Challenges, opportunities and stumbling blocks on the path to increased global climate ambition, with a particular focus on the case of LCDS

Bellona presents an event spotlighting the challenges and opportunities for an interconnected system of carbon pricing mechanisms and CBAMs beyond the EU, shaping the future of global climate solutions. 

As a first-of-its-kind, the EU Carbon Border Adjustment Mechanism´s (CBAM) main objectives are to protect EU climate ambition and at the same time stimulate worldwide climate ambition. If designed inclusively, CBAM has the potential to create a strong demand signal and pull for low-embedded emission products produced in the Global South – unlocking the inherent cost competitiveness of these markets. While interest across the world for carbon price initiatives is growing, an interconnected system of CBAMs is likely still far ahead.

The aim of this event organized by Bellona Europa is to highlight the challenges and opportunities for an interconnected system of CBAMs beyond, but interlinked with, the EU. The focus will be on how such a system could foster the production of green products all over the world, including but not limited to the Global South – positioning emerging and developing economies as providers of global climate solutions, not passive actors in the fight against climate change. It will explore how instruments such as CBAM can be designed to ensure fair and equitable market access and avoid policies that are explicitly or implicitly protectionist. Additionally, it will be explored how such system could aid an international Just Transition and how it can enable green or climate-positive growth, when low-emission countries with high renewable energy potential leapfrog to green manufacturing and realise inclusive and sustainable growth by decarbonising the world.

In the context of COP28, and the crucial platform for international cooperation it is, this event will explore the possibility of building and coordinating an interconnected system of pricing mechanisms, accompanied by CBAMs around the world. 

Speakers:

• Francesco Lombardi (Policy Advisor, Sustainable Finance and Economy)
• James Mwangi (CAP-A founder)
• Gerassimos Thomas (Director General of DG TAXUD, European Commission)
• Lina Strandvåg Nagell (Senior Manager Projects & EU Policy, Bellona Europa)
• Sanjeev Gupta (Executive Director, Financial Services, Africa Finance Corporation)
• Dr. Ahn (MD of POSCO, Research Institute)