Economic and legal problems arising in connection with an EC tax on carbon dioxide emissions

Having regard to maintaining the competitiveness of the German industry, the German Federal Government decided not to start a solo attempt with introducing in Germany a tax on CO2 emissions, but instead is backing a proposed directive of the EC Commission, suggesting such tax to be established in the EC member states. There are various concepts on the table open for debate, intended to safeguard competitiveness of the industries by a mix of principles including e.g.: conditionality, the tax to be neutral in its effect on revenue, conditions for tax relieves for energy-intensive business, and tax relieves for investment into technologies and equipment for CO2 abatement. (orig.)