A preliminary draft European Commission directive leaked to the press reveals a proposal to impose a carbon tariff on products imported into the EU from countries (presumably including the United States) that do not limit GHG emissions. The requirement, dubbed the future allowance import requirement, or FAIR, would apply beginning December 31, 2014 "in respect of goods which are determined… to be subject to a significant risk of carbon leakage [defined as relocation or increase of GHG emitting activities] or to international competition until other countries and administrative entities are taking binding and verifiable action to reduce greenhouse gas emissions comparable to the action taken by the Community." Included among the various concerns the proposal would address is a growing concern that industry is departing the EU for countries that do not impose emissions limitations. The draft directive includes a number of other proposals to address post-2012 issues, including a proposed new directive harmonizing rules on carbon capture and geologic storage across member states; publication of a final version is expected on January 23.
Register now for your free, tailored, daily legal newsfeed service.
Questions? Please contact firstname.lastname@example.orgRegister
Is a European carbon tariff in the future?
If you would like to learn how Lexology can drive your content marketing strategy forward, please email email@example.com.
Related topic hubs
“I have found the articles in Lexology/Newsstand to be closely related to the topics I am interested in. The selection feature during registration helps in increasing the relevance of the content of the emails. They’re easy to understand and I appreciate that they are only as long as necessary to cover the essentials. I would recommend it to other attorneys.”