Title PPT Training CBAM Ecadin (21 Nov)[1] - Pak Natha.pdf ✅

November 21, 2024 CARBON BORDER ADJUSTMENT MECHANISM (CBAM) MARTINUS NATA Project Director & Sustainability SCA Training Decarbonization Operations
Explanation of CBAM Implementation of CBAM CBAM Tarif Effects of CBAM Adjustments for Oil and Gas Companies Facing Indirect Impacts of CBAM REPORT CONTENT Reporting Carbon Emissions for Products CCUS (Carbon Capture, Utilization, and Storage) Carbon Border Adjustment Mechanism (CBAM)
What is CBAM (Carbon Border Adjustment Mechanism)? Carbon Border Adjustment Mechanism (CBAM) is an EU policy designed to put a fair price on the carbon emissions embedded in carbon-intensive goods imported into the EU, thereby incentivizing cleaner production processes in non-EU countries Product Category In Scope of CBAM Indonesia's Product Competitiveness in the European Union Market Export Growth Competitive Advantage 1. P Discouraging companies from moving their production to countries with less stringent environmental regulations to avoid higher carbon costs. 2. Create a Level Playing Field Ensuring that imported products face similar carbon costs as those produced domestically within the EU and Helping European industries compete fairly with imported goods, particularly those from countries with lower environmental standards 3. Promote Global Decarbonization Encouraging countries to reduce their carbon emissions by making imported goods more expensive if they are produced in a carbon- intensive way. Objectives of the CBAM: Prevent Carbon Leakage Create a Level Playing Field Promote Global Decarbonization Carbon Border Adjustment Mechanism (CBAM)
When Will CBAM Be Implemented? Importers will only be required to report, without any financial obligations. October 2023 Transition Period Importers will begin to face financial obligations, which will progressively increase. Januari 2024 Payment Period 2026-2030 Extension Period CBAM definitive regime (From 2026) dan EU will expand the Carbon Border Adjustment Mechanism (CBAM) to include all sectors covered by the EU Emissions Trading System (Estimated 2030). CBAM will reach full effect by 2034 in the initial sectors. 2034 Full Implementation - Electricity -Hydrogen -Cement Initial Sectors Covered - Oil Refining - Upstream (Fuel Combustion) - All Metals - Pulp and Paper Sectors Covered by 2030 -Fertilizers -Aluminium -Iron & Steel - Glass and Ceramics - Acid and Organic Chemicals - Aviation - Maritime - Lime Carbon Border Adjustment Mechanism (CBAM)