The Greenhouse Gas Protocol group has launched its new Product Life Cycle and Corporate Value Chain Standards. The standards were developed through a three year global multi-stakeholder process that included more than 2,300 participants and were road-tested by 60 companies in 17 countries.
The Corporate Value Chain Standard is the first standard that organisations can use to assess their full Scope 3 carbon emissions up and down the supply chain and identify the most cost-effective ways to reduce emissions. The Product Life Cycle Standard enables organisations to measure the greenhouse gas emissions of an individual product all the way from raw materials through use and disposal, and identify opportunities to increase efficiencies, improve product design, remove risks, and achieve emissions reductions.
The Greenhouse Gas Protocol group (GHG Protocol) is the most widely used international accounting tool for quantifying and managing greenhouse gas emissions. It is a partnership between the World Resources Institute and the World Business Council for Sustainable Development, and is working with businesses, governments, and environmental groups around the world to build a new generation of credible and effective programs for tackling climate change.
It provides the accounting framework for nearly every GHG standard and program in the world – from the International Standards Organization to The Climate Registry – as well as hundreds of GHG inventories prepared by individual companies.
The development of a Scope 3 tool is an important step. Most GHG reporting legislation around the world require only Scope 1 (direct emissions) and Scope 2 (indirect emissions, mostly as a result of the use of grid electricity) to be measured and reported upon. Scope 3 has been excluded because it is difficult to measure or calculate. Without a standardised methodology there is danger of double counting or major miscalculation.
“Scope 3 emissions can represent the largest source of emissions for many organisations,” say the guidelines. “They present the most significant opportunities to influence GHG reductions and achieve a variety of GHG-related business objectives. Developing a full corporate GHG emissions inventory – incorporating Scope 1, Scope 2, and Scope 3 emissions – enables organisations to understand their full emissions impact across the value chain and focus efforts where they can have the greatest impact.”
