Carbon Market Watch is concerned with the willingness of the European Commission to allow for domestic and international credits to be accounted as carbon price paid in a third country. Not only does this represent a discrepancy with the current EU ETS architecture, but it also sets a dangerous precedent that incentivises the establishment of …
Turkey is advancing the development of a national Emissions Trading System (ETS) as part of its broader climate commitments under the Paris Agreement, at a time when carbon pricing is expanding globally, and the EU Carbon Border Adjustment Mechanism (CBAM) is set to impose a carbon cost on exports to the EU from 2026. As a major trading partner of the EU, the effectiveness of the Turkish ETS will be critical not only for reducing emissions but also shielding Turkish industry from CBAM costs and strengthening Turkey’s position in a decarbonising global economy.
Asian economies are accelerating the development of carbon pricing systems as a central tool to drive decarbonisation. With the region responsible for around half of global emissions, these frameworks will be decisive for global climate action. However, carbon pricing is advancing unevenly across the region. Japan and South Korea already operate large-scale systems covering 60% and 79% of national emissions, respectively, while Vietnam, Indonesia, and the Philippines are still in the early stages of designing and piloting carbon pricing instruments.
In its efforts to placate heavy industry, the European Commission’s latest proposed changes to the Carbon Border Adjustment Mechanism serve no environmental purpose. It’s time to refocus the CBAM on the climate.
After initially backing the EU’s planned Carbon Border Adjustment Mechanism (CBAM), EU industry has grown increasingly hostile to the carbon levy as the prospect of losing their free allowances under the EU’s Emissions Trading System (EU ETS) looms closer, according to an InfluenceMap analysis requested by Carbon Market Watch.
%%excerpt%% CMW response to European Commission consultation on CBAM downstream expansion and anti-circumventionIn this response to a public consultation, Carbon Market Watch urges the European Commission to place emissions reductions at the top of its policy priorities. New downstream products should only be added to the Carbon Border Adjustment Mechanism after a careful analysis assessing the global emission decrease the expansion could generate. Expanding the product list should not, under any circumstances, jeopardise the entry into force of the CBAM in 2026 nor should it delay the phasing out of free allowances under the EU Emissions Trading System (EU ETS).
In the heated debate on exports that risks undermining the very foundation of the CBAM, one question remains unanswered: for how long can EU policymakers shield heavily polluting productions from paying the fair price for their emissions?
Heavy industries covered by the EU Emissions Trading System (ETS) received most of their pollution permits for free, effectively subsidising Europe’s dirtiest businesses, a new report by Carbon Market Watch and WWF reveals. This wasteful and inefficient policy cost society €40 billion.
After receiving billions in state aid and free pollution subsidies to decarbonise its production, steel producer ArcerlorMittal put its clean steel projects on hold.
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