The EU4Energy project supported the organization of the Energy Summit in Bosnia and Herzegovina – Neum 2024

The EU4Energy project supported the organization of the Energy Summit in BiH – Neum 2024 through the organization of two panels on the topics: Panel-2 Carbon Border Adjustment Mechanism (CBAM) and Panel-7 Greenhouse Gas Emissions Trading System (ETS), and EU4Energy project experts participated as panelists and discussed other topics opened at the Summit.

William L’Heude, EU4Energy expert, keyy-note presenter and panelist on Panel-1 (CBAM): “The EU’s Carbon Border Adjustment Mechanism (CBAM) will gradually introduce a carbon price on imports of aluminum, iron and steel, cement, fertilizers, electricity of energy and hydrogen in the EU from January 1, 2026. Although this represents a challenge for stakeholders in BiH, as it will impose additional administrative and financial costs for the covered sectors, CBAM also represents an opportunity because it encourages the decarbonization of industry and the production of electricity. Today’s panel with high-level participants showed that BiH authorities and producers are actively involved in the preparation of a response strategy in line with BiH’s climate obligations and European aspirations, including the launch of monitoring, reporting and verification of emissions (MRV) for the ETS as a first step towards the establishment of the EU ETS system.”

Alessandra Barreca, EU4Energy expert, key-note presenter and panelist on Panel-7 (ETS): “ETS represents a successful and effective tool for mitigating climate change, which is based on setting a “CAP” (limitation of the total amount of certain greenhouse gases that can be emitted by the covered sectors during a certain period) and combined with the trading of emission permits (each of which corresponds to the right to emit 1 ton of CO2eq), thus enabling the covered operators to meet their greenhouse gas emission reduction obligations gases with the least costs. At the same time, it encourages the reduction of greenhouse gas emissions at source by encouraging innovation and the transition to green technology, thereby making a key contribution to meeting decarbonisation pledges and climate policy targets without disrupting production levels. The updated NDC (National Determined Contribution) in BiH according to the Paris Agreement confirmed the goal of reducing greenhouse gas emissions for 2050 by 50.0% (unconditional) and 55.0% (conditional) compared to 2014. Therefore, the country’s current engagement in introducing and implementation of the ETS represents a key step for progress towards meeting climate change mitigation goals, progress in the EU accession process and achieving the goals of the Energy Community Treaty and, on last but not least, achieving the goals of the green transition by promoting innovation and preserving industrial competitiveness.”