Rusal Splits High Carbon Assets Ahead Of EU Carbon Tax
Russian aluminium giant Rusal announced Wednesday that it would turn its high carbon assets into a separate company, as businesses brace for the European Union's proposed carbon tax on imports
Moscow, (APP - UrduPoint / Pakistan Point News - 19th May, 2021 ) :Russian aluminium giant Rusal announced Wednesday that it would turn its high carbon assets into a separate company, as businesses brace for the European Union's proposed carbon tax on imports.
In a statement, Rusal said it "is pursuing a demerger of its higher carbon assets to unlock value through the creation of two businesses with separate strategies." Separated from the higher carbon assets, Rusal, which was founded by oligarch Oleg Deripaska, will focus on "reinforcing its position as a leading producer of low-carbon aluminium", the statement said.
It said that the group would be "committed to providing the market with the lowest carbon footprint aluminium possible".
It did not provide a name for the new company, which will take on Rusal's dirtiest assets and "focus on the development of the domestic market." Russia, a key market for Rusal, does not have a domestic carbon tax and some critics accuse the government of not paying enough attention to environmental concerns.
Power company EuroSibEnergo and steel producer Evraz, controlled by billionaire Roman Abramovich, announced similar measures earlier this year.
It said it would cut emissions by 35 percent by 2030 and achieve carbon neutrality by 2050 -- in line with the EU's Green Deal.