Europe is considering taking the bold step of introducing a border carbon adjustment tariff on goods imported from regions where carbon pricing is lacking, placing trade right in the middle of its climate ambitions
LEAKAGE CONCERNS
Fears that industry could move out of Europe to countries with less strict emissions reduction regulations have been voiced ever since the EU introduced its Emissions Trading System 15 years ago. The EU is now examining how it can introduce a carbon border tax and use trade as a means to push climate action around the world
OPPOSITE EFFECT
There is a danger the EU’s efforts could backfire and do more harm than good in terms of climate action
KEY QUOTE
“There is no point in only reducing greenhouse gas emissions at home, if we increase the import of carbon dioxide from abroad” ...
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An EU taxonomy to define green investments is expected to enter into force in 2021, but some experts want it to be used immediately to inform stimulus packages aimed at dealing with the social and economic fallout from the Covid-19 pandemic
To create demand for sustainable finance, governments should integrate climate criteria into their procurement and in how they draft policies and regulations
Investors taking ESG issues into account are increasingly examining future scenarios, particularly around climate change
Making buildings greener and more energy efficient makes environmental and economic sense if the right financing solutions are used, says Thomas Geiselbrecht, Financing Solution Partner, Siemens Financial Services
Investments spent on dealing with the social and economic impacts of Covid-19 in Europe should focus on achieving the highest value outcomes in line with the objectives of the European Green Deal, insists Simon Skillings from think tank E3G
The coronavirus is a deadly human tragedy, causing untold grief and pain. It is also rocking the world’s economies as people lose income and businesses struggle to stay afloat. Yet there are lessons to be learned for the climate crisis
Recent Eurelectric analysis reveals the need to reconsider and improve a number of policies and priorities as part of the European Green Deal — the EU Emissions Trading System and an effective carbon pricing for non-ETS require careful consideration, says Petar Georgiev, Eurelectric Policy Advisor climate & e-mobility
A recent World Bank study reveals global carbon revenues are rising sharply, but only around 42% are used for environmental projects. It shows European and American citizens prefer their governments to spend carbon revenues on low-carbon initiatives, so why is political will lagging behind asks Susanne Dyrbøl from Rockwool Group
Many believe the ECB and other central banks should bring climate considerations into the rulebook governing what they support and how
China has pledged to peak carbon emissions by 2030 at the latest, but its economic plan for 2021-2025 is expected to approve the building of more coal-powered plants
Politically there is broad support in Denmark for financing the green transition through taxes and a carbon emissions tax proposal has been welcomed by parties across the political spectrum, but industry opposition could ultimately quash the idea
The world’s development banks are funnelling ever-greater volumes of finance into clean energy — but the challenge of shifting entire economies away from climate-wrecking activity and towards actions that align investment goals with those of the Paris Agreement requires a more holistic approach
COVID-19 may have reduced emissions in the short-term, but much more needs to happen to slash fossil fuel use to meet climate targets
The UK is often cited as a leader in the transition to a clean energy economy, even though some British public money still flows to oil and fossil gas projects overseas