European regulations are a start for climate

Climate policy wonks rejoice: the EU's CBAM is in effect.

For the non-nerds, that alphabet soup means the European Unions Carbon Border Adjustment Mechanism is in effect. While certainly more complex than a paragraph can convey, the upshot about the CBAM is this: it's a policy designed to promote cleaner, greener manufacturing processes by applying an import tax on certain materials from countries with higher manufacturing emissions/lower regulations around pollution or emissions in manufacturing.

For the EU, this is initially being applied to steel, cement and other carbon-intensive manufactured process. The goal is twofold: to not disadvantage local producers having to work under stricter environmental regulations, which often add to the cost of their product; and to incentivize the exporting countries to “clean up their act,” so to speak and invest in less-polluting manufacturing processes.

No doubt implementation of this will be rocky, but it's a start. If we want a greener future from our manufacturing sector, it is more obvious than ever that the answer is to hit 'em where it hurts — in the wallet.

Nathan Dombeck

Janesville