The Carbon Boundary Adjustment Mechanism (CBAM) came into effect on October 1, 2023, and the first reporting for the fourth quarter of 2023 was due on January 31, 2024. postponement for a day for companies that encountered (technical) difficulties during the preparation and submission of the report and did not meet the deadline.

According to the official statement of the EC, for the CBAM report, starting from February 1, 2024, a new functionality is available in the electronic database of the Transitory Register CBAM reporting. This allows registrants to request a submission deferral, giving them an additional 30 days to submit their CBAM report.

As technical difficulties have been identified which prevented companies from submitting their report on time, fines will not be applied to declarants who experience difficulties in submitting their first CBAM report or until a rectification procedure is opened to correct any inaccuracies in the submitted report

In the first three quarterly reports (until 31 July 2024), it will be possible to include incorporated emissions based on default values ​​already provided by the European Commission. The product categories covered by the CBAM Regulation are cement, fertilizers, iron and steel, aluminum, electricity, hydrogen. It should be noted that a wide variety of products from these six categories can be reported, such as kaolin clays, nitric acid, sulfonic acids, pipes, screws, structures and construction parts.

Recommendations to follow when preparing and submitting the CBAM report:

• Thoroughly analyze and apply the CBAM reporting legislation provided in official documents and guidance issued by competent authorities to accurately understand reporting requirements.
• Collect relevant data on carbon emissions associated with products imported by the company by contacting the supplier or manufacturer of the relevant products.
• Carefully check the data you use in your report to ensure it is as accurate and up-to-date as possible. All in order to avoid errors that may affect the reliability of reporting.
• Make sure that all claims in the report are well documented and supported by strong arguments.
• Please adhere to the submission deadlines. It is important to allow time for possible revisions and adjustments before the deadline to avoid penalties for failure to file a return.

Quarterly CBAM reports contain data on the number and type of imported products subject to CBAM, their countries of origin, the level of carbon emissions associated with their production – direct emissions, indirect emissions (e.g. from third-party electricity), carbon price paid in the country of origin for emissions embedded in imported goods, as well as other additional data depending on the category of imported goods.

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