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ENERGO: Russia firming plans for carbon taxes on industry

The Russian Ministry of Economic Development is still considering introducing greenhouse gas (GHG) emission taxes on industry, the RBC business portal reports, citing a draft strategy for cutting GHG emissions up till 2050.

As reported by bne IntelliNews, the entry into force of the EU Carbon Border Adjustment Mechanism (CBAM) may lead to a 0.17% drop in Russian GDP.

Reports in 2021 showed that the proposals concerning CBAM offered Russian exporters some relief and time to adjust. CBAM is slated to be implemented sooner than originally planned, with the transition phase starting this year (from 2026 previously). Free quotas are to be stopped by 2029 (versus 2036 previously).

Potentially, domestic carbon taxes could free Russian industry from the CBAM, but this would require cooperation with the EU on the issue. 

Russian ministries already have data on the largest GHG emitters, and from 2025 smaller companies with up to 50,000 tonnes of carbon dioxide emissions per year will also be obliged to report on them.