Scope 3 (Value Chain) Emissions
Scope 3 (Value Chain) Emissions
Scope 3 (Value Chain) Emissions
Scope 3 (Value Chain) emissions are emissions arising from all processes starting from the extraction of a product as raw material until end of its life cycle.
Scope 3 (Value Chain) emissions are emissions arising from all processes starting from the extraction of a product as raw material until end of its life cycle.
Scope 3 (Value Chain) emissions are emissions arising from all processes starting from the extraction of a product as raw material until end of its life cycle.
Carbon Footprint
Carbon Footprint
Carbon Footprint
Emissions
Emissions
Emissions
Azalt
Azalt
Azalt
What are Scope 3 (Value Chain) Emissions?
What are Scope 3 (Value Chain) Emissions?
What are Scope 3 (Value Chain) Emissions?
Scope 3 emissions, which constitute an average of 75% of the carbon footprint of companies, are greenhouse gas emissions caused by activities carried out by other organizations and/or sources that they do not own or directly control in the production and product life cycle processes of companies. In other words, emissions arising from all processes starting from the extraction of a product as raw material until the end of its life cycle and excluding Scope 1 and Scope 2 emissions are referred to as Scope 3 (Value Chain) emissions. Scope 3 emissions, which by their nature involve multiple companies and transactions, are more complex to calculate than other scopes.
Scope 3 emissions, which constitute an average of 75% of the carbon footprint of companies, are greenhouse gas emissions caused by activities carried out by other organizations and/or sources that they do not own or directly control in the production and product life cycle processes of companies. In other words, emissions arising from all processes starting from the extraction of a product as raw material until the end of its life cycle and excluding Scope 1 and Scope 2 emissions are referred to as Scope 3 (Value Chain) emissions. Scope 3 emissions, which by their nature involve multiple companies and transactions, are more complex to calculate than other scopes.
Scope 3 emissions, which constitute an average of 75% of the carbon footprint of companies, are greenhouse gas emissions caused by activities carried out by other organizations and/or sources that they do not own or directly control in the production and product life cycle processes of companies. In other words, emissions arising from all processes starting from the extraction of a product as raw material until the end of its life cycle and excluding Scope 1 and Scope 2 emissions are referred to as Scope 3 (Value Chain) emissions. Scope 3 emissions, which by their nature involve multiple companies and transactions, are more complex to calculate than other scopes.
What does Scope 3 (Value Chain) Emissions Cover?
What does Scope 3 (Value Chain) Emissions Cover?
What does Scope 3 (Value Chain) Emissions Cover?
Scope 1 and Scope 2 emissions are the types of emissions that can be reduced directly and indirectly by the company conducting the operation, respectively. However, the calculation and reduction of emissions under Scope 3 involves much more challenging and complex processes. The 15 categories under Scope 3 emissions, as defined by the Greenhouse Gas Protocol, can be listed as follows;
Purchased goods and services
Capital goods
Activities related to fuel and energy (not included in Scope 1 or Scope 2)
Upstream transportation and distribution
Waste generated in operations
Business travel
Employee commuting
Upstream leased assets
Downstream transportation and distribution
Processing of sold products
Use of sold products
End-of-life treatment of sold products
Downstream leased assets
Franchises
Investments
In summary, Scope 3 emissions refer to all greenhouse gas emissions created by a product over its lifetime.
Scope 1 and Scope 2 emissions are the types of emissions that can be reduced directly and indirectly by the company conducting the operation, respectively. However, the calculation and reduction of emissions under Scope 3 involves much more challenging and complex processes. The 15 categories under Scope 3 emissions, as defined by the Greenhouse Gas Protocol, can be listed as follows;
Purchased goods and services
Capital goods
Activities related to fuel and energy (not included in Scope 1 or Scope 2)
Upstream transportation and distribution
Waste generated in operations
Business travel
Employee commuting
Upstream leased assets
Downstream transportation and distribution
Processing of sold products
Use of sold products
End-of-life treatment of sold products
Downstream leased assets
Franchises
Investments
In summary, Scope 3 emissions refer to all greenhouse gas emissions created by a product over its lifetime.
