Which embedded emissions need to be reported by each CBAM sector?
The following table provides an overview of the specific emissions and greenhouse gases covered and how direct and indirect emissions are determined for each sector falling under the CBAM scope. Each sector’s particularities have been taken into account when designing the methods for reporting and calculating embedded emissions in these goods while mirroring the EU Emissions Trading System:
|
Issue |
CBAM good |
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|
|
Cement |
Fertilisers |
Iron/Steel |
Aluminium |
Hydrogen |
Electricity |
|
Reporting metrics |
(per) Tonne of good |
(per) MWh |
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|
Greenhouse gases covered |
Only CO2 |
CO2 (plus nitrous oxide for some fertiliser goods) |
Only CO2 |
CO2 (plus perfluorocar bons (PFCs) for some aluminium goods) |
Only CO2 |
Only CO2 |
|
Emission coverage during transitional period |
Direct and indirect |
Only direct |
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|
Emission coverage during definitive period |
Direct and indirect |
Only direct, subject to review |
Only direct |
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|
Determination of direct embedded emissions |
Based on actual emissions, but estimations (including default values) could be used for up to 100% of the specific direct embedded emissions for imports until 30 June 2024 (i.e. CBAM reports due until 31 July 2024). For imports until 31 December 2025, estimations (including default values) can be used for up to 20% of the total specific embedded emissions of complex goods. |
Based on default values, unless several cumulative conditions are met |
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|
Determination of indirect embedded emissions |
Based on actual electricity consumption and default emission factors for electricity, unless conditions are met (i.e. direct technical connection or power purchase agreement). Estimations (including default values) could be used for up to 100% of the specific indirect embedded emissions for imports until 30 June 2024. |
Not applicable |
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Source: EC’s Questions and Answers on CBAM