In reaction to the plenary vote on the reform of the EU Emissions Trading System (ETS), Cefic welcomes the overall compromises and thanks the Parliament for managing to close the vote.
Today, MEPs voted against immediately increasing the ambition level beyond the Council. MEPs also abided by Commission proposals to make sure more carbon allowances are available to sectors most affected by global competition to offset the costs as they strive to slash emissions. Importantly, they rejected an unchecked carbon border tax proposal that would see imported products taxed with unknown impacts on trade and EU industries.
Said Marco Mensink, Cefic Director General, “We appreciate the Parliament understood the need to safeguard sufficient free emission rights – like most industry, we are up against fierce global competition, and offsetting the cost of improving our environmental record will help us keep producing in Europe.”
He added, “In the end Parliament made progress in improving the Commission proposal. Member states need to find a way to safeguard jobs in all exposed industries and free up reserves for investment and innovation in Europe, for economic recovery and growth.”
The European Council now has work to do on important ETS design elements, for example aligning the ETS to the agreed 2014 Council guidelines. One key issue to still change in the Parliament proposal is to remove the discriminatory approach between sectors on the so called correction factor