Revenues from the carbon offset mechanism at the EU's borders must support vulnerable countries in the fight against climate change, says ActionAid International

In response to today's news that the European Parliament has approved legislation on the Carbon Border Offset Mechanism (CBAM) - a levy aimed at preventing EU companies from outsourcing their operations to countries with lower environmental standards, Javier Garcia de la Oliva, Head of Country Engagement and Transformation in Europe and the Americas at ActionAid International, stated:

"It is essential that the EU dedicates revenues from the Carbon Border Offset Mechanism (CBAM) to the world's most vulnerable countries and communities and supports their efforts to combat the climate crisis and preserve biodiversity.

"With the upcoming budget review in July, the EU needs to send a strong political signal and cannot afford to shut down and appear a 'fortress' at a time when it is focusing on geopolitical credibility and leadership." Instead, it must take up its historic responsibility and fulfill its commitments to finance climate action and to finance loss and damage.”