Accounting for Carbon Pricing in Third Countries Under the EU Carbon Border Adjustment Mechanism Flashcards
Why has the EU been criticized for discriminating against countries that have other enviromental regulations than emission trading schemes and carbon taxes
Becouse only ETSs and emissions taxes are credited in the CBAM
By not recognising indirect carbon taxes the EU CBAM goes against the GATT
Probably as it is a tariff that is not
By not taking other countries development the EU CBAM may go against the paris agreement
Yes, although the rethoric seams to be a lot of technically correct belougny who is to say how developed a country should be to not implement a direct carbon tax sounds like an excuse to pollute cuz were poor argument.
By forcing ETFs and carbon taxes the EUs carbon leadership efforts may be counterproductive
Maybe by forcing regulations ill fitted to other countries institutions as they say although I dont understand what is wrong with taxing the problem directly
CBAM uses licences to import high poluting products to the EU which are bought simmilar to ETS tokens
true
What is the default value of polution for a good
The polution of the worst 10% EU instalations of the goods which is used if the real emissions cannot be calculated by an acreddited evaluator
The CBAM has difficulties taking account fosil fuel subsidies of third countries
True
Jurisdictions that are fully linked to the EU ETS, or that conclude an agreement on the linking of their ETS with the EU system, are excluded from the scope of application of the CBAM
True although that is basically to adopt the EU climate and electricity laws and to commit to clomate neutrality by 2050.
CBAM certificates are administered by member states but are not financilly penalised if they do not do so properly
False
What is the counter argument to the claim of CBAM discrimination of traditional non carbon tax/ETS climate policy
That if the policies are effective they should reduce the effective carbon in the goods which makes CBAM cheaper
The administration required to evaluate the carbon impact of all possible secondary policies would not be hard, costly and unreliable
False, although it has and is being done to a degree by the IMF
Under the GATT countries are allowed to create barriers to protect the environment
Yes in article 20, but it is to be done as flexible as it can be to not discriminate among WTO members
