The slides used to discuss the EU's Draft Carbon Border Adjustment Mechanism (CBAM) on Episode 5 of the webshow "All the Goods Trade Puns Were Taken." You can watch the show on Twitch at: https://www.twitch.tv/videos/1048980676 And on Youtube at: https://youtu.be/jZ3SbT_QEN8

1. Cement Electricit
y
Fertiliser
s
Aluminium Iron and
Steel Icons from TheNounProject
Initial Scope(Product Coverage)
From Episode 5: All The Goods Trade Puns Were Taken – twitch.tv/DmitryOpines

2. 0
5
10
15
20
25
Russian Federation United Kingdom Turkey China Korea, Rep.
USD
Billions
Top Exporters to EU of CBAM Covered Products (2020)
Iron and Steel Aluminium
Fertilisers Electricity
Cement
From Episode 5: All The Goods Trade Puns Were Taken – twitch.tv/DmitryOpines

3. Apply for
Authorisation as
“Declarant” to
Import Goods
Approval from
CBAM Authority
Listed in CBAM
Registry
Calculate
Embedded
Emissions
If Not Using Defaults:
Independently Verify
Emission Calculations
Subtract Any Local
Carbon Taxes &
Purchase
Certificates
Submit Annual
Declaration
(May 31)
Surrender
Certificates
(May 31)
Maintain All
Records
(4 Years)
Once Annually
Navigating the CBAM (ForBusiness)
From Episode 5: All The Goods Trade Puns Were Taken – twitch.tv/DmitryOpines

4. Calculating EmbeddedEmissions
Average Emissions Per
Tonne of the 10% Worst
Emitters in the
European Union
Your Emissions Per
Tonne
=
Your Emissions Per
Tonne
=
𝑆𝐸𝐸𝑔 =
𝐴𝑡𝑡𝑟𝐸𝑚𝑔
𝐴𝐿𝑔
𝑆𝐸𝐸𝑔 =
𝐴𝑡𝑡𝑟𝐸𝑚𝑔 + 𝐸𝐸𝐼𝑛𝑝𝑀𝑎𝑡
𝐴𝐿𝑔
𝐸𝐸𝐼𝑚𝑝𝑀𝑎𝑡 =
𝑖=1
𝑛
𝑀𝑖 ∗ 𝑆𝐸𝐸𝑖
Default Method Calculated Method
Simple Goods Complex Goods
OR
OR
From Episode 5: All The Goods Trade Puns Were Taken – twitch.tv/DmitryOpines

5. 𝑆𝐸𝐸𝑔 =
𝐴𝑡𝑡𝑟𝐸𝑚𝑔
𝐴𝐿𝑔
𝐴𝑡𝑡𝑟𝐸𝑚𝑔 = 𝐷𝑖𝑟𝐸𝑚 + 𝐸𝑚𝐻,𝑖𝑚𝑝 − 𝐸𝑚𝐻,𝑒𝑥𝑝 + 𝐺𝑐𝑜𝑟𝑟,𝑖𝑚𝑝 − 𝐺𝑐𝑜𝑟𝑟,𝑒𝑥𝑝 + 𝐸𝑚𝑒𝑙 − 𝐸𝑚𝑒𝑙,𝑒𝑥𝑝
Embedded
Emissions
Per Tonne
Total
Product
Produced
Direct
Emissions
Emissions from
Imported Heat
Emissions from
Exported Heat
Waste and
Greenhouses
Gases Imported
as Process
Inputs
Waste and
Greenhouses
Gases Exported
as Process
Exports
Emissions from
Electricity
Consumed
Emissions from
Electricity
Exported
Total
Emissions
Produced
Calculating EmbeddedEmissions –For“Simple” Goods
From Episode 5: All The Goods Trade Puns Were Taken – twitch.tv/DmitryOpines

6. Embedded
Emissions
Per Tonne
Total
Product
Produced
Process
Emissions
Calculating EmbeddedEmissions –For“Complex” Goods
𝑆𝐸𝐸𝑔 =
𝐴𝑡𝑡𝑟𝐸𝑚𝑔 + 𝐸𝐸𝐼𝑛𝑝𝑀𝑎𝑡
𝐴𝐿𝑔
𝐸𝐸𝐼𝑚𝑝𝑀𝑎𝑡 =
𝑖=1
𝑛
𝑀𝑖 ∗ 𝑆𝐸𝐸𝑖
Input
Material
Emissions
Mass of Each
Input
Material Unit
Emissions to
Create Each
Unit of Input
Material
From Episode 5: All The Goods Trade Puns Were Taken – twitch.tv/DmitryOpines