Estimate carbon fee with EU CBAM Copilot

Important

Some of the functionality described in this release plan has not been released. Delivery timelines may change and projected functionality may not be released (see Microsoft policy). Learn more: What's new and planned

Enabled for	Public preview	General availability
Users, automatically	Dec 2024	-

Business value

This feature aligns the carbon fee you set with the EU’s Carbon Border Adjustment Mechanism (CBAM), which is currently in a transitional phase and expected to be fully in effect in January 2026. The goal of CBAM is to ensure that carbon pricing is factored into imported goods. These goods might be produced with less stringent emissions standards and can otherwise compete unfairly with EU goods that have carbon costs already built in. This feature helps you to support the EU's climate objectives, maintain competitiveness, and avoid potential regulatory penalties.

Feature details

This feature aligns with CBAM, which has an objective to put a fair price on carbon intensive goods imported into the EU to help ensure that the carbon prices of imports and domestic products align. Using Copilot, this feature takes data provided by you or through Microsoft Sustainability Manager to estimate the carbon fee associated with importing goods into the EU. This feature helps your organizations plan for the budget required for these tariffs.