What are Scope 3 emissions?
Greenhouse gas emissions are categorised into three groups or 'Scopes' by the most widely-used international accounting tool, the Greenhouse Gas (GHG) Protocol. Scope 1 covers direct emissions from owned or controlled sources. Scope 2 covers indirect emissions from the generation of purchased electricity, steam, heating and cooling consumed by the reporting company. Scope 3 includes all other indirect emissions that occur in a company’s value chain.
The GHG Protocol’s Corporate Value Chain (Scope 3) Standard identifies 15 categories.
Why should an organisation measure its Scope 3 emissions?
There are a number of benefits associated with measuring Scope 3 emissions. For many companies, the majority of their greenhouse gas (GHG) emissions and cost reduction opportunities lie outside their own operations. By measuring Scope 3 emissions, organisations can:
- Assess where the emission hotspots are in their supply chain;
- Identify resource and energy risks in their supply chain;
- Identify which suppliers are leaders and which are laggards in terms of their sustainability performance;
- Identify energy efficiency and cost reduction opportunities in their supply chain;
- Engage suppliers and assist them to implement sustainability initiatives
- Improve the energy efficiency of their products
- Positively engage with employees to reduce emissions from business travel and employee commuting.
How can my organisation measure its Scope 3 carbon emissions and value chain carbon footprint?
We offer a range of services to help you measure and manage your value and supply chain emissions:
Value and supply chain sustainability
Includes building a low carbon strategy and supplier engagement.
Footprint measurement and analysis
Includes calculation of your organisation or product carbon footprint.
An introductory guide to Scope 3 emissions
Includes the key considerations businesses and public bodies must bear in mind when measuring and reporting Scope 3 emissions.
To find out more about any of the above, please contact us.
Read more about the Corporate Value Chain (Scope 3) Accounting and Reporting Standard at the GHG Protocol website.