Authorised CBAM Declarant
What is an authorised CBAM Declarant?
Authorised CBAM Declarant is a designated status created for companies affected by the Carbon Border Adjustment Mechanism. This status is necessary for companies to import CBAM-regulated goods into the EU starting 2026. It enables them to report embedded emissions, manage CBAM certificates, and ensure compliance with the CBAM’s definitive phase requirements.
The role in the Carbon Border Adjustment Mechanism
The CBAM is an initiative by the European Union aimed at addressing carbon leakage and promoting global decarbonization. By applying a carbon cost to imported goods, CBAM levels the playing field between EU producers, who bear carbon costs under the EU Emissions Trading System (ETS), and foreign producers from regions with less stringent climate policies. CBAM covers sectors such as steel, aluminum, cement, fertilizers, hydrogen, and electricity, requiring importers to report the embedded emissions of their goods. In 2026 the definitive phase of CBAM starts, establishing additional requirements for companies like purchasing CBAM certificates corresponding to their carbon content. The regulation ensures that the EU’s ambitious climate targets are not undermined by offshoring emissions-intensive production.
An Authorized Declarant is a status introduced by the EU to streamline compliance during CBAM’s definitive phase. Only companies with this designation will be allowed to import CBAM-regulated goods into the EU starting January 1, 2026. This status enables businesses to report embedded emissions, manage certificates, and fulfill regulatory obligations efficiently. Applications for the status must be submitted electronically via the CBAM registry and are reviewed by national authorities. Becoming an Authorized CBAM Declarant is not optional—it is essential for maintaining uninterrupted trade with the EU under this new framework.
Draft act on the status of authorised CBAM declarant
The European Union has published a draft act detailing the procedures and conditions for obtaining Authorized CBAM Declarant status. This draft complements the existing CBAM regulation, providing critical guidance for companies importing CBAM-regulated goods starting January 1, 2026.
The draft act outlines requirements for applicants, including financial guarantees, compliance history checks, and the electronic submission process through the CBAM registry. It also sets clear timelines for processing applications, ensuring transparency and accountability. This new act aims to establish a standardized framework across all Member States, promoting efficiency and reducing administrative barriers.
The feedback period for the draft concluded in late November 2024, with the final act expected to be published by the end of 2024 or ealry 2025, offering businesses time to prepare.
