PMI Just-in-Time Programs
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Program Overview
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Bosnia and Herzegovina committed to carbon pricing through the Sofia Declaration on the Green Agenda for the Western Balkans. Bosnia and Herzegovina is considering an Emissions Trading System (ETS) in the context of promoting alignment with European Union (EU) climate legislation and the introduction of the EU Carbon Border Adjustment Mechanism (CBAM). Bosnia and Herzegovina has developed a national roadmap for ETS implementation with support from stakeholders in the energy sector.
Objectives & Activities
The PMI Program in Bosnia and Herzegovina supported an analytical program, which included:
- An assessment of ETS design options comparing scope, cap ambition, and price paths.
- An assessment of three ETS alignment pathways and their projected impacts on macroeconomic indicators, including employment, and impacts on specific sectors.
- An assessment of the potential risks to international competitiveness and exposure to the EU CBAM.
- Stakeholder engagement delivered through consultations and workshops across the institutional landscape.
- Recommendations on the potential for alignment with the EU ETS, development of Monitoring, Reporting, and Verification (MRV) systems, the required legal frameworks, and just transition measures.