Product Carbon Scorecard: What is Specific Embedded Emissions (SEE) and Why is it Important?

Specific Embedded Emissions (SEE) Guidance: Why is the Carbon Scorecard of Products Important?

Every product we buy has an invisible environmental cost. New regulations such as CBAM place the concept of Specific Embedded Emissions (SEE) at the center of trade, making this cost tangible and measurable. So what exactly is SEE, the "carbon report card" of a product, how is it calculated and what does it mean for both consumers and producers?

What is Specific Embodied Emissions (SEE)?

SEE (Specific Embodied Emission) is the total emissions from a production process divided by the total number of products produced in that process. In simple terms, it is the specific amount of carbon emitted during the production of a single product, such as a t-shirt, a pair of shoes or a bag of cement, that is "embodied" in that product. This value is now intended to appear on products like a label.

This calculation is much more than a formula. It takes an "environmental x-ray" of the production process and becomes a powerful comparison tool for consumers. Now, when comparing two different brands of shoes, we can look not only at their prices but also at their SEE values to see which one is less burdensome on the environment and make our decision accordingly.

The Complex Puzzle of the Supply Chain: Simple and Complex Products

The SEE calculation can get complicated depending on the product's journey through the supply chain. At this point, we can divide products into two:

• Simple Product

  Products that arrive at the manufacturer "unburdened", i.e. they have not previously carried an emissions burden and are manufactured from scratch by the manufacturer.

• Complex Product

  Products that have gone through the processes of other companies before coming to the manufacturer and come with a "burden on their back".

Calculating the SEE of a complex product is like solving a puzzle. This is because the end producer is responsible for both its own operational emissions and the "upstream" emissions from the supply chains of all suppliers before it. The longer the supply chain, the harder it is to collect data from each step, increasing the uncertainty and "fuzziness" in the calculation.

But CBAM's "leave no one behind" principle aims to solve this very problem. The aim is to eliminate this complexity over time by ensuring that each link in the supply chain is transparent and accountable, and that the entire process is traceable.

From an Obligation to a Strategic Roadmap

The SEE calculation is not only an obligation for the producer, but also a strategic roadmap for improvement. While small differences in production do not make huge changes to the formula, strategic decisions such as using renewable energy, opting for recycled raw materials or improving operational efficiency can significantly reduce the SEE value.

Most importantly, this calculation process shows the producer: Which process is the main source of my emissions? Which energy source is causing more load? This gives the manufacturer a clear answer to the question "Where is the first place I need to fix?". Thus, a mandatory calculation becomes a strategic guide that tells the company whether it needs to revamp its technology, its raw materials or its perspective. The carbon burden of a product is no longer left to the conscience of the producer, but to concrete calculations that everyone can see and manage.