The ETUC urges the Commission to reintroduce the carbon tax on imports in the future climate change legislation

Brussels, 15/01/2008

"It is paradoxical that, while the employment argument is used extensively in the Member States, either to oppose or to support more stringent measures to combat climate change, the Commission acts as if this question did not exist at European level", commented ETUC General Secretary John Monks.It is imperative to revise three points:

- the introduction of a carbon tax on imports

In parallel with the greater commitments imposed, it is essential for the Union to protect heavy industry in Europe, and the corresponding jobs, against unfair competition from countries not willing to make the same effort. The risks for the competitiveness of energy-intensive sectors have been demonstrated by a number of scientific studies, including one carried out for the ETUC in 2007.

"A solution exists to keep employment and the planet from being the losers: an import compensation mechanism, such as a carbon tax, which would equalize carbon costs for companies outside Europe and in Europe. While allowing a considerable effort to be demanded from industry, such a system would keep heavy industry and jobs in Europe", explained John Monks. "It is unacceptable for this proposal to be relegated in the Commission's documents to the rank of a mere option, which could be decided in 2011 after a review of the situation."
For the ETUC, this is not a protectionist measure: "We want heavy industry to make a significant contribution, but in a system that gives it time to make the necessary modernisation investments and offers adequate incentives. That is the originality of our position, and we wish to see it taken further into account by environmental NGOs and industry."

- the introduction of social standards for the production of biofuels

The objective set by the European heads of state of a 10% share of biofuels in transport could have negative social and environmental consequences, particularly in the developing countries, if the Commission does not introduce social standards for the production of biofuels and if it fails to lay down much stricter environmental standards.

- the opening of real negotiations with the European social partners on the Union's climate policy

Considering the huge economic and social stakes and the growing tendency to bring the Union's climate policy into the Community sphere, the ETUC wishes to see real social negotiations on Europe's future climate plans. "The objective for European trade unions would be to have a permanent mechanism making it possible to anticipate, prevent and accompany as necessary the economic and social transformations that could result from the introduction of climate policies. The Commission must facilitate the establishment of such a mechanism", explained John Monks.

The ETUC also recommends that the Globalisation Adjustment Fund be used to address the consequences for workers of measures to combat climate change.