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research article

Industrial European regions at risk within the Fit for 55: How far implementing CBAM can mitigate?

Perdana, Sigit  
•
Vielle, Marc  
2025
Renewable and Sustainable Energy Transition

The transition to a low-carbon economy can create new job opportunities but may cause job displacement in some sectors that heavily rely on fossil fuels. In order to gain a balanced appraisal in understanding the broader consequences of climate policies, this paper analyses the impact of the EU Fit for 55 with carbon border adjustment on EU employment at the regional level. Research findings prove that certain regions are disproportionately affected by job losses, indicating that the acceptability of these targeted policies should address these potential inequalities. The most exposed are regions with vast energy mining industries, however implementing CBAM reduces the exposure of regions with energy-intensive industries. Some regions in Greece, Spain and Italy are still very vulnerable post-CBAM implementation, suggesting high sensitivity of job losses and low capability of these regions to deal with energy transition. Accordingly, ensuring effective support for these vulnerable regions is critical to enhancing public acceptance and further cooperation for the EU climate commitment and a more well-managed transition to a low-carbon economy.

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Type
research article
DOI
10.1016/j.rset.2024.100088
Author(s)
Perdana, Sigit  
Vielle, Marc  
Date Issued

2025

Published in
Renewable and Sustainable Energy Transition
Volume

6

Article Number

100088

Subjects

European Union

•

Carbon border adjustment

•

Computable general equilibrium model

•

Jobs

•

Energy intensive industries

•

Employment impacts

•

Regional vulnerability

Editorial or Peer reviewed

REVIEWED

Written at

EPFL

EPFL units
LEURE  
RelationURL/DOI

IsDerivedFrom

https://infoscience.epfl.ch/record/305141?ln=fr
Available on Infoscience
June 24, 2024
Use this identifier to reference this record
https://infoscience.epfl.ch/handle/20.500.14299/208856
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