Activities of Nicolae ŞTEFĂNUȚĂ related to 2021/0214(COD)
Shadow reports (1)
REPORT on the proposal for a regulation of the European Parliament and of the Council establishing a carbon border adjustment mechanism
Amendments (27)
Amendment 223 #
Proposal for a regulation
Recital 11 a (new)
Recital 11 a (new)
(11a) Installations under the EUETS facing a rising carbon price need long- term visibility, predictability and legal certainty to make their investment decisions. A clear pathway for the phase in of the remaining sectors and subsectors at risk of carbon leakage should therefore be established. This will strengthen the new legal framework to fight carbon leakage, provide the necessary time to ensure a smooth implementation of the CBAM and allow installations and companies to make the necessary investments in the decarbonisation of industrial processes in a stable and predictable legal context.
Amendment 307 #
Proposal for a regulation
Recital 17
Recital 17
(17) The GHG emissions to be regulated by the CBAM should correspond to those GHG emissions covered by Annex I to the EU ETS in Directive 2003/87/EC, namely carbon dioxide (‘CO2’) as well as, where relevant, nitrous oxide (‘N2O’) and perfluorocarbons (‘PFCs’). The CBAM should initially apply to direct emissions of those GHG from the production of goods up to the time of import into the customs territory of the Union, and after the end of a transition period and upon further assessment, as well to indirect emissions, mirroring the scope of the EU ETS.
Amendment 333 #
Proposal for a regulation
Recital 22 a (new)
Recital 22 a (new)
(22a) The free allocation no longer provided to the CBAM sectors based on this calculation (CBAM demand) must be auctioned and the revenues will accrue to the Innovation Fund rebranded as a Net- Zero Fund, so as to support inter alia innovation in low carbon technologies, and in upscaling relevant technologies in a way that contributes to mitigating climate change consistently with the objectives set out by Regulation (EU)2021/1119. Special attention should be given to projects in CBAM sectors. To respect the proportion of the free allocation available for the non-CBAM sectors, the final amount to deduct from the free allocation and to be auctioned should be calculated based on the proportion that the CBAM demand represents in respect of the free allocation needs of all sectors receiving free allocation.
Amendment 334 #
Proposal for a regulation
Recital 22 b (new)
Recital 22 b (new)
(22b) In order to reach climate neutrality, the Union needs to close a significant investment gap as provided in the Communication on a “Strategy for Financing the Transition to a Sustainable Economy”. To attain our industry decarbonisation objective, breakthrough innovation, upscaling of already existing technologies and enhancement of natural and industrial carbon sinks are needed. To support the in-depth and economy- wide decarbonisation in the Union all those three pillars should be addressed by the EU ETS Innovation Fund, which should be rebranded as the Net-Zero fund.
Amendment 441 #
Proposal for a regulation
Recital 50
Recital 50
(50) A transitional period should apply during the period 2023 until 20254. 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 508 #
Proposal for a regulation
Recital 54 a (new)
Recital 54 a (new)
(54a) The Commission should actively pursue the establishment of an international “Carbon club” for ensuring continuous exchange in good faith with the Union’s trade partners. This should be an open non-exclusive international forum, which could be located under an appropriate multilateral organisation such as the WTO or the relevant and open body of the OECD for instance. Its objective should be to allow for the comparison and coordination of carbon pricing measures as well as non-carbon pricing measures with an impact on emission reduction. The Carbon club should also support the comparability of climate measures by ensuring the quality of climate monitoring, reporting and verification among its members. Membership of the club should be informal, open and on a voluntary basis for countries aiming at high climate ambition in line with the Paris Agreement. Given that the CBAM is a first-of-a-kind measure, which is meant to be a cooperative tool designed to fight carbon leakage, such a Carbon club will provide the means for engagement and transparency between the and its trade partners.
Amendment 529 #
Proposal for a regulation
Recital 61 a (new)
Recital 61 a (new)
(61a) The revenues generated should be attributed to the Union budget as an own resource in accordance with the procedures set out in Article 311 TFEU, pursuant to Annex 2 of the Interinstitutional Agreement of 16 December 20201a and as proposed by the Commission on 22 December 2021 in its legislative proposal to amend the Own Resources Decision1b. The CBAM-based own resource would thus be part of a basket of own resources whose total proceeds should be sufficient to cover the level of overall expected expenditure for the repayment costs of the principal and interests of the borrowing incurred under the Next Generation EU instrument, while respecting the principle of universality. Together with the ETS-based own resource, these two green own resources should also link the Union budget with the Union’s policy priorities, and thus add value. They should contribute to the climate mainstreaming objectives and the resilience of the Union budget as a tool for investments and guarantees. __________________ 1aInterinstitutional Agreement of 16 December 2020 between the European Parliament, the Council of the European Union and the European Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, as well as on new own resources, including a roadmap for the introduction of new own resources (OJ L 433I, 22.12.2020, p. 28.). 1b COM(2021)0570 final.
Amendment 575 #
Proposal for a regulation
Article 2 – paragraph 1
Article 2 – paragraph 1
1. This Regulation applies to goods as listed in Annex I, originating in a third country, when those goods, or processed products from those goods as resulting from the inward processing procedure referred to in Article 256 of Regulation (EU) No 952/2013 of the European Parliament and of the Council53 , are imported into the customs territory of the Union. This Regulation also applies to downstream products that include goods listed in Annex I above a minimum threshold, subject to paragraph 2a of this Article, __________________ 53Regulation (EU) No 952/2013 of the European Parliament and of the Council of 9 October 2013 laying down the Union Customs Code (OJ L 269, 10.10.2013, p. 1).
