Ukrainian business is to be exempted from paying CO2 emissions tax
Kyiv • UNN
Ukraine plans to introduce a national CO2 emissions trading system by 2026 to exempt local businesses from CO2 tax on exports to the EU. The country's Ministry of Environmental Protection and Natural Resources plans to submit a draft law on the system this year.
Ukraine plans to implement a national CO2 emissions trading system in 2026. By the end of 2024, the Verkhovna Rada should adopt the relevant bill. This is reported by the Ministry of Environmental Protection and Natural Resources of Ukraine, UNN reports.
Details
It is noted that the agency continues to work on creating a national greenhouse gas emissions trading system.
This year, we plan to submit a draft law on the emissions trading system to the Verkhovna Rada of Ukraine and adopt it in the same year. In 2025, we plan to launch the ETS in a pilot mode, and in 2026, a full-scale launch.
The agency promises to present the stages, timeframes, and necessary infrastructure for this soon.
It is important for us to exempt Ukrainian businesses from paying the CO2 emissions tax (CBAM) in 2026 when exporting products to the EU. Therefore, despite the war in Ukraine, we must implement our own national greenhouse gas emissions trading system (ETS). This is an ambitious project that will not only help support our economy, but also fulfill Ukraine's obligations to implement Directive 2003/87/EC
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In addition, she spoke about the implemented tasks in the field of Ukraine's climate policy for 2023, in particular:
- In January 2023, the system of monitoring, reporting and verification of greenhouse gas emissions was updated, bringing it closer to EU acts. It is a prerequisite for the creation of an ETS;
- The vision of the Climate Policy was presented at COP 28 and in Brussels;
- The Strategy for the Formation and Implementation of the State Policy on Climate Change for the Period up to 2035 has been developed and is currently in its final stages;
- Together with German colleagues, the Climate Office was opened;
- A plan has been approved to help our country reduce methane emissions as part of the Global Methane Pledge initiative.