New Delhi, Jan. 29 -- India and the European Union (EU) have agreed on several measures to deal with the 27-member-bloc's tariff on carbon-intensive imports, including the creation of a technical working group and a proposed agreement to support New Delhi's decarbonisation efforts, people familiar with the matter said on Wednesday. The tariff, known as the Carbon Border Adjustment Mechanism (CBAM), emerged as one of the most contentious issues in negotiations for the free trade agreement (FTA) concluded by the two sides on Tuesday. The FTA, to be signed after legal scrubbing, is being described by both sides as a "living agreement" on which work will continue on key issues. The EU has ruled out any concessions under CBAM as it is equally applicable to all foreign partners of the bloc and to Europe's domestic industry, and the two sides agreed to create a technical working group to ensure "complete visibility" on how the carbon footprint is measured and the tariff is calculated in order to resolve outstanding issues, the people said on condition of anonymity. The Indian side ensured that Indian verifiers will be accredited by the EU to audit a firm's carbon footprint as there will be problems of cost and access if verifiers are located only in Europe, the people said. The EU also agreed to India's proposal that if the bloc shows flexibility to any country under CBAM, the same will automatically apply to India, they said. With India's power ministry working on a carbon pricing policy to incentivise firms reducing emissions, taxes collected under the proposed policy will be accounted for under CBAM to ensure there is no double levy on Indian industry, the people said. "We have kept it as a living dialogue so that any other measure arising [in future] can be taken on board," one person said. India and the EU will sign a MoU that will see the bloc working with New Delhi to help Indian industries reduce their carbon footprint. The EU will provide technical assistance and funding to ensure carbon reduction, and has committed around $500 million for the first two years....