• • • NETZERO • • •
Using standards to measure
greenhouse gas emissions By Matteo Simonetto, Sustainability Services Manager, TÜV SÜD
ne of the key tools to achieve Net Zero targets and demonstrate a commitment to sustainability is calculating and reducing greenhouse gas (GHG) emissions.
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Using a GHG emission assessment to calculate the emissions of your business brings many benefits, including:
• Efficiency - Highlighting inefficiencies within your operations allows you to make informed decisions to mitigate risks and optimise processes.
• Competitive advantage – Demonstrating your commitment to reducing emissions could open doors to partnerships with other businesses that prioritise sustainability.
• Cost savings - Use data to identify areas of energy usage to reduce operational costs while aligning with green-conscious market demands.
• Talent attraction and retention – Potential employees, especially millennials, are increasingly looking for a more environmentally friendly employer.
• Enhanced brand reputation – Publicising your GHG emissions can enhance your brand’s image, especially if you have third-party verification. • Access to capital - Some investors are only interested in funding ethical and environmentally responsible companies.
Companies worldwide are adopting a standardised approach to GHG emission assessment, as standards offer a structured approach, providing a common language and methodology which allow businesses to quantify their GHG emissions consistently. Standards are the building blocks for transparent reporting, setting targets, and eventually, reducing carbon emissions. But what standards can be used for GHG emissions calculation?
One of the most widely recognised standards to calculate GHG emissions is the GHG Protocol. Developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD) in the 1990s, it provides a comprehensive framework for measuring, managing and reporting GHG emissions. When talking about the GHG Protocol at corporate level, the standard is based on three scopes:
Scope 1: Direct emissions from sources owned or controlled by the organisation, like fuel combustion in vehicle fleets Scope 2: Indirect emissions from the consumption of purchased electricity, heat, or steam.
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Scope 3: Indirect emissions from activities that are not owned or controlled by the organisation, such as business travel and purchased products.
Another essential standard for evaluating GHG emissions at the corporate level is the ISO 14064 series. This sets a benchmark for GHG assessments and offers guidelines for organisations to quantify, report and verify their GHG emissions and removals. In particular, ISO 14064-1 provides clear instructions for transparent and consistent GHG inventory reporting. For calculating GHG emissions of products and
services, the Carbon Footprint tool, based on ISO 14067, is widely used. This measures GHG emissions and removals expressed as CO2 equivalents for specific products or services, covering activities such as manufacturing, energy consumption and both upstream and downstream transportation. These standards and tools enable businesses to accurately measure their environmental impact, report transparently and implement effective strategies for reducing their carbon footprint.
It’s common for the terms ‘calculation,’ ‘validation’ and ‘verification’ to become confused. They in fact refer to distinct steps in the process of assessing and ensuring the accuracy and reliability of GHGs information.
GHG emissions calculation refers to the process of determining the total amount of emissions of carbon dioxide, and other greenhouse gases
emissions associated with a particular activity, product, organisation, or individual, in terms of CO2 equivalents. Validation is the confirmation of a claim through the provision of objective evidence, that the requirements for a specific intended future use or application have been fulfilled (confirmation of plausibility). It helps ensure that the calculation is based on sound and credible information. Verification is an independent assessment to confirm whether the reported impacts accurately represent the actual emissions. A third-party verifier reviews the emission calculations and documentation to confirm their accuracy. This adds an additional layer of credibility and trust to the reported figures.
Understanding the standards used for calculating the GHG emissions is crucial for businesses striving for sustainability. Selecting the appropriate standard depends on the company’s business goals, the industrial sector and the stakeholders’ expectations.
Standards provide a structured framework for accurate measurement and reporting. Customised industry-specific standards further enhance transparency and help businesses align with sector-specific goals. By embracing the right standard, businesses can effectively measure their environmental impact, set meaningful targets and pave the way for a greener future. Consulting with sustainability experts can help you navigate this decision and ensure accurate measurement, reporting and reduction strategies.
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