What are the changes in the European Parliament voting to support the carbon market reform carbon border regulation mechanism?How does it affect China?

According to a report by Xinhua News Agency on June 22, the European Parliament voted on the 22nd to vote for the draft legal draft of the carbon market reform, and called on the EU carbon emissions trading system to reform accordingly, and implemented the carbon border adjustment mechanism (CBAM) faster and widespread.

According to the carbon border adjustment mechanism, the EU will tax on the cement, aluminum, chemical fertilizer, steel and other products imported from countries and regions with relatively loose restrictions from carbon emissions. This mechanism will be parallel with the EU carbon emissions trading system and supplement or replace its specific terms. Next, negotiations will be held between the European Parliament and the EU member states to complete the final legislative procedure of the relevant draft law.

It is reported that the European Commission proposed a package of environmental protection proposals last year, which aims to realize the net emissions of EU greenhouse gas by 2030 compared with the level of 1990, at least 55%compared with the level of 1990, and will achieve carbon neutrality by 2050. Establishing a carbon border adjustment mechanism is one of the core contents.

Relevant regulations are stricter

"Daily Economic News" reporters found that the draft carbon border adjustment mechanism was initially proposed in July last year. Compared with the initial version of the draft, the relevant provisions of the amendment passed in this voting have become more "strict".

In addition to the initial steel, refinery, cement, organic basic chemicals and fertilizers, this amendment proposes to further expand the scope of CBAM's collection, and add organic chemicals, plastics, hydrogen and ammonia industries.

In addition to direct emissions, the amendment also proposed that the indirect emissions generated by the manufacturer's outsourcing electricity used in the manufacturer are also included in the CBAM range.

In addition, all protected EU industries in the EU emission trading system (EU-ETS) will be awarded free carbon quotas at the beginning, but the free quota will gradually decrease. In the first version of the draft, starting from the official implementation year (2026), the free quota was eliminated by 10%year -on -year, and the free quota ended in 2035. The amendments have clearly decreased the annual free quotas from 2027-2031 to 93%, 84%, 69%, 50%, and 25%. The free quota was completely canceled in 2032. It was 3 years earlier than the initial version of the draft. Essence

In addition, the amendments also proposed to set up a unified carbon tariff execution agency at the EU level. CBAM income will be used for the European Union budget. The EU will use CBAM revenue to support the most developed countries to achieve the manufacturing industry's decarburization to support the climatic goals of the EU And international commitment.

However, compared with the draft of the first edition, the amendment is clear that CBAM will begin on January 1, 2023. The transition period will be extended to 2027 at the end of 2026.

Lin Boqiang, a researcher at Jiageng Innovation Labs and Dean of the China Energy Policy Research Institute of Xiamen University, said in an interview with the reporter of "Daily Economic News" that the carbon border adjustment mechanism is a key supplementary measure for the EU carbon emission trading system, and it is also "Europe The most controversial policies in the New Deal of Green Politics, these changes in the amendments indicate that the policy adjustment is increasingly tighter, and we need to pay great attention.

China should improve the carbon emissions transaction mechanism

What impact will these changes have on China? How should we deal with it?

In this regard, Lin Boqiang told the reporter of "Daily Economic News" that since China is a large exporter of high -energy products in the industry, these changes have a great impact on China and mainly negatively impact. "Because theoretically CBAM is to collect tariffs from the perspective of carbon, and you will receive your taxes if you get more carbon emissions."

Lin Boqiang analyzed that once CBAM's implementation, it has an important impact on the high -carbon industry that may be covered and will bring additional costs to Chinese export products.

"Therefore, we must deal with this mechanism positively." Lin Boqiang said, first of all, we must improve the carbon emissions transaction mechanism to expand the coverage of the national carbon market to the departments covered by the carbon border regulation mechanism to guide the development of the industry. At the same time, low -carbon enterprises are cultivated as much as possible.

"In addition, we must strengthen negotiation and communication, and gradually promote the transparency of the carbon border adjustment mechanism." Lin Boqiang said that China should strengthen negotiation communication with the European Union, the United States, the United Kingdom, etc., emphasize the positioning of developing countries, and call on the carbon border regulatory mechanism to "common but have any but there is any Implementation of the principle of responsibility ".

The reporter noticed that in July last year, a spokesman for the Ministry of Ecology and Environment, Liu Youbin, responded to related issues.

Liu Youbin said: "The carbon border regulation mechanism is essentially a unilateral measure. It has unreasonably expanded climate issues to the trade field. It does not meet the principles and requirements of the "Framework of the United Nations Climate Change" and "Paris Agreement", especially the principles of common but different responsibilities, and the institutional arrangement of the "bottom -up" national independent decision contribution to promote unilateral sides of the unilateral sides The style of doctrine and protectiveism will greatly hurt all parties to deal with the enthusiasm and ability of climate change. "

Liu Youbin emphasized that China always believes that multilateralism is the only way out to solve global problems. Faced with the challenge of global climate change, countries are the community of destiny. They should adhere to multilateralism, adhere to the common but different responsibility principles and the institutional arrangements of the country's independent decision. climate change.

Daily Economic News

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