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Counting Carbon Molecules in Products: Disentangling the Growing Web of Carbon Intensity Methods

Milan Elkerbout, Katarina Nehrkorn and Brandon Holmes
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Milan Elkerbout: Resources for the Future
Katarina Nehrkorn: Resources for the Future
Brandon Holmes: Resources for the Future

No 25-27, RFF Working Paper Series from Resources for the Future

Abstract: This is the second Resources for the Future (RFF) working paper on interoperability of carbon intensity quantification methods. To read our first RFF paper on interoperability, see https://www.rff.org/publications/working-papers/trade-friendly-climate-policies-the-promise-of-interoperability/. This paper connects the ongoing debate on carbon accounting methods with existing practices in lifecycle accounting and environmental product declarations. A case study compares carbon intensity quantification methods across the EU carbon border adjustment mechanisms, the US Environmental Protection Agency’s labeling program, and an International Trade Commission study on steel and aluminum carbon intensities. This paper finds that there may be legitimate areas where product-level carbon intensity accounting choices may differ. Nevertheless, improved interoperability could still be possible by discussing and recognizing trade-offs between physical properties and policy incentives.

Date: 2025-11-05
New Economics Papers: this item is included in nep-ene, nep-env, nep-inv and nep-res
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