Free allocation 2026–2034: the official table

One table answers the budget question for the decade. Regulation (EU) 2023/956 — law, not scenario.

The schedule

Year	Free allocation	Payable share	Payable €/t cement*	Payable €/t steel*
2026	97.5%	2.5%	€1.35	€3.68
2027	95.0%	5.0%	€2.71	€7.35
2028	90.0%	10.0%	€5.42	€14.71
2029	77.5%	22.5%	€12.19	€33.09
2030	51.5%	48.5%	€26.28	€71.32
2031	39.0%	61.0%	€33.05	€89.71
2032	26.5%	73.5%	€39.82	€108.09
2033	14.0%	86.0%	€46.59	€126.47
2034	0.0%	100.0%	€54.18	€147.06

*At constant EUA €77.4 and typical intensities (0.7 / 1.9 t CO2/t) — your benchmark position shifts the absolute level, the SLOPE is fixed by law. Download: prices CSV; per-industry tables on each industry page.

How free allocation actually works

You don't get «97.5% of your emissions» free — you get benchmark × activity level × CBAM factor: the benchmark is the average of the top-10% most efficient EU installations per product. Efficient plants may cover most of their real emissions in 2026; laggards already pay the gap. The factor column above is what shrinks to zero for everyone.

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What this does to investment math

Every efficiency project gains a rising carbon revenue: a tonne avoided is worth €77.4×2.5% this year but €77.4×100% from 2034 — and every year in between, per the table. Discount that stream and most sub-€40/t measures self-finance. That's the entire strategic content of the table.

FAQ

Questions

When does EU free allocation end?

2034 — 0% for CBAM sectors. The slide is annual: 97.5% (2026), 90% (2028), 51.5% (2030), 26.5% (2032), 14% (2033), 0% (2034). Reg. (EU) 2023/956.

Is free allocation based on my actual emissions?

No — on product benchmarks (top-10% most efficient EU installations) × your activity level × the CBAM factor. Beating the benchmark = surplus; lagging it = paying the gap already.

Does the table apply to power plants?

No — electricity generation has had zero free allocation since 2013 (with narrow Eastern-EU exceptions, now expired). The table governs CBAM-sector industry.

Can the schedule change?

Only by amending EU law. Proposals exist in both directions; we track the regulation as in force and date every figure.

How this page is built: heat-loss figures follow ASTM C680 / ISO 12241 (the method behind our public calculators); facility emissions from Climate TRACE & EU ETS verified data across 30,000+ industrial sites; the 2026–2034 schedule is Regulation (EU) 2023/956, not a forecast. Published by Inzonex — manufacturer of modular removable insulation (UK Patent GB2508992.1). Spotted an error? Tell us — we correct on evidence.