The Norwegian government has announced that it is planning to introduce the country’s own Carbon Border Adjustment Mechanism (CBAM) from 2027. The ministry of climate and environment and The Norwegian Environment Agency will work together on the scheme.
With its CBAM, Norway aims to prevent the European industry from losing its competitiveness and from relocating to other countries where environmental regulations are not stringent.
Andreas Bjelland Eriksen, minister of climate and environment, stated that the CBAM will set an equal price for emissions caused by the production of goods, whether they are produced in Norway or the EU, or are imported from other countries. Meanwhile, Jens Stoltenberg, minister of finance, pointed out that the CBAM will maintain the competitiveness of domestic industry, while providing incentives for other countries to cut their emissions.