Glass industries must have long-lasting protection against risk of carbon leakage

Date: 22 November 2013

The EU glass industries are facing high energy costs, the world’s strictest environmental and climate regulations and have been severely impacted by the economic crisis.

While competitiveness is high on the agenda, the carbon leakage list assessment creates uncertainty in both doing business in Europe and attracting the much needed future investments to create jobs and welfare.Glass Alliance Europe calls on decision-makers to maintain the glass industry on the list of sectors exposed to the risks of carbon leakage and keep the manufacture of glass in Europe.Leakage is already taking place at the actual carbon price levels. Investments are evaluated against expected carbon prices in the time frame of 2020 and beyond. The EU ETS should therefore be carbon leakage resistant to at least a price level of € 30,-/EUA1 as prescribed in the framework of the EU ETS Directive.

Until such time as a global climate agreement can be found and similar Emissions Trading Schemes are set up outside Europe, protection against risks of carbon leakage is essential for glass industries to continue manufacturing added-value, preserving its competitiveness during the transition to a low carbon economy, investing in the EU and providing jobs in Europe.

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