Monitoring emissions as an overseas installation producing Carbon Border Adjustment Mechanism (CBAM) goods, exported to the UK
Find out about monitoring emissions and getting emissions verified if you are an installation exporting Carbon Border Adjustment Mechanism (CBAM) goods.
The Carbon Border Adjustment Mechanism (CBAM) comes into effect on 1 January 2027.
Importers (liable persons) will be taxed on the CO2e embodied within the CBAM good they’re importing into the UK. Read more about the introduction of CBAM.
If you produce goods that are in scope of UK CBAM and would like the importer to use actual values when reporting emissions to HMRC, you’ll need to monitor the emissions for those goods. These emissions will also need to be verified by an eligible verifier.
If you do not monitor emissions in line with UK CBAM requirements, the importer will need to use default values provided by HMRC.
Monitoring the emissions data
You need to monitor emissions for one calendar year (1 January to 31 December). Find out how to monitor and prepare your installation’s emissions data in the CBAM technical guidance.
Getting the emissions data verified
In order for the importer to be able to report the emissions data you have monitored, you must appoint an independent accredited verifier that meets the requirements to verify the emissions data.
The verifier will:
- check the data to make sure it is accurate
- produce a verification report
This report may include a verification summary for each CBAM good produced at your installation.
Read about verification requirements, including who’s eligible to verify your installation’s emissions data.
After the emissions data has been verified
You should give the importer either the full verification report or the verification summary for the good that they imported.
The importer must keep one of these documents as evidence when reporting actual emissions values on their CBAM tax return.