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Serbia prepares to transition to carbon pricing

Serbia is preparing to implement a carbon pricing system to comply with the European Union’s Carbon Border Adjustment Mechanism (CBAM).

Serbia prepares to transition to carbon pricing

According to Balkan Green Energy News, Jovana Joksimović, Assistant Minister of Mining and Energy for International Cooperation and European Integration, stated that the government is conducting a comprehensive impact analysis. The study focuses particularly on products that will fall under CBAM. Additionally, the Ministry of Energy is carrying out a separate assessment of the EU regulations’ effects on Serbia’s electricity sector.

Joksimović noted that Serbia is ready to establish a Monitoring, Reporting, and Verification (MRV) system, which forms the foundation of carbon pricing. She also mentioned that alternatives such as a fixed-price emissions trading system or a carbon tax may be considered during the EU alignment process.

Meanwhile, there are technical concerns regarding the European Commission’s methodology for calculating emissions under CBAM. Joksimović pointed out inconsistencies between the CO₂ emission factors for direct and indirect emissions defined by the Commission, which could lead to unfairness in CBAM calculations. Serbia is calling for a fair revision of the methodology.

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