Scope 1 & 2 emissions calculation explained: Free analysis with Global Changer
Tobias Martetschlaeger
6Min. reading time
Corporate Sustainability
The calculation of Scope 1 and 2 emissions is a crucial step for companies that want to understand and reduce their environmental impact. These emissions include direct and indirect greenhouse gas emissions caused by a company's activities.
Scope 1 emissions refer to direct emissions from company-owned or controlled sources, while Scope 2 emissions represent indirect emissions from the consumption of purchased energy. The calculation of these emissions requires accurate recording and analysis of data on energy consumption, fuel usage, and other relevant factors.
Global Changer offers companies the opportunity to calculate their Scope 1 and 2 emissions for free. This allows organizations to gain a clear overview of their environmental impact and make informed decisions regarding emission reduction.
Calculating Scope 1 & 2: The Essentials at a Glance
Scope 1 and 2 emissions include direct and indirect greenhouse gas emissions of a company
The calculation requires accurate data collection and analysis
Free calculation tools like Global Changer support companies in determining emissions
Basics of Scope 1 & 2 Emissions
Scope 1 and Scope 2 emissions form the basis for capturing a company's greenhouse gas emissions. They differ in their source and the degree of control a company has over them.
Definition and Importance of Scope 1 Emissions
Scope 1 emissions include direct greenhouse gas emissions from sources owned or controlled by the company. These include:
Combustion of fuels in owned facilities
Emissions from the company’s fleet
Releases of refrigerants from air conditioning units
These emissions arise directly from the company's activities. Their recording is relatively straightforward, as the data is usually readily available.
Companies have the greatest control over Scope 1 emissions. Reduction measures can be implemented directly, such as the use of more efficient technologies or switching to lower-emission fuels.
Definition and Importance of Scope 2 Emissions
Scope 2 emissions are indirect greenhouse gas emissions that result from the consumption of purchased energy. These include:
Electricity
Heat
Cold
Steam
These emissions are not generated directly by the company but by the energy provider. However, they fall under the company’s responsibility as it uses the energy.
The calculation of Scope 2 emissions is based on emission factors. These vary depending on the energy mix of the supplier. Companies can reduce Scope 2 emissions through energy efficiency measures and the sourcing of renewable energy.
Basics and Methodology of Emission Calculation for Scope 1 & 2
The calculation of Scope 1 and 2 emissions follows standardized procedures and requires precise data collection. Two central aspects shape this process: the underlying calculation principles and the effective collection of consumption data.
Calculation Principles and Foundations
The Greenhouse Gas Protocol serves as the basis for emission calculation. It defines Scope 1 as direct emissions from company-owned sources such as heating systems or fleets. Scope 2 includes indirect emissions from purchased energy.
There are two approaches for Scope 2:
Location-based: Uses average emission factors of the local electricity grid
Market-based: Considers specific energy contracts and certificates
The calculation is done by multiplying activity data (e.g., electricity consumption in kWh) with corresponding emission factors. These factors vary depending on the energy carrier and region.
Data Collection and Consumption Data
Accurate data collection is crucial for accurate results. Relevant consumption data includes:
Electricity, heat, cold, and steam
Fuel consumption for vehicles and machinery
Refrigerant losses in air conditioning units
Companies should establish a systematic energy monitoring system. This can be achieved through:
Regular reading of meters
Use of smart metering systems
Analysis of energy bills
If data is missing, estimates based on averages or extrapolations can be made. The quality and completeness of the data directly influence the accuracy of the emission calculation.
Emission Sources in Detail
When calculating Scope 1 and 2 emissions, various sources play an important role. These can be categorized into two main categories: fuel-specific and facility or process-related emissions.
Fuel-Specific Emissions
Fuel-specific emissions include direct and indirect CO2 emissions. Direct emissions include fuels such as natural gas, heating oil, or coal that are burned on-site. The company's fleet also falls into this category.
Indirect emissions arise from the purchase of electricity, district heating, or steam. These fall under Scope 2 since the energy comes from external suppliers.
For an accurate calculation, consumption data of the individual energy carriers are required. These are multiplied with specific emission factors to determine the CO2 equivalents.
Facility and Process-Related Emissions
Facility and process-related emissions arise from industrial processes and technical systems. These include furnaces, production lines, and cooling systems.
An important factor is refrigerant leaks from air conditioning units or cooling systems. These gases often have a high greenhouse potential and must be carefully monitored.
In industry, process-related emissions can occur, for example, during chemical reactions or metal processing. These are often more difficult to quantify and require specific calculation methods.
For a complete inventory, smaller sources such as leaks from gas pipelines or the use of welding gases must also be considered. A thorough analysis of all operational processes is essential.
