Eurofer (European Steel Association)

InfluenceMap Score
D
Performance Band
48%
Organisation Score
Sector:
Metals & Mining
Head​quarters:
Brussels, Belgium
Official Web Site:
Wikipedia:

Climate Lobbying Overview: The European Steel Association (Eurofer) is highly actively engaged and takes mostly unsupportive positions on European climate policy. The association’s stances on top-line ambition seem to have improved somewhat since 2018, for example, it broadly supports the decarbonization of the steel sector. However, it continues to lobby negatively on key climate policy, such as the EU Emissions Trading System (EU ETS).

Top-line Messaging on Climate Policy: Eurofer seems to support climate ambition in its top-line messaging, but on several conditions. In a June 2022 press release, the association supported emissions reductions in the steel industry in 2030 to achieve climate neutrality in 2050. However, in the same press release the Director General Axel Eggert stressed that policymakers should be “very careful” in reducing CO2 emissions. Furthermore, in a joint statement in February 2022, Eurofer seemed to stress the risks of unilateral action on climate by Europe on carbon leakage and international industrial competitiveness. The news outlet Carbon Pulse reported that the association supported the EU’s Fit for 55 package in September 2022. However, between 2016-21, Eurofer repeatedly voiced concerns regarding the risks of unilateral action due to Europe’s ambitious climate change regulation in leadership messaging, organizational messaging and directly communicating with policymakers.

Engagement with Climate-Related Regulations: Eurofer appears to have predominantly negative engagement with EU climate policies. The association stressed the risks of carbon leakage due to the “unilateral increase” in the EU’s 2030 climate ambition in a joint statement in February 2022. However, in March 2022 in another joint statement, it stated it fully supported the 55% 2030 target. In a May 2022 position paper, Eurofer did not support proposed standards of 270gCO2/kWh for cogeneration. In its 2022 Annual Report, released in June 2022, it opposed the inclusion of a GHG emissions standard in the Industrial Emissions Directive, but supported a lifecycle analysis approach to CO2 standards after the 2035 phase out for ICE vehicles.

Eurofer has remained highly actively engaged with the EU ETS between 2020-22, and has largely opposed reform measures to strengthen the scheme from a climate perspective. In November 2021, in response to an EU public consultation, Eurofer did not support many proposed reforms to strengthen the EU ETS under the Fit for 55 package, and opposed the phase out of free allocation of emissions allowances from 2026. However, the group did support focusing EU ETS revenues on industrial decarbonization technologies. In a joint statement by energy-intensive industry in January 2022, Eurofer did not support the EU Commission’s proposed phase out of the free allocation of emissions allowances in the EU ETS alongside the introduction of a Carbon Border Adjustment Mechanism (CBAM), advocating for the maintenance of free allowances until at least 2030, as well as the inclusion of export rebates. The association repeatedly attempted to influence the European Parliament's vote on the EU ETS reform and CBAM in April to June 2022, the chairman of the Environment Committee singling out Eurofer in a "tsunami of lobbying" in June 2022 in an op-ed for Le Monde. The association coordinated and signed several open letters in May and June 2022 to Members of European Parliament advocating against increasing the ambition of the EU ETS reform and the CBAM.

In November 2021 in an EU public consultation response, the association did not support proposed reforms to the Energy Efficiency Directive to increase the EU’s 2030 energy efficiency target, suggesting that binding targets would limit future growth and incentivize less production, and opposed energy savings obligations. In its 2022 Annual Report, published in June 2022, Eurofer supported the reform of the Renewable Energy Directive (RED) but advocated for a role for recycled carbon fuels, although it did support incentivizing measures for renewable energy and hydrogen consumption. In July 2022 in a joint statement the association supported weakening the RED Delegated Act on Renewable Fuels of Non-Biological Origin (RFNBOs).

Positioning on Energy Transition: Eurofer has communicated support for the energy transition, although with some exceptions. In July 2022, the Director General supported a regulatory framework to decarbonize the steel industry, and supported increasing production of green hydrogen and renewables. However, in June 2022 he stressed the risks of carbon leakage from the transition. Eurofer did not support most of the proposed reforms to the Energy Taxation Directive to bring it in line with the EU’s increased climate ambition in a response to an EU consultation in November 2021, advocating for the maintenance of tax-reductions for energy used in industrial processes. In response to an EU public consultation in June 2022, the association supported a rapid phase in of low-carbon and renewable hydrogen, although it advocated for a technology neutral approach.

Details of Organization Score

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