4a. In case of repeated failure to surrender a number of CBAM certificates corresponding to the emissions embedded in goods imported during the previous year, or in case of submission of false information in the CBAM declaration, an authorized declarant, and any of its related parties, may be automatically excluded from the register for a period of 3 years from the date of exclusion. The respective verifier – and any of its related parties - who has certified the accuracy of the information in the CBAM declaration has its certification withdrawn by the competent authority.
Amendment 982 #
Proposal for a regulation
Article 26 – paragraph 5
Article 26 – paragraph 5
5. Member States may apply administrative or criminal sanctions for failure to comply with the CBAM legislation in accordance with their national rules in addition to penalties referred to in paragraph 2 and 4a. Such sanctions shall be effective, proportionate and dissuasive.
Amendment 993 #
Proposal for a regulation
Article 27 – paragraph 2
Article 27 – paragraph 2
2. Practices of circumvention include situations where a change in the pattern of trade in relation to goods included in the scope of this Regulationbetween third countries and the Union or between third countries themselves or between individual companies or within the same undertaking in relation to goods included in the scope of this Regulation , whether slightly modified or not, stems from a practice, process or work that has insufficient due cause or economic justification other than avoiding obligations or seeking benefits as laid down in this Regulation and consist in replacing those goods with slightly modified products, which are not included in the list of goods in Annex I but belong to a sector included in the scope of this Regulationor undermining their effects, including on overall GHG emissions and on prices of the goods concerned..
Amendment 1016 #
Proposal for a regulation
Article 27 – paragraph 2 a (new)
Article 27 – paragraph 2 a (new)
Amendment 1020 #
Proposal for a regulation
Article 27 – paragraph 2 b (new)
Article 27 – paragraph 2 b (new)
2b. The practice, process or work referred to in paragraph 2 include, inter alia: (a) the slight modification of the goods included in the scope of this Regulation to make it fall under customs codes which are normally not subject to the obligations of this Regulation, provided that the modification does not alter its essential characteristics;(b) false declarations as to the identity of the producer of the goods or of the nature of the goods or the production process involved to product these goods;(c) the consignment of the goods via third countries to which more favourable obligations apply; (d) the reorganisation by exporters or producers of their patterns and channels of sales in order to avoid obligations as laid down in this Regulation, or undermine their effects, including on overall GHG emissions and on prices of the goods, for instance via practices of resource shuffling.(e) the assembly of parts by an assembly operation in the Union or a third country to avoid obligations as laid down in this Regulation.
Amendment 1021 #
Proposal for a regulation
Article 27 – paragraph 2 c (new)
Article 27 – paragraph 2 c (new)
2c. Following a complaint made by any party, or at the request of Member States or on its own initiative, the Commission may decide, following an investigation, to extend obligations laid down in this regulation, in whatever way is necessary to prevent future circumvention of the present Regulation, when circumvention of the measures in force is taking place. This includes the possibility for the Commission to impose a penalty on an authorised Declarant involved in the circumvention, if this is proportionate, from the date of registration of imports. Given the circumstances of the individual case, the Commission may also decide to ban those imports from entering the Union territory during a certain period or to prevent the authorized Declarant and any of its related parties to import goods subject to the present Regulation into the Union for a certain period.
Amendment 1022 #
Proposal for a regulation
Article 27 – paragraph 2 d (new)
Article 27 – paragraph 2 d (new)
2d. Decisions referred to in paragraph 2c shall be subject to an appeal procedure.
Amendment 1023 #
Proposal for a regulation
Article 27 – paragraph 2 e (new)
Article 27 – paragraph 2 e (new)
2e. Investigations shall be initiated pursuant to this Article on the initiative of the Commission or at the request of a Member State or of any interested party on the basis of sufficient evidence regarding possible circumvention practices as defined in paragraphs 2 and 2a. Initiations shall be made by means of a Commission regulation which shall also instruct customs authorities of Member States to subject imports to registration in accordance with Article 27(5). The Commission shall provide information to the Member States once a party or a Member State has submitted a request to initiate an investigation and the Commission has completed its analysis thereof, or where the Commission has itself determined that there is a need to initiate an investigation.
Amendment 1024 #
Proposal for a regulation
Article 27 – paragraph 2 f (new)
Article 27 – paragraph 2 f (new)
2f. Investigations shall be carried out by the Commission. The Commission may be assisted by customs authorities and the investigation shall be concluded within 4 months.
Amendment 1025 #
Proposal for a regulation
Article 27 – paragraph 2 g (new)
Article 27 – paragraph 2 g (new)
2g. Where the facts as finally ascertained justify the extension of obligations, this shall be done by the Commission adopting delegated acts.
Amendment 1026 #
Proposal for a regulation
Article 27 – paragraph 2 h (new)
Article 27 – paragraph 2 h (new)
2h. A Member State or any party affected or benefitted by the situations described in paragraphs 2 to 2g.