Implementing an Emission Calculation in the Company
The successful implementation of an emission calculation requires a structured approach and clear responsibilities. Effective data management and the involvement of all relevant areas of the company are crucial.
Strategies for Data Collection and Management
For an accurate emission calculation, systematic data collection is essential. Companies should first identify all relevant emission sources. This includes direct emissions (Scope 1) and indirect emissions from energy consumption (Scope 2).
Digital tools and software solutions are suitable for data collection. These allow for continuous updating and evaluation of the data. It is important to establish a central data management system.
Regular training for employees on proper data collection is advisable. This promotes accuracy and consistency of the collected data.
The integration of emission data into existing management systems facilitates tracking and reporting. This is particularly relevant in light of the CSRD requirements.
Roles and Responsibilities in the Company
The implementation of an emission calculation requires clear responsibilities. It is advisable to form an interdisciplinary team that represents different areas of the company.
A sustainability officer should take overall coordination. This person is responsible for developing the climate protection strategy and monitoring the measures.
Department heads play an important role in providing data. They must ensure that their areas deliver all relevant information.
Management must provide the necessary resources and communicate the importance of the topic internally. Their support is crucial for the success of the emission calculation.
Involving suppliers and customers in the process is also important, especially for the collection of Scope 3 emissions.
Regulatory Compliance and Reporting
The accurate recording and reporting of Scope 1 & 2 emissions is becoming increasingly important for companies. New EU directives and standards set the framework for a uniform approach.
Requirements of the CSRD and EFRAG Standards
The Corporate Sustainability Reporting Directive (CSRD) requires companies to disclose their greenhouse gas emissions. The European Financial Reporting Advisory Group (EFRAG) has developed detailed standards for this purpose.
The ESRS E1 Climate Change defines precise requirements for the recording of Scope 1 & 2 emissions. Companies must systematically determine and report their direct and indirect emissions.
A materiality analysis helps identify relevant emission sources. The reporting must be included in the management report and externally audited.
Creating a Corporate Carbon Footprint Report
The Corporate Carbon Footprint (CCF) forms the basis for emissions reporting. It systematically captures all relevant greenhouse gas emissions of a company.
For Scope 1 & 2, the following steps are important:
Defining the system boundaries
Identifying all emission sources
Capturing activity data (e.g., energy consumption)
Calculating emissions using appropriate emission factors
The CCF report should transparently disclose the calculation methodology and data sources. External verification increases credibility.
Frequently Asked Questions about Scope 1 & 2 Calculation
The calculation of Scope 1 and 2 emissions raises questions for many companies. Here, the most important aspects are illuminated.
What are Scope 1, 2, and 3 emissions and how do they differ from one another?
Scope 1 emissions are direct greenhouse gas emissions from company-owned or controlled sources. These include emissions from the combustion of fuels in owned facilities and vehicles.
Scope 2 emissions arise indirectly from the purchase of energy such as electricity, steam, or heat from external suppliers. These emissions are released during the generation of purchased energy.
Scope 3 emissions encompass all indirect emissions in a company's value chain that do not fall under Scope 2. This includes emissions from business travel, employee commuting, or the use of sold products.
How can Scope 1 emissions be recorded and calculated?
To capture Scope 1 emissions, companies must measure their consumption of fuels and other emission sources. This includes fuel consumption of company vehicles as well as the use of gas, oil, or coal in owned facilities.
The calculation is done by multiplying consumption amounts with corresponding emission factors. For common fuels, standardized factors are available.
What methods are available for calculating Scope 2 emissions?
For Scope 2 emissions, there are two calculation methods: the location-based and the market-based method. The location-based method uses average emission factors of the local electricity grid.
The market-based method considers specific emission factors of the purchased energy products. It reflects efforts to source renewable energy.
What data and factors are necessary for an accurate calculation of Scope 1 and 2 emissions?
For Scope 1, companies require accurate consumption data for all fuels and emission sources. Current emission factors for the energy carriers used are also needed.
For Scope 2, data on electricity consumption and information on energy supply contracts are important. Depending on the calculation method, average or specific emission factors are needed.
How can companies reduce their Scope 1 and 2 carbon footprint?
To reduce Scope 1 emissions, companies can switch to more energy-efficient technologies. Optimizing production processes and using alternative fuels are other options.
Scope 2 emissions can be reduced through energy efficiency measures and sourcing green electricity. On-site power generation from renewable sources also contributes to reduction.
What role do Scope 1 and 2 emissions play in corporate sustainability?
Scope 1 and 2 emissions form the basis for corporate climate protection measures. Their recording allows companies to identify reduction potentials and implement targeted measures.
