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01 Oct 2019, 13:50
Julian Wettengel

Merkel's CDU examines border adjustment measures to avoid carbon leakage

Clean Energy Wire

Germany's ruling Christian Democrats (CDU) want to examine “border adjustment measures” to avoid carbon leakage in case a global price on CO2 emissions cannot be agreed on quickly, the party leadership said in a resolution for its national conference on 22-23 November in Leipzig. The CDU stopped short of explicitly calling for a carbon border tax, which European Commission President-elect Ursula von der Leyen has said she plans to introduce. France has long called for such a tax and the French and German governments announced they support looking into it after joint consultations in September. A spokesperson this week said that before the German government would decide a position on such a tax “various questions of climate policy, trade policy, commercial law [and] practicability” have to be addressed.

A carbon border tax is not mentioned in the climate action package approved by the federal government on 20 September. Chancellor Angela Merkel's so-called climate cabinet presented key points of a plan to reach 2030 climate targets, which include a pricing system for carbon emissions in transport and buildings, passage of a Climate Action Law and a package of measures in all sectors.

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