BRUSSELS, May 29, 2017 /PRNewswire/ --
To the Heads of State and governments of the European Union,
We, the undersigned CEOs of the European steel industry, are writing to you ahead of the final negotiations on the reform of the EU Emissions Trading System (EU ETS).
We agree that climate change is a critical issue that urgently needs to be addressed at international level, and we fully support efforts to reduce CO2 emissions cost effectively across the whole EU economy.
In the weeks ahead, you will have the final opportunity to shape an EU ETS that better addresses these objectives while preserving Europe's steel industry and the millions of employees it supports. You can avoid burdening the sector with high costs that will constrict investment, or that will increase the risk of job losses and plant closures in the EU.
The steel sector pulls its weight in lowering CO2 emissions. However, with technically unachievable steel benchmarks, the EU ETS legislation creates high carbon costs for even the best performing steel plants, despite the fact that the sector has been unambiguously recognised in the European Commission's own Impact Assessment as being at very high risk of carbon leakage. In its current form, the EU ETS favours steel imports from third country competitors that do not have such costs and which have a far higher carbon footprint than steel made in the EU.
Were the EU ETS directive to be adopted without some of the improvements requested by the European Parliament there would be a shortage of emissions allowances for our industry of around 35% by 2030. There will be no spare allowances from previous years available to alleviate the impact of the post 2020 period in the steel industry. In addition, the sector would be even more exposed to the carbon cost pass-through in electricity prices. Other industry sectors under the EU ETS do not face these constraints to the same degree.
We therefore call upon you to help preserve the sustainability and global competitiveness of the European steel industry. Europe must be able to produce the innovative steels that underpin modern society - and that help reduce CO2 emissions.
It is essential that the improvements that have been agreed by the European Parliament on waste gases, auctioning share, cross sectoral-correction factor and indirect costs are also adopted by the Council. This will help to ensure reform that encourages climate protection and the fulfilment of the EU's CO2 reduction commitments, while also limiting the impact upon the European steel industry's competitiveness, ability to innovate and the jobs it supports.
Aditya Mittal Francesc Rubiralta Rubio Antonio Gozzi CEO Chairman and CEO President ArcelorMittal Europe CELSA Group Federacciai Martin Lindqvist Claudio Riva Heinz Jörg Fuhrmann CEO President CEO SSAB Svenskt Stahl AB Riva Forni Elettrici Salzgitter AG Herbert Eibensteiner Andreas J. Goss Head of the Steel Division Hans Fischer CEO and Member of the CEO and CTO thyssenKrupp Steel Europe Management Board Tata Steel Europe Ltd AG voestalpine AG Bernardo Velazquez Fred Metzken Herreros Carlos Álvarez CFO CEO CEO AG der Dillinger Acerinox SA Aceros Inoxidables Olarra Hüttenwerke Catherine Tissot-Colle Francisco Javier Sanchez Présidente Timoteo Di Maulo CEO Alliance des Minerais CEO AG Siderurgica Balboa S.A. Minéraux et Métaux - A3M Aperam Cristian Gradinaru Eduardo Samblas CEO CEO Gilles Peru ArcelorMittal Roman ArcelorMittal Tubular CEO Tubular Products Products Ostrava a.s. Ascometal Denis Hugelmann Wim Van Gerven Andreas Hauger Président President CEO Aubert & Duval Belgian Steel Federation Benteler Steel/Tube Michel Hamy/Markus Menges Politimi Paunova Peter Bernscher Director General Executive Director CEO BSW - Badische Stahlwerke Bulgarian Association of British Steel GmbH the Metallurgical Industry Jerzy Kozicz Jürgen Alex Chairman of Management Member of the Board Antonio Gozzi Board Deutsche Edelstahlwerke CEO CMC Poland GmbH Duferco Industria Group Hans Lammert Dominique Richardot Armin Kauls Managing Director Secrétaire Général Managing Director Edelstahl-Vereinigung E.V. ESTA ESW RÖHRENWERKE Roman Stiftner Peter Behrend Michele Della Briotta Managing Director President Managing Director Fachverband Bergwerke und Fachvereinigung Europe Tenaris Stahl Stahlflanschen e.V. Giuseppe Pasini Mario Caldonazzo Antonius Deelen President CEO CEO Feralpi Group Finarvedi FNsteel bv Frank Koch CEO George Skindilias Vassileios Goumas Georgsmarienhütte Holding Vice-President and CEO CEO GmbH Halyvourgiki Inc. Hellenic Halyvourgia Evgeny Tankhilevich CEO Melker Jernberg Jaroslav Raab ISD Dunaferr Danube CEO Executive Director Ironworks Private Company Höganäs AB Hutnictvi Zeleza Limited by Shares S. Zeilberger, K. Rummler, Anatolii Fediaiev J. Henze Markus Ritter President of the Board Members of the Executive Managing Director ISD Huta Czestochowa Board Marienhütte Stahl- und Sp.z.o.o. Lech-Stahlwerke GmbH Walzwerk GmbH Kimmo Järvinen Managing Director Roberto Re José Enrique Freire Arteta Metallinjalostajat - Commercial Director President and CEO Association of the Finnish Metinvest International Megasa Steel and Metal Producers Italy sarl Robert Móger Filippo Gottardis Director Ben De Vos International Sales MVAE - Association of the CEO Director Hungarian Steel Industry NLMK International BV Officine Tecnosider Roeland Baan Marcus Hedblom Stefan Dzienniak President & CEO CEO President of the Board Outokumpu Oyj Ovako AB Polish Steel Association Petra Einarsson Viktor Dembitsky Michael Müller CEO CEO CEO Sandvik Materials Promet Steel JSC Saarstahl AG Technology AB José Enrique Freire Arteta President José A. Jainaga Nikolaos Mariou Siderurgia Nacional - President and CEO General Manager Empresa de Produtos Longos Sidenor Aceros Especiales Sidenor SA - Greece S.A. Siegfried Gierl, Harry Nimmerjahn Denis Mancevic Bo-Erik Pers Managing Directors CEO CEO Rohrwerk Maxhütte GmbH SIJ Slovenian Steel Group Jernkontoret Alexander Alexandrov Jan Czudek Jesus Esmoris General Manager CEO CEO Stomana Industry SA Trinecke Zelezarny AS Tubacex Patrick Lamarque Guillermo Ulacia Scott D. Buckiso d'Arrouzat Executive Vice-President President CEO Tubos Reunidos Group U.S. Steel Kosice Ugitech Gonzalo Urquijo Gareth Stace President Ionel Bors Director UNESID Spanish Steel President UK Steel - EEF Association UniRomSider Dmitrij Scuka Hans Jürgen Kerkhoff Philippe Crouzet CEO and Chairman of the President Président du Directoire Board Wirtschaftsvereinigung Vallourec Vitkovice Steel a.s. Stahl Geert Van Poelvoorde President EUROFER
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