During the plenary session of the European Parliament in Brussels (8-11 March 2021), MEPs debate and vote on how to raise global climate ambition and prevent EU production from being moved to non-EU countries that have less strict greenhouse gas emissions rules (‘carbon leakage’). Extracts of the debate with Margarida MARQUES (S&D, PT), Karin KARLSBRO (Renew, SE), Luis GARICANO (Renew, ES), Paolo GENTILONI, European Commissioner for Economy, Nicolás GONZÁLEZ CASARES (S&D, ES), Adam JARUBAS (EPP, PL), votes and interview with the rapporteur Yannick JADOT, (Greens/EFA, FR).

Brussels

statement

debate

plenary session

vote

JADOT, Yannick (Greens/EFA, FR)

GENTILONI, Paolo (IT, EC)

KARLSBRO, Karin (Renew, SE)

JARUBAS, Adam (EPP, PL)

GARICANO, Luis (Renew, ES)

GONZÁLEZ CASARES, Nicolás (S&D, ES)

MARQUES, Margarida (S&D, PT)

European Green Deal (T)

World Trade Organisation (T)

WTO-compatible EU carbon border adjustment mechanism: extracts from the debate (08/03), the vote and statement by Yannick JADOT (Greens/EFA, FR)

Title: WTO-compatible EU carbon border adjustment mechanism: extracts from the debate (08/03), the vote and statement 

SOUNDBITE (French), Yannick JADOT (Greens/EFA, FR), rapporteur , (debate from the 8/3/21) With the carbon border adjustment mechanism our climate policy also covers the issue of imports and therefore it is essential to move from emissions linked to production on European soil to our carbon footprint. This is already the first essential point of this instrument.

SOUNDBITE (French), Yannick JADOT (Greens/EFA, FR), rapporteur , It's the idea that creating less carbon is important, but we are not going to be carbon free by relocating part of our industry. We are not going carbon-free by de-industrialising in Europe

SOUNDBITE (French), Yannick JADOT (Greens/EFA, FR), The objective of the carbon border adjustment mechanism is obviously to counter, to fight this unfair competition by forcing the companies that want be on the European market to meet exactly the same constraints that we impose on our companies. 

SOUNDBITE (Portuguese), Margarida MARQUES (S&amp;D, PT), BUDG, We need to ensure that this mechanism is part of the EU's own resources and that it respects the principle of universality. There is a timetable which must be respected. Honouring our commitments means that the Commission must present its proposal in such a way that the mechanism makes a contribution to the EU budget from the 1st of January 2023 at the latest.

SOUNDBITE (English), Karin KARLSBRO (Renew, SE), INTA , The time when we could continue with trade as usual, that time has elapsed, trade has got to change. It's got to be sustainable. We should never stop fighting for free trade, but at the same time, a tax on carbon, on import is going to be key to fight climate change. We've got to make sure that manufacturers pay for carbon emissions wherever they take place. Thank you.

SOUNDBITE (English), Luis GARICANO (Renew, ES), ECON, Dear Commissioner Gentiloni, the great majority of the European Parliament is saying loud and clear that we want the CBAM (Carbon boder adjustment mechanism) and the Commission should take note of the strong preference in the Parliament for an eight years based system, our willingness to cover all ETS sectors as well as financial products, and the proposal of the ECON Committee for fisible design to assess the carbon content of imports. If the Commission delivers, it will find strong support and a really strong ally in the European Parliament.

SOUNDBITE (English), Paolo GENTILONI, European Commissioner for Economy, It is not a protectionist measure. It is about enabling the EU to step up to its climate ambitions. It is not to win unfair advantages with our partners.

SOUNDBITE (English), Paolo GENTILONI, European Commissioner for Economy, Climate change is a global issue and the solution also need to be global. And we have better condition for this global agreement now.

SOUNDBITE (Spanish), Nicol&#225;s GONZ&#193;LEZ CASARES (S&amp;D, ES), ITRE, We need to work effectively on the front of carbon leakage and we have to fight against any sort of adverse effects as well. We do feel that it's necessary for us to move forward , to move forward effectively with protection of the climate but also proper measures in place in order to have a balanced system in place.

SOUNDBITE (English), Adam JARUBAS (EPP, PL), shadow rapporteur , The design of CBAM for coexistence of this mechanism and free allocation in WTO should be in a compatible way. We know that such a design is possible. Otherwise the transition will turn to a direct switch and our economy is not ready for such an experiment.

SOUNDBITE (French), Yannick JADOT (Greens/EFA, FR), Interview: Until now the European climate policies have looked at the production of greenhouse gases on European soil, but with the carbon boder adjustment mechanism we take into account imports, that represent 20 percent of our carbon footprint. So we are broadening the scope of our climate policies to the reality of our real carbon footprint.

SOUNDBITE (French), Yannick JADOT (Greens/EFA, FR), rapporteur , The primary objective of the carbon border adjustment tool is an environmental, climate and protection objective for our industries. There is the prospect that it will generate income. When foreign companies buy quotas, it will generate revenues between 5 and 14 billion. You see that the range is very wide. We know from today, it is official, the carbon border adjustment mechanism will be part of the European Union's own resources, to partly finance the common debt, finance the climate transition and then help the poorest countries on the planet, the more vulnerable ones to better face this issue of climate challenge. 

SOUNDBITE (French), Yannick JADOT (Greens/EFA, FR), rapporteur , The ambition for the European Parliament, as for all the European institutions is that from January 1st 2023 the carbon border adjustmentmechanism will be implemented, first on steel, cement, chemicals, fertilizers and electricity. We will start with the heaviest sectors and those which pollute the most. The objective afterwards will obviously be to extend the coverage of carbon border adjustment mechanism to all industries.There is a great debate within the European Parliament as well as within the European institutions from the moment this mechanism is put in place, it must be compatible with international trade rules. This must encourage our trading partners to make the same efforts.