Summary
This position paper by Cefic addresses the European Commission’s proposal to enhance the 2030 climate ambition. Cefic supports the EU’s goal of climate neutrality by 2050, but underscores the need for detailed sectoral strategies to facilitate this transition. Cefic calls for balanced effort distribution, technology readiness assessment, and sufficient free allocations to shield industries from carbon leakage. They highlight the urgent need for coherent policy frameworks, especially in energy-intensive industries, and stress the implications of rapid emission reductions.
Key takeaways:
- Sectoral strategies are essential to align different economic sectors with the 2030 and 2050 climate targets, ensuring enabling conditions for technology deployment and investment.
- Balanced effort-sharing is crucial, with an equitable distribution of the burden between EU ETS sectors and non-ETS sectors to avoid disproportionate impact on industries facing global competition.
- Sufficient free allocations and protection against carbon leakage are necessary to maintain industry competitiveness and mitigate risks arising from higher carbon costs.