Amendment 577 #
Proposal for a regulation
Article 2 – paragraph 1 a (new)
Article 2 – paragraph 1 a (new)
1a. By 30 June 2025, the Commission shall adopt a delegated act in accordance with Article 28 supplementing this Regulation by amending Annex I to establish a timeline for the gradual inclusion of all goods at risk of carbon leakage for which the production is covered in the EU ETS, starting from 1 January 2026 and ending on 1 January 2030 at the latest, giving priority to the sectors most exposed to carbon leakage.
Amendment 581 #
Proposal for a regulation
Article 2 – paragraph 2 a (new)
Article 2 – paragraph 2 a (new)
2a. The Commission shall by 31 July 2024 adopt a delegated act in accordance with Article 28 to establish a methodology for identifying downstream products covered by this Regulation, including establishing a minimum threshold for the amount of the concerned goods in the product.
Amendment 641 #
Proposal for a regulation
Article 3 – paragraph 1 – point 11
Article 3 – paragraph 1 – point 11
(11) ‘competentCBAM authority’ means the authority, designated by each Member State appointed by the Commission in accordance with Article 11 of this Regulation;
Amendment 672 #
Proposal for a regulation
Article 3 – paragraph 1 – point 28 a (new)
Article 3 – paragraph 1 – point 28 a (new)
(28a) ‘downstream products' means products manufactured by using goods listed in Annex I .
Amendment 676 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
Goods shall only be imported into the customs territory of the Union by a declarant that is authorised by the competentCBAM authority in accordance with Article 17 (‘authorised declarant’). Throughout the Regulation, the term ‘competent authority’ is replaced by ‘CBAM authority’ and any necessary grammatical changes are made.
Amendment 728 #
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 and Article 35 are verified by a verifier accredited pursuant to Article 18, based on the verification principles set out in Annex V.
Amendment 729 #
Proposal for a regulation
Article 8 – paragraph 1 a (new)
Article 8 – paragraph 1 a (new)
1a. The CBAM report submitted by companies shall be verified according to this Article.
Amendment 754 #
Proposal for a regulation
Article 9 – paragraph 2
Article 9 – paragraph 2
2. The authorised declarants shall keep records of the documentation, certified by an independent person, verifier accredited pursuant to Article 18 of this Regulation. The accredited verifier shall be 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 835 #
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 deemed as business confidential. Information equivalent to the one made publicly available for EU producers under the EU ETS central database shall be made public.
Amendment 878 #
Proposal for a regulation
Article 17 – paragraph 1 – point b a (new)
Article 17 – paragraph 1 – point b a (new)
(ba) the declarant has not been involved in practices of circumvention in accordance with Article 27.
Amendment 964 #
Proposal for a regulation
Article 24 a (new)
Article 24 a (new)
Article 24a Revenues generated by the sale of CBAM certificates The revenues generated by the sale of CBAM certificates shall not constitute assigned revenue. This Regulation shall not prevent revenues generated by the sale of CBAM certificates from being defined as own resources in accordance with Article 311 TFEU and entered in the Union budget as general income.
Amendment 1156 #
Proposal for a regulation
Article 30 – paragraph 2 a (new)
Article 30 – paragraph 2 a (new)
2a. By 1January 2028, the Commission shall present a report to the European Parliament and the Council on the application of this Regulation, based on the first years of effective application from the Regulation. That report shall highlight, in particular the impact of CBAM on CO2 cost equalisation and on carbon leakage mitigation and to what extent forms of circumventions are avoided
Amendment 1199 #
Proposal for a regulation
Article 31 – paragraph 1 a (new)
Article 31 – paragraph 1 a (new)
Amendment 1207 #
Proposal for a regulation
Article 31 – paragraph 2 a (new)
Article 31 – paragraph 2 a (new)
2a. The Commission shall adopt delegated acts in accordance with Article 28 by 31 December 2025 to define criteria allowing an installation producing goods covered by this Regulation to apply for continued appropriate protection against the risk of carbon leakage in relation to costs deriving from EU ETS allowances linked to exports of goods to third countries. The criteria shall consider the carbon leakage risks, overall environmental effects and decarbonisation efforts of these installations and rely on the existing benchmarks and follow the principle of Directive 2003/87/EC to identify the most carbon-efficient installations. The criteria should take into account the emissions embedded in a similar product and carbon prices in the third country pursuant to Articles 7, 8 and 9 of this Regulation. This protection against the risk of carbon leakage for exports should only be used to enhance decarbonisation efforts. The Commission shall ensure that the delegated act is fully compliant with WTO rules.
Amendment 1232 #
Proposal for a regulation
Article 36 – paragraph 3 – point a
Article 36 – paragraph 3 – point a
(a) Articles 32 to 34 shall apply until 31 December 20254.
Amendment 1235 #
Proposal for a regulation
Article 36 – paragraph 3 – point b
Article 36 – paragraph 3 – point b
(b) Article 35 shall apply until 28 February 20265.
Amendment 1236 #
Proposal for a regulation
Article 36 – paragraph 3 – point c
Article 36 – paragraph 3 – point c
(c) Articles 5 and 17 shall apply from 1 September 20254.
Amendment 1241 #
Proposal for a regulation
Article 36 – paragraph 3 – point d
Article 36 – paragraph 3 – point d
(d) Articles 4, 6, 7, 8, 9, 14, 15, 16, 19, 20, 21, 22, 23, 24, 25, 26, 27 and 31 shall apply from 1 January 20265.
Amendment 1265 #
Proposal for a regulation
Annex III – point 2 – paragraph 1 – introductory part
Annex III – point 2 – paragraph 1 – introductory part
For determining the specific actual embedded emissions of simple goods produced in a given installation, only direct emissions and indirect emissions shall be accounted for. For this purpose, the following equation is to be applied: