What are the key tools and frameworks for assessing and disclosing scope 1, 2, and 3 emissions performance?

Key tools and frameworks for assessing & disclosing Scope 1, 2, & 3 emissions performance include the Greenhouse Gas Protocol, which provides comprehensive guidelines for measuring & managing emissions. The Carbon Disclosure Project (CDP) is essential for transparent reporting, offering a standardized platform for companies to disclose environmental impacts. Science-Based Targets (SBTi) align emissions reductions with climate science. Tools like the Environmental Protection Agency (EPA) Calculator assist in quantifying emissions, while frameworks like the Task Force on Climate-related Financial Disclosures (TCFD) emphasize integrating climate risks into financial reporting, driving accountability & sustainability in corporate practices.

Key tools and frameworks for assessing and disclosing Scope 1, 2, and 3 emissions include: 1. GHG Protocol: Provides comprehensive global standardized frameworks for measuring and managing greenhouse gas (GHG) emissions. 2. CDP (Carbon Disclosure Project): Offers a platform for companies to disclose their environmental impacts, including emissions. 3. ISO 14064: Specifies principles and requirements for designing, developing, and managing GHG inventories. 4. TCFD (Task Force on Climate-related Financial Disclosures): Recommends disclosures on climate-related risks, including emissions. 5. SBTi (Science Based Targets initiative): Guides companies in setting emission reduction targets aligned with climate science.

The Greenhouse Gas Protocol (GHG Protocol) divides emissions into three scopes: Scope 1, 2 and 3 The three scopes are a way of categorising the different kinds of emissions a company creates in its own operations and in its wider value chain (its suppliers and customers). Additional examples are: Scope 1: also includes accidental or fugitive emissions like chemical and refrigerant leaks and spills (leaks and venting emissions from gas network) Scope 2: LNG use of electricity Scope 3: typically represents the most significant contributor to a company’s carbon footprint because it includes things like: - employee commuting - waste generated in operations and waste disposal sold gas (use by costumers)

Scope 1 emissions are direct greenhouse gas emissions from sources that are owned or controlled by the organization. Emissions from burning fuel in company-owned or controlled equipment such as boilers, furnaces, and generators. Scope 2 emissions are indirect greenhouse gas emissions from the generation of purchased or acquired electricity, steam, heating, and cooling consumed by the organization. Emissions from the generation of electricity consumed by the organization. Scope 3 emissions are all indirect emissions (not included in Scope 2) that occur in the value chain of the reporting company, including both upstream and downstream emissions. Emissions from the production of goods and services purchased by the company.

Scope 2 emission is come from purchased electricity or energy use for steam, heating and cooling.Scope 1 and 2 emission is controlled organization.

Scope 1 emissions are direct greenhouse gases (GHGs) from sources a company owns or controls. Scope 2 covers indirect GHGs from the generation of purchased electricity, heating, and cooling used by the company. Scope 3 includes all other indirect emissions in a company's value chain, such as those from business travel, procurement, waste, and the use of sold products. These 3 scopes provide a comprehensive view of a company's carbon footprint (CCF).

Over a period of time there has been a shift from prioritizing shareholders to addressing stakeholder concerns. Emissions mapping ensures comprehensive accounting of an organization's GHG impact. This transparency enhances communication with stakeholders, demonstrating a commitment to sustainability and progress.

GHG Protocol or ISO 14064 define methodology for emissions reporting and defines emissions into Scope 1,2 & 3. To disclose it is very essential to define scope boundaries for emissions, likewise - Scope 1 - Emissions from facilities directly controlled by company. Scope 2- Indirect Emissions from purchased Electricity/ Energy. Scope 3 - Indirect Emissions from inbound & outbound supply chain activities + Employee commuting + Waste disposal.

For most companies, over 80% of their emissions are Scope 3 supply chain emissions, and identifying supply chain hotspots, engaging with suppliers, and collaborating with suppliers to reduce emissions is critical for any company-wide greenhouse gas reduction strategy

Measuring Scope 1 emissions involves tallying direct GHG emissions from owned or controlled sources. Scope 2 accounts for indirect emissions from purchased electricity, steam, heating, and cooling. Scope 3, the most complex, captures all other indirect emissions in a company's value chain, including upstream and downstream activities. It's essential to use comprehensive GHG protocols and lifecycle assessments for accuracy.

Ways to reduce scope 1, 2 and 3 emissions: SCOPE 1: - Reduce energy consumption - Increase energy efficiency - Switch from fossil fuels to renewable alternatives - Purchase carbon offsets SCOPE 2: - Purchase renewable energy credits - Enter into off-site power purchase agreements (PPAs) - Generate renewable energy on-site with distributed energy resources - Utilize green tariffs SCOPE 3: - Encourage employees to utilize sustainable transportation options - Whenever possible, make and use products and packaging recyclable

To disclose scope 1, 2, and 3 emissions, one should start by understanding each scope's categories. Scope 1 covers direct emissions from owned or controlled sources, like fuel combustion. Scope 2 includes indirect emissions from purchased electricity, heating, or cooling. Scope 3 encompasses indirect emissions from the entire value chain, including suppliers and customers. Using standardized reporting frameworks like the GHG Protocol can ensure accurate and transparent disclosure.

You need to remember that the GHG Protocol has been around for 25-years. If you don't have an idea of your Scope 1 and 2 in 2023, there is very likely a governance issue that needs to be addressed, too. The other thing to remember is that everyone is someone's Scope 3. Whether public, private, large or small, some important customer will ask you for your GHG emissions and THEN they will ask you to prove it. Here's more about the Scopes - https://persefoni.com/learn/carbon-accounting-101-what-are-scope-1-2-and-3-emissions

Reduce emissions (Scope 1, 2, and 3 emissions) is one of the most important and impactful ways for companies to increase their sustainability efforts, achieve net zero, and combat climate change.