Scope 1 and Scope 2 emissions are the types of emissions that can be reduced directly and indirectly by the company conducting the operation, respectively. However, the calculation and reduction of emissions under Scope 3 involves much more challenging and complex processes. The 15 categories under Scope 3 emissions, as defined by the Greenhouse Gas Protocol, can be listed as follows;
Purchased goods and services
Capital goods
Activities related to fuel and energy (not included in Scope 1 or Scope 2)
Upstream transportation and distribution
Waste generated in operations
Business travel
Employee commuting
Upstream leased assets
Downstream transportation and distribution
Processing of sold products
Use of sold products
End-of-life treatment of sold products
Downstream leased assets
Franchises
Investments
In summary, Scope 3 emissions refer to all greenhouse gas emissions created by a product over its lifetime.
How are Scope 3 (Value Chain) Emissions Calculated?
How are Scope 3 (Value Chain) Emissions Calculated?
How are Scope 3 (Value Chain) Emissions Calculated?
Scope 3 emissions is a much more challenging and complex process compared to other emission scopes. Because Scope 3 emissions are caused by operations outside of the company's control, it is not as easy to get accurate and reliable data as for Scope 1 and Scope 2 emissions. However, to facilitate this calculation, the Greenhouse Gas Protocol has published methodologies on how Scope 3 emissions should be calculated and reported. 13 different methodologies have been listedfor the 15 subcategories in Scope 3;
Spend-based
Hybrid
Average-data
Distance-based
Waste-type specific
Fuel-based
Indirect emissions
Asset-specific
Site-specific
Direct emissions
Franchise-specific
Investment-specific allocation
Supplier-specific
Companies are expected to calculate and report their Scope 3 emissions by choosing the most appropriate methodology from this list published by the GHG Protocol.
Scope 3 emissions is a much more challenging and complex process compared to other emission scopes. Because Scope 3 emissions are caused by operations outside of the company's control, it is not as easy to get accurate and reliable data as for Scope 1 and Scope 2 emissions. However, to facilitate this calculation, the Greenhouse Gas Protocol has published methodologies on how Scope 3 emissions should be calculated and reported. 13 different methodologies have been listedfor the 15 subcategories in Scope 3;
Spend-based
Hybrid
Average-data
Distance-based
Waste-type specific
Fuel-based
Indirect emissions
Asset-specific
Site-specific
Direct emissions
Franchise-specific
Investment-specific allocation
Supplier-specific
Companies are expected to calculate and report their Scope 3 emissions by choosing the most appropriate methodology from this list published by the GHG Protocol.
Scope 3 emissions is a much more challenging and complex process compared to other emission scopes. Because Scope 3 emissions are caused by operations outside of the company's control, it is not as easy to get accurate and reliable data as for Scope 1 and Scope 2 emissions. However, to facilitate this calculation, the Greenhouse Gas Protocol has published methodologies on how Scope 3 emissions should be calculated and reported. 13 different methodologies have been listedfor the 15 subcategories in Scope 3;
Spend-based
Hybrid
Average-data
Distance-based
Waste-type specific
Fuel-based
Indirect emissions
Asset-specific
Site-specific
Direct emissions
Franchise-specific
Investment-specific allocation
Supplier-specific
Companies are expected to calculate and report their Scope 3 emissions by choosing the most appropriate methodology from this list published by the GHG Protocol.
How to Reduce Carbon 3 (Value Chain) Emissions?
How to Reduce Carbon 3 (Value Chain) Emissions?
How to Reduce Carbon 3 (Value Chain) Emissions?
The first step for companies that want to reduce their Scope 3 emissions is to determine which of the 15 subcategories under Scope 3 they will measure and report. The next step is to choose the most appropriate method among the methodologies given above and complete the calculation in accordance with the formulas. After the calculations are completed, the next step is to prepare the report containing Scope 3 emissions in accordance with the guidelines requested by the reporting institution, specifying the category and the methods used. The methods to be followed in all these processes vary according to sectors, so companies should work with experts in the calculation and reporting of Scope 3 emissions.