Amendment 1034 #
Proposal for a regulation
Article 27 – paragraph 3
Article 27 – paragraph 3
3. A Member State or any party affected or benefitted by the situations described in paragraph 2 may notify the Commission if it is confronted, over a two- month period compared with the same period in the preceding year with a significant decrease in the volume of imporFollowing a complaint from an interested party or on its own initiative, the Commission may decide, following an investigation, to extend goods included in the scope ofobligations laid down in this Rregulation and an increase of volume of imports of slightly modified products, which are not included in the list of goods in Annex I. The Commission shall continually monitor any significant change of pattern of trade of goods and slightly modified products at Union level, in whatever way is necessary to prevent future circumvention of the Mechanism, when circumvention of the measures in force is taking place.
Amendment 1043 #
Proposal for a regulation
Article 27 – paragraph 4
Article 27 – paragraph 4
4. The notificatDecisions referred to in the third paragraph 3 shall state the reasons on which it is based and shall include relevant data and statistics regarding the goods and products referred to in paragraph 2be subject to the appeal procedure asset out in Article 30.
Amendment 1048 #
Proposal for a regulation
Article 27 – paragraph 5
Article 27 – paragraph 5
5. Where the Commission, taking into account the relevant data, reports and statistics, incluInvestigations shall be initiated pursuant to this Article on the initiative of the Commission or at the request of a Member State or of any interested party on the basis of sufficient evidence regarding wthen provided by the customs authorities of Member States, has sufficient reasons to believe that the circumstances referred to in paragraph 3 are occurring in one or more Member States, it is empowered to adopt delegated acts in accordance with Article 28 to supplement the scope of this Regulation in ord factors set out in the second paragraph. Initiations shall be made by means of a Commission regulation which shall also instruct customs authorities of Member States to subject imports to registration. The Commission shall provide information to the Member States once an interested party or a Member State has submitted a request justifying the initiation of an investigation and the Commission has completed its analysis thereof, or where to include slightly modified products for anti-circumvention purposeshe Commission has itself determined that there is a need to initiate an investigation.
Amendment 1064 #
Proposal for a regulation
Article 27 – paragraph 5 a (new)
Article 27 – paragraph 5 a (new)
5a. Investigations shall be carried out by the Commission. The Commission may be assisted by customs authorities and the investigation shall be concluded in due time
Amendment 1066 #
Proposal for a regulation
Article 27 – paragraph 5 b (new)
Article 27 – paragraph 5 b (new)
5b. The Commission Decision finding circumvention shall impose a penalty pursuant to article 26 on an Authorised Declarant involved in the circumvention and, if appropriate, the operator of the installation located in the third country that is linked to the Authorised Declarant. Where appropriate, the penalty shall also entail the withdrawal of import authorisation and be extended to the operator
Amendment 1074 #
Proposal for a regulation
Article 27 a (new)
Article 27 a (new)
Article 27 a Absorption 1. Where any party submits sufficient information showing that, after the entry into force of this Regulation, an Authorised Declarant has been absorbing the cost of the CBAM Certificates, such that there has been no movement, or insufficient movement, in the resale prices or subsequent selling prices of the imported product in the Union, and that such situation has insufficient due cause or economic justification other than undermining the effects of the obligations as laid down in this Regulation, the Commission shall open an investigation. The Commission shall provide information to the Member States once a party has submitted sufficient information justifying the opening of the investigation and the Commission has completed its analysis thereof. 2. The investigation may also be opened, under the conditions set out in the first subparagraph, on the initiative of the Commission or at the request of a Member State. 3. During an investigation pursuant to this Article, any interested party shall be provided with an opportunity to clarify the situation with regard to resale prices and subsequent selling prices. 4. Investigations shall be carried out by the Commission. The Commission may be assisted by customs authorities and the investigation shall be concluded within nine months 5. If it is concluded that the obligations as laid down in this Regulation should have led to movements in such prices, the Commission shall take appropriate measures to re-establish the effectiveness of the obligations as set out in this Regulations. Such measures imposed pursuant to this Article shall not exceed the amount of the penalties as set out in Article 26.
Amendment 1112 #
Proposal for a regulation
Article 30 – paragraph 1
Article 30 – paragraph 1
1. The Commission shall collect the information necessary with a view to extending the scope of this Regulation to indirect emissions and goods other than those listed in Annex I, including downstream products using goods covered by this Regulation, and develop methods of calculating embedded emissions based on environmental footprint methods.
Amendment 1129 #
Proposal for a regulation
Article 30 – paragraph 2
Article 30 – paragraph 2
2. Before the end of the transitional period, the Commission shall present a report to the European Parliament and the Council on the application of this Regulation. The report shall contain, in particular, the assessmentan in-depth assessment - developed in close cooperation with the industrial sectors - of the rules to be applied during the trial period established pursuing to article 30bis and of the possibilities to further extend the scope of embedded emissions to indirect emissions and to other goods at risk of carbon leakage than those already covered by this Regulation, including downstream products using goods covered by this Regulation, as well as an assessment of the governance system. It shall also contain the assessment of the possibility to further extend the scope to embedded emissions of transportation services as well as to goods further down the value chain and services that may be subject to the risk of carbon leakage in the future.
