CBAM: What needs to be monitored by operators

TheGuidance document on CBAM implementation for importers of goods into the EU informs that the first element is the monitoring of direct emissions of the installation. Whenever an installation produces several different products, the emissions must also be appropriately attributed to the individual products.

This non binding document adds that must be reported also the embedded emissions of the precursor materials. Where operators purchase precursors, they need to obtain data on the embedded emissions of precursor materials used in the production of the CBAM goods from the supplier of these precursors.

The following information must be reported by importers in the CBAM report:

• The total quantity of each type of goods, expressed in megawatt hours (MWh) for electricity and in tonnes for other goods, specified per installation producing the goods in the country of origin;
• The actual total embedded emissions, expressed in tonnes of CO2e emissions per MWh of electricity or for other goods in tonnes of CO2e emissions per tonne of each type of goods;
• The total indirect emissions, including amount of electricity consumed and the applicable emissions factor; • The carbon price due in a country of origin for the embedded emissions in the imported goods, taking into account relevant rebates or other forms of compensation.

In order to obtain this information and following an AEO approach, it is imperative to have a clear procedures in place for monitoring imports.