23.5.2022
EN
Official Journal of the European Union
L 144/261
2) Allocation based on a relevant underlying physical relationship Where it is not possible to apply subdivision or system expansion, allocation should be applied: the inputs and outputs of the system should be partitioned between its different products or functions in a way that reflects relevant underlying physical relationships between them (EN ISO 14044:2006).
Allocation based on a relevant underlying physical relationship refers to partitioning the input and output flows of a multi-functional process or facility in line with a relevant, quantifiable physical relationship between the process inputs and co-product outputs (for example, a physical property of the inputs and outputs that is relevant to the function provided by the co-product of interest).
Allocation based on a physical relationship may be modelled using direct substitution, if it is possible to identify a product that is directly substituted.
To demonstrate whether the direct substitution effect is robust, the user of the OEF method shall prove that (1) there is a direct, empirically demonstrable substitution effect, AND (2) it is possible to model the substituted product and to subtract the LCI in a directly representative manner: if both conditions are fulfilled, model the substitution effect.
Or to allocate input/output based on some other relevant underlying physical relationship that relates the inputs and outputs to the function provided by the system, the user of the OEF method shall demonstrate that it is possible to define a relevant physical relationship by which to allocate the flows attributable to the provision of the defined function of the product system: if this condition is fulfilled, the user of the OEF method may allocate based on this physical relationship.
3) Allocation based on some other relationship Allocation based on some other relationship may be possible.
For example, economic allocation refers to allocating inputs and outputs associated with multi-functional processes to the co-product outputs in proportion to their relative market values.
The market price of the co-functions should refer to the specific condition and point in which the co-products are produced.
In any case, a clear justification for having discarded 1) and 2) and for having selected a certain allocation rule in step 3) shall be provided, to ensure the physical representativeness of the OEF results as far as possible.
Allocation based on some other relationship may be approached in one of the following alternative ways: (i) Is it possible to identify an indirect substitution (47) effect and may the substituted product be modelled and the inventory subtracted in a reasonably representative manner?
If yes (i.e. both conditions are verified), model the indirect substitution effect.
(ii) Is it possible to allocate the input/output flows between the products and functions on the basis of some other relationship (e.g. the relative economic value of the co-products)?
If yes, allocate products and functions based on the relationship identified.
The circular footprint formula (see Section 4.4.8.1) provides the approach that shall be used to estimate the overall emissions that result from a certain process involving recycling and/or energy recovery.
These moreover also relate to waste flows generated within the system boundary.
4.5.1
Allocation in animal husbandry This Section provides instructions on how to address specific issues related to the modelling of farm, slaughterhouse and rendering for cattle, pigs, sheep and goats.
In particular, instructions are provided on: 1. allocation of upstream burdens at farm level among outputs leaving the farm; 2. allocation of upstream burdens (linked to live animals) at slaughterhouse level among outputs leaving the slaughterhouse.
(47) Indirect substitution occurs when a product is substituted but you do not know by which products exactly.