Claiming Carbon Price Relief for Carbon Border Adjustment Mechanism (CBAM)
Find out about relief you might be able to claim if your CBAM goods have been subject to a qualifying carbon pricing scheme.
Check your eligibility for the relief
If you import CBAM goods, you may be able to claim relief for carbon prices that the embodied emissions in these goods have been subject to.
To be eligible for the relief the:
- carbon pricing scheme that the embodied emissions in your CBAM goods have been subject to must be a qualifying carbon pricing scheme
- installation (factory, plant or facility) subject to this scheme, or someone else in your supply chain, must give you a completed carbon pricing verification form
- carbon pricing verification form must be completed by an independent verifier who meets the necessary standards
Step 1 — Check if your goods have been subject to a qualifying carbon pricing scheme
You must find out if the emissions embodied in your CBAM goods were subject to a qualifying carbon pricing scheme.
A qualifying carbon pricing scheme can be:
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a carbon tax
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an Emissions Trading Scheme (ETS)
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a scheme that places a price on imported goods’ embodied emissions
Step 2 — Get a carbon pricing verification form
To claim relief on CBAM goods subject to a qualifying carbon pricing scheme, you’ll need a completed carbon pricing verification form.
Step 3 — What you need to work out Carbon Price Relief
Find out what information you’ll need before you work out your Carbon Price Relief.
Step 4 — Work out your Carbon Price Relief
You must work out your carbon price relief for each CBAM good before you submit your claim as part of your CBAM return.