Reporting on Scope 1 and 2 emissions is increasingly demanded by investors and customers. It is an important indicator of a company's sustainability performance.
The calculation of Scope 1 and 2 emissions is a crucial step for companies that want to understand and reduce their environmental impact. These emissions include direct and indirect greenhouse gas emissions caused by a company's activities.
Scope 1 emissions refer to direct emissions from company-owned or controlled sources, while Scope 2 emissions represent indirect emissions from the consumption of purchased energy. The calculation of these emissions requires accurate recording and analysis of data on energy consumption, fuel usage, and other relevant factors.
Global Changer offers companies the opportunity to calculate their Scope 1 and 2 emissions for free. This allows organizations to gain a clear overview of their environmental impact and make informed decisions regarding emission reduction.
Calculating Scope 1 & 2: The Essentials at a Glance
Scope 1 and 2 emissions include direct and indirect greenhouse gas emissions of a company
The calculation requires accurate data collection and analysis
Free calculation tools like Global Changer support companies in determining emissions
Basics of Scope 1 & 2 Emissions
Scope 1 and Scope 2 emissions form the basis for capturing a company's greenhouse gas emissions. They differ in their source and the degree of control a company has over them.
Definition and Importance of Scope 1 Emissions
Scope 1 emissions include direct greenhouse gas emissions from sources owned or controlled by the company. These include:
Combustion of fuels in owned facilities
Emissions from the company’s fleet
Releases of refrigerants from air conditioning units
These emissions arise directly from the company's activities. Their recording is relatively straightforward, as the data is usually readily available.
Companies have the greatest control over Scope 1 emissions. Reduction measures can be implemented directly, such as the use of more efficient technologies or switching to lower-emission fuels.
Definition and Importance of Scope 2 Emissions
Scope 2 emissions are indirect greenhouse gas emissions that result from the consumption of purchased energy. These include:
Electricity
Heat
Cold
Steam
These emissions are not generated directly by the company but by the energy provider. However, they fall under the company’s responsibility as it uses the energy.
The calculation of Scope 2 emissions is based on emission factors. These vary depending on the energy mix of the supplier. Companies can reduce Scope 2 emissions through energy efficiency measures and the sourcing of renewable energy.
Basics and Methodology of Emission Calculation for Scope 1 & 2
The calculation of Scope 1 and 2 emissions follows standardized procedures and requires precise data collection. Two central aspects shape this process: the underlying calculation principles and the effective collection of consumption data.
Calculation Principles and Foundations
The Greenhouse Gas Protocol serves as the basis for emission calculation. It defines Scope 1 as direct emissions from company-owned sources such as heating systems or fleets. Scope 2 includes indirect emissions from purchased energy.
There are two approaches for Scope 2:
Location-based: Uses average emission factors of the local electricity grid
Market-based: Considers specific energy contracts and certificates
The calculation is done by multiplying activity data (e.g., electricity consumption in kWh) with corresponding emission factors. These factors vary depending on the energy carrier and region.
Data Collection and Consumption Data
Accurate data collection is crucial for accurate results. Relevant consumption data includes:
Electricity, heat, cold, and steam
Fuel consumption for vehicles and machinery
Refrigerant losses in air conditioning units
Companies should establish a systematic energy monitoring system. This can be achieved through:
Regular reading of meters
Use of smart metering systems
Analysis of energy bills
If data is missing, estimates based on averages or extrapolations can be made. The quality and completeness of the data directly influence the accuracy of the emission calculation.
Emission Sources in Detail
When calculating Scope 1 and 2 emissions, various sources play an important role. These can be categorized into two main categories: fuel-specific and facility or process-related emissions.
Fuel-Specific Emissions
Fuel-specific emissions include direct and indirect CO2 emissions. Direct emissions include fuels such as natural gas, heating oil, or coal that are burned on-site. The company's fleet also falls into this category.
Indirect emissions arise from the purchase of electricity, district heating, or steam. These fall under Scope 2 since the energy comes from external suppliers.
For an accurate calculation, consumption data of the individual energy carriers are required. These are multiplied with specific emission factors to determine the CO2 equivalents.
Facility and Process-Related Emissions
Facility and process-related emissions arise from industrial processes and technical systems. These include furnaces, production lines, and cooling systems.
An important factor is refrigerant leaks from air conditioning units or cooling systems. These gases often have a high greenhouse potential and must be carefully monitored.
In industry, process-related emissions can occur, for example, during chemical reactions or metal processing. These are often more difficult to quantify and require specific calculation methods.
For a complete inventory, smaller sources such as leaks from gas pipelines or the use of welding gases must also be considered. A thorough analysis of all operational processes is essential.
