Stanislav Zinchenko on the European Carbon Border Adjustment Mechanism:
Stanislav Zinchenko, the head of the industrial ecology and sustainable development committee of the EVA, expressed outrage over the potential losses that Ukrainian businesses may suffer due to the introduction of the European Carbon Border Adjustment Mechanism (CBAM). He believes that the government should work more actively on the conditions for its implementation to minimize its negative impact on the Ukrainian economy.
Zinchenko noted that the government made a promise to the European Commission to discuss CBAM issues back in 2021, but so far no concrete actions have been taken. As a result, Ukraine lacks a stable approach and official positions on this tariff.
He believes that Ukraine should take a cue from South Korea, which successfully convinced the EU to recognize its own system of carbon credit certification. This move would help avoid double taxation and protect Ukrainian businesses.
The expert emphasized the need to respond to changes. He stressed that applying a declarative approach to goods could help reduce the financial burden on businesses, especially in times of war.
Zinchenko called on the Ukrainian government to intensify negotiations with the EU and work on mechanisms for financing decarbonization in Ukraine. He believes that this would be a logical step before Ukraine’s future accession to the EU.
The expert highlighted that Ukrainian businesses support the idea of implementing an emissions trading system (ETS), but at present, they are not ready to provide sufficient funding. Therefore, alternative ways of financing decarbonization need to be explored.
