Climate and Competitiveness Border Carbon Adjustments in Action 2025

2.1 Plan administration of carbon-pricing policies Effective strategies are important for internal capacity- building and for the deployment of resources that will drive decarbonization, enabling the leveraging of BCAs for competitiveness. Internal company structures to manage external policy regimes TABLE 5 Basic governance structures Carbon and energy policy management functionsCross-functional coordinationPartner management teams Establish resources and bodies for managing BCA-specific monitoring, reporting and regulatory interface, instrument management (allowances, certificates), strategy planning and operational excellenceEnsure integration between environmental, legal, finance and operations teamsEstablish functional roles to manage relationships with third-party verifiers, carbon and energy-related instrument/ traders and advisers, to stay updated on BCA policy changes and ensure compliance Specific governance structures Strategic review committee (SRC)Decarbonization operations committee (DOC) Purpose: To direct the strategic review process and authorize major decisions related to BCAs and carbon pricing policies (see Figure 4)Purpose: To achieve operational transformation by reducing GHG emissions, decreasing fossil-fuel dependency and industrial inputs, thereby reducing exposure to BCA costs and increasing business competitiveness (see Figure 5) Climate and Competitiveness: Border Carbon Adjustments in Action 23