As the name suggests, Scope 3 (Value Chain) emissions the company is required to collect data also from its suppliers and customers. For this reason, collecting the necessary data during the production process, especially according to the methods chosen by the supplier, has become a necessity for companies that want to evaluate Scope 3 emissions. Transparent information sharing and collaboration between companies is also critical to reducing Scope 3 emissions.
The first step for companies that want to reduce their Scope 3 emissions is to determine which of the 15 subcategories under Scope 3 they will measure and report. The next step is to choose the most appropriate method among the methodologies given above and complete the calculation in accordance with the formulas. After the calculations are completed, the next step is to prepare the report containing Scope 3 emissions in accordance with the guidelines requested by the reporting institution, specifying the category and the methods used. The methods to be followed in all these processes vary according to sectors, so companies should work with experts in the calculation and reporting of Scope 3 emissions.
As the name suggests, Scope 3 (Value Chain) emissions the company is required to collect data also from its suppliers and customers. For this reason, collecting the necessary data during the production process, especially according to the methods chosen by the supplier, has become a necessity for companies that want to evaluate Scope 3 emissions. Transparent information sharing and collaboration between companies is also critical to reducing Scope 3 emissions.
The first step for companies that want to reduce their Scope 3 emissions is to determine which of the 15 subcategories under Scope 3 they will measure and report. The next step is to choose the most appropriate method among the methodologies given above and complete the calculation in accordance with the formulas. After the calculations are completed, the next step is to prepare the report containing Scope 3 emissions in accordance with the guidelines requested by the reporting institution, specifying the category and the methods used. The methods to be followed in all these processes vary according to sectors, so companies should work with experts in the calculation and reporting of Scope 3 emissions.
As the name suggests, Scope 3 (Value Chain) emissions the company is required to collect data also from its suppliers and customers. For this reason, collecting the necessary data during the production process, especially according to the methods chosen by the supplier, has become a necessity for companies that want to evaluate Scope 3 emissions. Transparent information sharing and collaboration between companies is also critical to reducing Scope 3 emissions.
Calculate and Reduce Your Company's Scope 3 Emissions with Azalt: ESG Software!
Calculate and Reduce Your Company's Scope 3 Emissions with Azalt: ESG Software!
Calculate and Reduce Your Company's Scope 3 Emissions with Azalt: ESG Software!
Calculating and reporting Scope 3 emissions is a very complex and detailed process. You can benefit from Azalt: ESG Software technology and Azalt's professional consultant team in your emission reduction projects. With Azalt: ESG Software, you can easily enter the data of the companies in your supply chains and calculate your company's carbon footprint in detail by scope and category!
Calculating and reporting Scope 3 emissions is a very complex and detailed process. You can benefit from Azalt: ESG Software technology and Azalt's professional consultant team in your emission reduction projects. With Azalt: ESG Software, you can easily enter the data of the companies in your supply chains and calculate your company's carbon footprint in detail by scope and category!
Calculating and reporting Scope 3 emissions is a very complex and detailed process. You can benefit from Azalt: ESG Software technology and Azalt's professional consultant team in your emission reduction projects. With Azalt: ESG Software, you can easily enter the data of the companies in your supply chains and calculate your company's carbon footprint in detail by scope and category!
The Erguvan Team
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OFFICES
Istanbul
Orjin Maslak İş Merkezi, Eski Büyükdere Cad.No: 27, Zemin Kat Sarıyer, İstanbul, Turkey
London
59, Terrington Hill, Marlow, England, SL7 2RE
DUBAI
Level 2 Innovation Hub Dubai International Financial Centre
2024 © erguvan | Digital Infrastructure for Corporate Climate Action
OFFICES
Istanbul
Orjin Maslak İş Merkezi, Eski Büyükdere Cad.No: 27, Zemin Kat Sarıyer, İstanbul, Turkey
London
59, Terrington Hill, Marlow, England, SL7 2RE
DUBAI
Level 2 Innovation Hub Dubai International Financial Centre
2024 © erguvan | Digital Infrastructure for Corporate Climate Action