Eurofer press release: “Is the real aim of European policy the de-industrialisation of Europe?”

Eurofer press release: “Is the real aim of European policy the de-industrialisation of Europe?” The EUROFER Board met on Friday 17th December and discussed the decision by the Commission and member states on the level of benchmarks for carbon allowances for industry. The benchmarks set the level of free emission allowances for industry in the third emissions trading period, 2013 to 2020. The most efficient installations in sectors at risk of carbon leakage were supposed to receive all their needs in allowances for free in order to minimize their competitive disadvantage, caused by the directive, vis-à-vis competitors from non-EU countries. European policy is presented publically as being balanced – with ambitious targets set off by measures to protect industry. It is nothing of the sort. The climate change directive provides for free allowances for industry subject to benchmarks with the best 10% performers of industry getting 100% of their allowances for free. Yet the benchmarks for steel just agreed by the Commission and member states are substantially below this. This is a violation of the Directive. European policy is doing nothing to tackle climate change in an efficient and effective way. The European economy and population are the real losers from this approach. Unsurprisingly, no other economy in the world is following Europe’s example. The decision also makes capacity increases in industry almost impossible. There is no longer any incentive for industry to invest in capacities or jobs in Europe.