Scope 3-Emissions

Scope 3-Emissions are all other indirect emissions along a company's value chain.

Scope 3 emissions refer to all indirect greenhouse gas emissions arising from a company's entire value chain that are not directly controlled. This category is part of the internationally recognized Greenhouse Gas (GHG) Protocol, which divides emissions into three areas: Scope 1 (direct emissions), Scope 2 (indirect emissions from purchased energy), and Scope 3. Scope 3 emissions often account for more than 70% of a company's total CO₂ footprint, making them crucial for a comprehensive environmental assessment.

The 15 categories of Scope 3 emissions encompass both upstream and downstream activities, including the production of raw materials, transport and logistics, as well as the handling of products at the end of their life cycle. Examples include emissions by suppliers during production, transportation of materials, and the use and disposal of products by end customers.

The collection of Scope 3 emissions presents particular challenges for companies, as it typically requires data from numerous external parties, especially suppliers. Measurement is often done through expenditure-based, activity-based, or hybrid approaches, necessitating close collaboration with suppliers.Considering Scope 3 emissions is essential for companies to achieve actual climate goals and promote sustainable practices. By identifying and reducing these emissions, companies can not only minimize their environmental impact but also strengthen the trust of customers, investors, and regulatory authorities.