Carbon duty without paperwork
CBAM is a tool to prevent so-called "carbon leakage", i.e. the shifting of production to countries with lower environmental standards. MEPs have now agreed to simplify it. A new threshold of 50 tonnes of imported goods per importer per year will be introduced, to which CBAM will not be linked. Around 90% of importers fall below this threshold and will not have to submit complex emissions reports.
But the change will not weaken the mechanism itself, according to Parliament. The CBAM will continue to cover 99% of emissions from imports of selected raw materials such as iron, steel, aluminium, cement and fertilisers.
The new rules are also intended to simplify procedures for approving importers, calculating emissions or verifying them. Measures against abuse of the system will also be strengthened.
Once approved by Parliament, the changes still need to be confirmed by Member States. If formally agreed by the EU Council, the changes will enter into force a few days after publication in the Official Journal.
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