Chemicals sector "not at risk of carbon leakage"

Climate experts say post-2012 carbon trade plans will not force EU chemical firms abroad; industry disagrees

Making the chemicals industry pay for most of its carbon emissions from 2013 will not force it abroad, according to a new report by climate policy research group Climate strategies.

The European commission has proposed large-scale auctioning of carbon allowances after 2012 under plans to revise the EU emission trading scheme (ETS).  Climate strategies says the impact for "most" chemicals would be "small".

Industry group Cefic rejected the conclusion:  "Our competitiveness is highly at risk from a unilateral carbon cost," director general Alain Perroy said.

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