Implementing an Emission Calculation in the Company
The successful implementation of an emission calculation requires a structured approach and clear responsibilities. Effective data management and the involvement of all relevant areas of the company are crucial.
Strategies for Data Collection and Management
For an accurate emission calculation, systematic data collection is essential. Companies should first identify all relevant emission sources. This includes direct emissions (Scope 1) and indirect emissions from energy consumption (Scope 2).
Digital tools and software solutions are suitable for data collection. These allow for continuous updating and evaluation of the data. It is important to establish a central data management system.
Regular training for employees on proper data collection is advisable. This promotes accuracy and consistency of the collected data.
The integration of emission data into existing management systems facilitates tracking and reporting. This is particularly relevant in light of the CSRD requirements.
Roles and Responsibilities in the Company
The implementation of an emission calculation requires clear responsibilities. It is advisable to form an interdisciplinary team that represents different areas of the company.
A sustainability officer should take overall coordination. This person is responsible for developing the climate protection strategy and monitoring the measures.
Department heads play an important role in providing data. They must ensure that their areas deliver all relevant information.
Management must provide the necessary resources and communicate the importance of the topic internally. Their support is crucial for the success of the emission calculation.
Involving suppliers and customers in the process is also important, especially for the collection of Scope 3 emissions.
Regulatory Compliance and Reporting
The accurate recording and reporting of Scope 1 & 2 emissions is becoming increasingly important for companies. New EU directives and standards set the framework for a uniform approach.
Requirements of the CSRD and EFRAG Standards
The Corporate Sustainability Reporting Directive (CSRD) requires companies to disclose their greenhouse gas emissions. The European Financial Reporting Advisory Group (EFRAG) has developed detailed standards for this purpose.
The ESRS E1 Climate Change defines precise requirements for the recording of Scope 1 & 2 emissions. Companies must systematically determine and report their direct and indirect emissions.
A materiality analysis helps identify relevant emission sources. The reporting must be included in the management report and externally audited.
Creating a Corporate Carbon Footprint Report
The Corporate Carbon Footprint (CCF) forms the basis for emissions reporting. It systematically captures all relevant greenhouse gas emissions of a company.
For Scope 1 & 2, the following steps are important:
Defining the system boundaries
Identifying all emission sources
Capturing activity data (e.g., energy consumption)
Calculating emissions using appropriate emission factors
The CCF report should transparently disclose the calculation methodology and data sources. External verification increases credibility.
Frequently Asked Questions about Scope 1 & 2 Calculation
The calculation of Scope 1 and 2 emissions raises questions for many companies. Here, the most important aspects are illuminated.
What are Scope 1, 2, and 3 emissions and how do they differ from one another?
Scope 1 emissions are direct greenhouse gas emissions from company-owned or controlled sources. These include emissions from the combustion of fuels in owned facilities and vehicles.
Scope 2 emissions arise indirectly from the purchase of energy such as electricity, steam, or heat from external suppliers. These emissions are released during the generation of purchased energy.
Scope 3 emissions encompass all indirect emissions in a company's value chain that do not fall under Scope 2. This includes emissions from business travel, employee commuting, or the use of sold products.
How can Scope 1 emissions be recorded and calculated?
To capture Scope 1 emissions, companies must measure their consumption of fuels and other emission sources. This includes fuel consumption of company vehicles as well as the use of gas, oil, or coal in owned facilities.
The calculation is done by multiplying consumption amounts with corresponding emission factors. For common fuels, standardized factors are available.
What methods are available for calculating Scope 2 emissions?
For Scope 2 emissions, there are two calculation methods: the location-based and the market-based method. The location-based method uses average emission factors of the local electricity grid.
The market-based method considers specific emission factors of the purchased energy products. It reflects efforts to source renewable energy.
What data and factors are necessary for an accurate calculation of Scope 1 and 2 emissions?
For Scope 1, companies require accurate consumption data for all fuels and emission sources. Current emission factors for the energy carriers used are also needed.
For Scope 2, data on electricity consumption and information on energy supply contracts are important. Depending on the calculation method, average or specific emission factors are needed.
How can companies reduce their Scope 1 and 2 carbon footprint?
To reduce Scope 1 emissions, companies can switch to more energy-efficient technologies. Optimizing production processes and using alternative fuels are other options.
Scope 2 emissions can be reduced through energy efficiency measures and sourcing green electricity. On-site power generation from renewable sources also contributes to reduction.
What role do Scope 1 and 2 emissions play in corporate sustainability?
Scope 1 and 2 emissions form the basis for corporate climate protection measures. Their recording allows companies to identify reduction potentials and implement targeted measures.
Reporting on Scope 1 and 2 emissions is increasingly demanded by investors and customers. It is an important indicator of a company's sustainability performance.
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