Book and Claim Framework for the Iron and Steel Sector

The 'Book and Claim Framework for the Iron and Steel Sector' by RMI establishes a system for decoupling environmental attributes from the physical flow of low-emissions iron and steel. It provides a structured approach for the verification, issuance, transfer, and retirement of Book-and-Claim Units (BCUs), enabling buyers to support decarbonization when physical procurement of green steel is impractical. The framework aligns with ResponsibleSteel (RS) standards and introduces a dual functional-unit system for both iron and crude steel to incentivize decarbonization across the value chain.

• The framework utilizes a dual functional-unit system where Book-and-Claim Units (BCUs) can be generated at two stages: iron (including pig iron, DRI, HBI, cast, and electrolytic iron) and steel (defined at the crude steel level, such as blooms, billets, and slab).
• Eligibility for BCU issuance is anchored to the ResponsibleSteel (RS) Decarbonization Progress Level 3 (DPL3). For iron, the threshold is set at £1 t CO2e per ton of iron, while for crude steel, it ranges from 0.2–1.2 t CO2e per ton depending on the scrap share of metallic input.
• To prevent fossil lock-in, the framework imposes route-specific constraints: BF-BOF facilities are only eligible for issuance until 2035 in advanced economies and 2040 globally, and any BF-BOF facility commencing operation on or after 2030 is ineligible.
• The framework requires a minimum 90% capture rate for CCS/CCUS-based production to meet DPL3, and mandates that captured CO2 be permanently stored in geological storage with leakage not exceeding 0.5% of the transported mass.
• Additionality is assessed across three dimensions: regulatory, financial, and common practice. Regulatory additionality is the minimum requirement, requiring evidence that performance exceeds legal obligations.
• For iron baselines, the framework recommends using EU Carbon Border Adjustment Mechanism (CBAM) default factors as an interim solution, covering 33 countries with values ranging from 1.11 t CO2/t iron in Canada to 4.2 t CO2/t iron in India.
• Steel baselines utilize a scrap-variable sliding scale to account for the significant impact of scrap content on emissions intensity, aligning with frameworks from the IEA, ResponsibleSteel, and the Low Emissions Steel Standard (LESS).
• BCUs must be issued on a post-production basis with proof of delivery and should be created within 24 months of production to ensure temporal integrity.
• The framework prohibits 'on-product claims,' meaning BCUs cannot be used to label physical products as 'green' or 'low-carbon' or to alter Environmental Product Declarations (EPDs) or Life Cycle Assessments (LCAs).
• Co-claiming is permitted for up to three entities, provided they operate in the same end-use value chain but represent distinct value-chain layers (e.g., a component manufacturer, an OEM, and a final owner).
• To prevent double counting, suppliers must provide physical recipients of steel with a default emission factor consistent with the baseline used for BCU issuance and update EPDs to acknowledge that GHG attributes have been decoupled.

APA

Liu, W., Wu, I., & Masterson, M. (2026). Book and Claim Framework for the Iron and Steel Sector. RMI. https://rmi.org/app/uploads/dlm_uploads/2026/03/rmi-february-2026-Manuscript-Steel-Book-and-Claim-Framework-2.pdf

Chicago

Liu, Wenjuan, Iris Wu, and Maeve Masterson. Book and Claim Framework for the Iron and Steel Sector. RMI, 2026. https://rmi.org/app/uploads/dlm_uploads/2026/03/rmi-february-2026-Manuscript-Steel-Book-and-Claim-Framework-2.pdf.

Wikipedia

{{cite report |last1=Liu |first1=Wenjuan |last2=Wu |first2=Iris |last3=Masterson |first3=Maeve |title=Book and Claim Framework for the Iron and Steel Sector |publisher=RMI |date=6 March 2026 |url=https://rmi.org/app/uploads/dlm_uploads/2026/03/rmi-february-2026-Manuscript-Steel-Book-and-Claim-Framework-2.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{liu2026book, author = {Liu, Wenjuan and Wu, Iris and Masterson, Maeve}, title = {{Book and Claim Framework for the Iron and Steel Sector}}, institution = {RMI}, year = {2026}, month = mar, url = {https://rmi.org/app/uploads/dlm_uploads/2026/03/rmi-february-2026-Manuscript-Steel-Book-and-Claim-Framework-2.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }