Production Process
The production process is the part of your installation where your CBAM goods are produced.
Under the EU CBAM regulation, goods with different CN codes that can be covered by common monitoring rules are grouped into so-called aggregated goods categories. These categories are used to determine how many production processes you need to define.
Once you define a production process, the emissions will be attributed to the goods it produces. In other words, emissions are always calculated at the production process level and then normalized to tCO₂e per tonne of goods by dividing the process's total emissions by the quantity of goods it produces.
To learn more about CBAM production processes, click here.
Add a CBAM Production Process
Right-click on the screen and select CBAM > Production Process
Name the Production Process
Select the CBAM Goods
You can search for goods by CN code or name. The dropdown list includes only CN codes that fall within the scope of the EU CBAM.
View the corresponding aggregated goods category of the selected goods
Based on the selected CN code, the platform will automatically display the corresponding aggregated goods category.
Since each category can only be linked to one production process, once you select a good from the dropdown, you won't be able to select goods from different categories.
To select goods from other categories, you will need to either remove the selected goods or create a separate production process.
Reminder: You can voluntarily create multiple production processes for goods falling under the same aggregated goods category if you want to monitor their emissions separately. Learn more about this here.
Select the Measurement Unit
If you enter the value in kilograms (kg), it will automatically be converted to tonnes when you click Next.
Enter the Net Mass produced of the selected CBAM good(s)
Only the net mass of saleable products leaving the production process must be entered. This value must exclude:
- scrap, by-products, or waste materials generated during production;
- products that do not meet the desired quality or product specification and are returned for re-processing.
IMPORTANT REMINDER: Please remember to input the total quantity produced during the specified reporting period, not just the quantity produced and sold to clients requesting CBAM data or based in the EU.
SPECIAL CBAM RULES:
- If you produce final iron or steel products that contain more than 5% by mass of other materials, only the mass of iron or steel shall be reported as the mass of the goods produced.
- If you produce aluminium products that contain more than 5% by mass of other materials, only the mass of aluminium shall be reported as the mass of the goods produced.
If applicable, enter the weight of any by-products that were generated during the production process.
For instance, the quantity of scrap or slag generated.
Click Next
Edit a CBAM Production Process
Right-click on the Production Process
Click Edit
Click Next to save your changes
Delete a CBAM Production Process
Right-click on the Production Process
Click Delete
Add Outputs
CBAM Goods
We distinguish between:
- Produced CBAM Good: These are the CBAM goods you produce and sell to your clients. They are also the ones added to your downloaded Excel file. We explain how to add produced CBAM goods in a separate section.
- Internal relevant precursors: These are CBAM goods produced at your installation and used as inputs in separate production processes that also occur at your installation. We explain how to add internal relevant precursors below. Click here to view an example.
Click on the black dot at the edge of the Production Process and drag the line to connect it to one of the black dots on the other Production Process
Click the dropdown to select the type of output you want to connect
Select Produced CBAM Goods
Enter the quantity of the produced CBAM goods that you want to send from one production process to another
You can also click on the button Assign Remaining to attribute the displayed remaining amount. Note that this action will establish the connection immediately.
Click Add
Both production processes are now connected
In the diagram below, no emissions are attributed because no external inputs have been connected to the Clinker Production Process; hence, there are no emissions to attribute.
You won't be able to connect a production process that is not a relevant precursor to another process. In such cases, the platform will display the error message shown below.
Information about which precursors are relevant to each production process is listed in section 3 of Annex II of the CBAM Implementing Regulation.
Heat
CBAM requires monitoring heat streams between production processes. Emissions related to heat exported from production processes need to be deducted from the attributed emissions of each production process from where the heat is produced or recovered, as indicated in equation 48. Emissions related to heat contribute to the direct emissions.
Click on the black dot at the edge of the Production Process and drag the line to connect it to one of the black dots on the other Production Process
Select heat as the type of output
Enter the quantity of heat that you want to send from one production process to another
The quantity of heat is determined based on the energy input to the production process. In the example below, 35.74 TJ of energy was supplied to the production process, originating from natural gas.
Click Add
The diagram will display the heat connection
As per equation 48, the corresponding heat emissions are deducted from one production process and attributed to the consuming production process.
Waste Gas
CBAM requires monitoring waste gas streams between production processes and deducting production process emissions from any exported waste gas, as indicated in equation 48. Click here to learn how to add waste gases.
Click on the black dot at the edge of the Production Process and drag the line to connect it to one of the black dots on the Self Electricity and/or Production Process
Select Waste Gas as the type of output
Enter the quantity of waste gas that you want to send from one production process to another
Click Add
Emissions are calculated based on the amount of waste gas exported to each process
Note that, according to equations 53 and 54, the emissions deducted (equation 54) from the exporting production process and attributed to the consuming process (equation 53) will not be equal.
By-product
When the mass balance approach is used to calculate emissions, carbon contained in outputs needs to be subtracted as per equation 12. This applies to both the produced CBAM goods, such as the final steel product that contains carbon, as well as by-products such as slag.
Click on the black dot at the edge of the Production Process and drag the line to connect it to one of the black dots
Select By-product as the type of output
Enter the quantity of by-product to be transferred from one production process to another
Enter the carbon content of the by-product
Click Add
As per equation 12, emissions from the by-product are attributed to the importing process and deducted from the exporting process.
Edit Outputs
Right-click on the connector
Click Edit
You can also open the edit form by simply clicking on the connector.
Enter the new value
If you edit the form, the remaining amount will be displayed as if no attribution had been made yet.
Click Add
All values will be automatically re-calculated by the platform based on the new attributed quantity
The image below shows the comparison in the CBAM good emission values between attributing 900,000 tonnes of clinker to the cement production process and attributing 950,000 tonnes.
All else being equal, the emissions will be higher.
Delete Outputs
Right-click on the connector
Click Delete
The platform will automatically recalculate the emissions
The diagram below shows that after removing the connection with the Clinker Production Process, the emissions of the Cement Production Process are now 4,500 tCO2e, which result from the 20,000 MWh of electricity consumed. This, in turn, affects the SEE values of the CBAM goods, which are also automatically adjusted. The direct SEE is now 0 tCO2e/tonne of cement, and the indirect SEE is 0.0065 tCO2e/tonne of cement.
You can always reconnect both production processes, and the emissions will be automatically recalculated.
