The European Commission is likely to next year put forward a proposal to exclude small companies from the EU’s Carbon Border Adjustment Mechanism (CBAM), a senior official told Carbon Pulse on Thursday. Vicente Hurtado Roa, head of unit at the Commission’s directorate general for taxation and customs union in charge of implementing CBAM, said the majority of imported emissions are caused by large companies. This means small companies would not have a significant climate impact, he told Carbon Pulse on the sidelines of a conference organised by the International Swaps and Derivatives Association (ISDA) in Brussels.
CBAM is so complex and bureaucratic that it is totally unmanageable by SMEs – which even face fines if they involuntarily make mistakes in the procedures. FACE called for derogations years ago. The CBAM should be replaced by an IRA-style incentive instrument.
Here the full article by Carbon Pulse: https://carbon-pulse.com/349583/