Brussels will fine importers no more than €50 a tonne of carbon emissions for missing reporting requirements during the trial period of the world’s first carbon border tax.
The planned penalties, which could even be as low as €10 a tonne, were announced yesterday as part of legislation laying out how the EU’s so-called carbon border adjustment mechanism (CBAM) will work when it comes into effect for an 18-month trial period from October 1.
The tax, which will be introduced in 2026, is designed to create a level playing field between EU companies that must pay a carbon price for their emissions and businesses importing from countries with lower or no charges for emissions.
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