Uhlíkové clo vstúpi do platnosti od októbra 2023

AGREEMENT REACHED ON EU CARBON BORDER ADJUSTMENT MECHANISM  

Before the end of 2022, the European Parliament reached an agreement with the Council to establish an EU Carbon Border Adjustment Mechanism (CBAM) to combat climate change and prevent carbon leakage. CBAM will impose mainly financial obligations on companies which import products, involving high levels of carbon emissions, for use in their production. In the first phase CBAM will cover iron, steel, aluminum, cement, fertilizers and electricity. As proposed by the Commission, this will later extend to hydrogen, indirect emissions under certain conditions, certain precursors and some downstream products such as screws, bolts and similar articles of iron or steel.

CBAM should apply from 1 October 2023, with its initial phase in the form of a transition period (duration yet to be determined) for data collection, during which importers’ obligations should be limited to reporting. Before the end of this transition period the Commission should assess whether to extend CBAM to cover other goods at risk of carbon leakage.

More detailed legislative proposals covering CBAM should follow in the coming weeks and we will monitor developments in this area. Should you be interested in more detailed information, please do not hesitate to contact author of this article or your usual contact person at EY Slovakia.