Reducing Your Company's Carbon Footprint

Written By SuFu Company

A company's carbon footprint is a measure of the greenhouse gas (GHG) emissions resulting from the company's activities. These emissions can be broken down into three scopes: direct emissions from owned or controlled sources (Scope 1), indirect emissions from the generation of purchased electricity, steam, heat, or cooling (Scope 2), and other indirect emissions from sources outside of the company's control (Scope 3). In order to accurately measure and reduce a company's carbon footprint, it is important to consider all three scopes.

GHG Protocol Scope 1 scope 2 and scope 3


Measuring a company's carbon footprint is the first step in developing a climate strategy. This allows the company to understand the sources of its GHG emissions and identify opportunities for reduction. In addition to reducing emissions, companies can also offset their remaining emissions through the purchase of carbon credits or investments in carbon removal projects.


According to the United Nations Environment Programme (UNEP), an annual reduction rate of 7.6% will be necessary to meet the 1.5°C goal of the Paris Agreement without using carbon removal post-2050. The Science Based Targets Initiative (SBTi) recommends a slightly higher annual reduction rate of 4.2% to 6% up to 2035, based on IPCC models that do include significant removal post-2050.


For businesses outside of the heavy industry and energy generation sectors, over 80% of emissions can come from their supply chains (Scope 3). Therefore, reducing carbon intensity in the supply chain is key to effectively reducing a company's overall carbon footprint. This can be achieved through the use of low-carbon products and services, as well as by collaborating with suppliers to improve their own environmental performance.


Combining accurate measurement and strategic reduction efforts can lead to cost-effective climate solutions for businesses. This is often more impactful than simply measuring and purchasing carbon offset credits. By taking a holistic approach to reducing emissions, companies can not only meet their climate targets but also potentially save money and enhance their reputation. A number of resources and frameworks are available to help companies measure and reduce their carbon footprint, including the Greenhouse Gas Protocol, the ISO 14064 standard, and the Carbon Trust Standard.


By taking action to reduce and offset their carbon footprint, companies can contribute to the global effort to combat climate change and create a more sustainable future.

 

References:

SuFu Company
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