Monitoring Methodology Documentation for EU Suppliers

Understand how to prepare an pass compulsory audits as an EU supplier

EU-Suppliers must have Monitoring Methodology Documentation (MMD or CBAM Management Handbook) starting from 2025

MMD will be requested by emission verifiers starting in 2026 as part of compulsory emission verification and must cover a period of at least one year.
MMD must be maintained by suppliers and sets out the methodologies and procedures used to calculate goods’ emissions
MMD provides the basis for the Communication Template for Installations (CTI) and, ultimately, the CBAM declaration, making it a key requirement for CBAM compliance.

Operators/Suppliers have CBAM obligations if:

Produce CBAM goods that are imported into the EU
Produce goods that serve as precursors for goods imported into the EU

•Monitoring boundaries
•Parameters
•Period
•Frequency
•Measurement rules
•Interface with other functions
•Information sources
•Risks
•QA/QC

•Specific Embedded Emissions (SEE) direct
•SEE indirect
•Source of electricity emission factor (EF)
•Reducing agent of precursors
•Good components
•Carbon price paid
•Rebate

•Direct EE
•Indirect EE
•Production method & qualifying parameters
•Carbon price due

•Monitoring boundaries
•Parameters
•Period
•Frequency
•Measurement rules
•Interface with other functions
•Information sources
•Risks
•QA/QC

•Specific Embedded Emissions (SEE) direct
•SEE indirect
•Source of electricity emission factor (EF)
•Reducing agent of precursors
•Good components
•Carbon price paid
•Rebate

•Direct EE
•Indirect EE
•Production method & qualifying parameters
•Carbon price due

MMD is a handbook describing approach to CBAM compliance procedures

A 20–50-page document describing CBAM compliance procedures and steps to create Communication Template for Installations

It assures smooth functioning of emission controls and is an important source of information for emission verifiers

MMD comprises the following key elements