Amendment 1185 #
Proposal for a regulation
Article 30 a (new)
Article 30 a (new)
Article 30 a Further review and reporting by the Commission of the import provisions of the CBAM 1. Following the transitional period, the Commission shall introduce a two-year testing period during which it shall collect and verify data on the surrendering obligations set in Article22 in order to assess the effectiveness of the CBAM in addressing the risk of carbon leakage. 2. In 2029, the European Commission shall present a report to the European Parliament and the Council regarding the effectiveness of the CBAM based on the data collected according to paragraph 1.The report by the European Commission may be accompanied by a legislative proposal to amend the scope of this Regulation, including if the assessment of the effectiveness of the CBAM in tackling carbon leakage shows that EU ETS allowances allocated free of charge in accordance with Article 10a of Directive 2003/87/EC remain necessary to prevent the risk of carbon leakage after 2030.
Amendment 1192 #
Proposal for a regulation
Article 30 b (new)
Article 30 b (new)
Article 30 b Emergency clause In case European industries producing goods subject to the CBAM face serious difficulties in relation to its implementation during the transitional period or the trial period, an individual assessment should be made as promptly as possible to examine whether a CBAM is still effective and practicable for the sector concerned.
Amendment 1216 #
Proposal for a regulation
Article 32 – paragraph 1
Article 32 – paragraph 1
During the transitional period of this Regulation, the import provisions of the CBAM mechanism shall apply as a reporting obligation as set out in Articles 33 to 35.
Amendment 1223 #
Proposal for a regulation
Article 35 – paragraph 1
Article 35 – paragraph 1
1. Each declarant shall, for each quarter of a calendar year, submit a report (‘CBAM report’) containing information on the goods imported or exported during that quarter, to the competent authority of the Member State of importation or exportation. or, if goods have been imported or exported to more than one Member State, to the competent authority of the Member State at the declarant’s choice, no later than one month after the end of each quarter.
Amendment 1225 #
Proposal for a regulation
Article 35 – paragraph 2 – introductory part
Article 35 – paragraph 2 – introductory part
2. The CBAM report shall include the following information: for imports and where relevant for exports
Amendment 1258 #
Proposal for a regulation
Annex I – subheading 4 a (new)
Annex I – subheading 4 a (new)
1a CBAM Scope: Steelwind towers are included in the CBAM scope in order to avoid carbon leakage in the steel value chain (CNcode 85023 )
Amendment 1272 #
Proposal for a regulation
Annex III – point 3 – paragraph 2 – introductory part
Annex III – point 3 – paragraph 2 – introductory part
Where AttrEmg are the attributed emissions of goods g, and ALg the activity level of the goods, the latter being the amount of goods produced in the reporting period in that installation, and EEInpMat are the embedded emissions of the input materials (precursors) consumed in the production process. Only input materials listed as relevant to the system boundaries of the production process as specified in the implementing act adopted pursuant to Article 7(6) are to be considered. . The implementing act pursuant to Article 7(6) shall include all input materials that contribute significantly to GHG emissions. In the case of stainless steel (CN codes 7218-7223), ferro-alloys shall be included in the list of input materials as they fulfil this criterion The relevant EEInpMat are calculated as follows:
Amendment 1280 #
Proposal for a regulation
Annex III – point 4 – paragraph 2
Annex III – point 4 – paragraph 2
For the purpose of determining default values, only actual values shall be used for the determination of embedded emissions. In the absence of actual data, or when the use of actual data would lead to low default values favouring freeriding behaviour, literature values may be used. The Commission shall publish guidance for the approach taken to correct for waste gases or greenhouse gases used as process input, before collecting the data required to determine the relevant default values for each type of goods listed in Annex I. Default values shall be determined based on the best available data. They shall be revised periodically through implementing acts based on the most up-to-date and reliable information, including on the basis of information provided by at third country or group of third countries.
Amendment 1283 #
Proposal for a regulation
Annex III – point 4 – point 4.1 – paragraph 1
Annex III – point 4 – point 4.1 – paragraph 1
When actual emissions cannot be adequately determined by the authorised declarant, default values shall be used. Default values shall represent the highest known carbon intensity of the relevant good in order to avoid carbon leakage and any free riding behaviour. These values shall be set at the average emission intensity of each exporting country and for each of the goods listed in Annex I other than electricity, increased by a mark-up, the latter to be determined in the implementing acts of this Regulation. When reliable data for the exporting country cannot be applied for a type of goods, the default values shall be based on the average emission intensity of the 10 per cent worst performing EU installations for that type of goodsAverage country data shall be consistent with rules on calculations of embedded emissions pursuant to article 7 and Annex III and be verified by verifiers accredited pursuant to article 18. When reliable and verified data for the exporting country cannot be applied for a type of goods, the default values shall be based on the average emission intensity of the 10 per cent worst performing EU installations for that type of goods, increased by a mark- up, the latter to be determined in the implementing acts of this Regulation. The mark-up to be applied pursuant this point shall ensure that the default values reflect the highest known carbon intensity of the relevant good in order to avoid carbon leakage any free riding behaviour.
Amendment 1305 #
Proposal for a regulation
Annex III – point 6
Annex III – point 6