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Corporate Carbon Footprint Calculation and Reporting

Calculate and report your corporate carbon footprint with CarbonEmit. Get detailed reports & sustainable solutions.

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Corporate Carbon Footprint Software

Calculate your Scope 1, 2 and 3 emissions on one platform and report in line with ISO 14064-1 and the GHG Protocol.

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What Are Scope 1, 2 and 3?

The GHG Protocol groups a company's emissions into three scopes. Scope 1 covers direct emissions from sources the company owns or controls. Scope 2 covers indirect emissions from purchased electricity, heat, steam and cooling. Scope 3 covers all other indirect emissions in the value chain, from suppliers to the use of sold products.

  • Scope 1: Direct emissions from sources the company owns or controls, such as natural gas boilers, company vehicles, process emissions and refrigerant leaks.
  • Scope 2: Indirect emissions from purchased electricity, heat, steam and cooling. The GHG Protocol Scope 2 Guidance asks companies to report both a location-based figure (grid average factors) and a market-based figure (contracts such as renewable energy certificates).
  • Scope 3: All other indirect emissions across the value chain, upstream and downstream, grouped into 15 categories. For most manufacturers Scope 3 is the largest share of the footprint.

What are the 15 Scope 3 categories?

The GHG Protocol Scope 3 Standard divides value chain emissions into 15 categories: eight upstream (from purchased goods to leased assets) and seven downstream (from distribution to investments). Companies screen all 15, explain any exclusions, and calculate the categories that are relevant to their business in more detail.

  • 1. Purchased goods and services
  • 2. Capital goods
  • 3. Fuel- and energy-related activities
  • 4. Upstream transportation and distribution
  • 5. Waste generated in operations
  • 6. Business travel
  • 7. Employee commuting
  • 8. Upstream leased assets
  • 9. Downstream transportation and distribution
  • 10. Processing of sold products
  • 11. Use of sold products
  • 12. End-of-life treatment of sold products
  • 13. Downstream leased assets
  • 14. Franchises
  • 15. Investments

How does ISO 14064-1 relate to the GHG Protocol?

Both standards quantify the same greenhouse gases and are largely compatible. The GHG Protocol uses three scopes; ISO 14064-1:2018 groups emissions into six categories and splits indirect emissions in more detail. ISO 14064-1 is often preferred when a report is to be verified under ISO 14064-3, while the GHG Protocol is common for investor and CDP reporting.

  • Category 1: Direct emissions and removals (≈ Scope 1)
  • Category 2: Indirect emissions from imported energy (≈ Scope 2)
  • Category 3: Indirect emissions from transportation
  • Category 4: Indirect emissions from products used by the organisation
  • Category 5: Indirect emissions associated with the use of products from the organisation
  • Category 6: Indirect emissions from other sources

How Is a Corporate Carbon Footprint Calculated?

Emissions = Activity data × Emission factor

Example: assuming 1,000 units of activity data and an emission factor of 2 kgCO₂e per unit, the result is 2 tCO₂e. The figures only illustrate the formula.

The Process in Four Steps

  1. Set organisational and operational boundaries.
  2. Collect activity data.
  3. Calculate with emission factors.
  4. Create the report and prepare it for verification.
Building the Report: Data, Emission Factors and Standards

Corporate Carbon Footprint: Measure, Report and Reduce Your Emissions

A corporate carbon footprint is the total greenhouse gas emissions an organisation causes over a reporting year, expressed in tonnes of CO₂ equivalent (tCO₂e). It is calculated under the GHG Protocol Corporate Standard or ISO 14064-1 and split into Scope 1, 2 and 3. Investors, banks, EU customers and regulators increasingly ask for it, and it is the baseline for any reduction target.

What is a Carbon Footprint?

A carbon footprint measures the total greenhouse gas emissions caused directly or indirectly by an individual, organisation or product. Gases other than CO₂, such as methane and nitrous oxide, are converted with their global warming potential and expressed as CO₂ equivalent (CO₂e). A corporate carbon footprint covers the emissions from a company's activities and value chain.

The Importance of Carbon Footprint

Carbon footprint is crucial for environmental sustainability. Reducing carbon emissions plays a vital role in combating global warming and climate change. Additionally, lowering the carbon footprint helps companies reduce energy costs and improve operational efficiency.

Building the Report: Data, Emission Factors and Standards

Data Collection Process

The data collection process is the foundation of carbon footprint reporting. Companies must gather emission data from their energy consumption, transportation, waste management, and other activities. This data is collected from all operational processes and recorded in detail. For example, energy consumption data can be obtained from electricity bills, while transportation data can be collected from vehicle fuel consumption.

  • Energy Consumption: Data on electricity, natural gas, and other energy sources is collected.

  • Transportation: Fuel consumption of company vehicles and employee business travel data is recorded.

  • Waste Management: The amount of waste generated from production processes and how it is managed is documented.

  • Other Activities: Other emission sources from operational processes are identified and recorded.

Using Emission Factors

The collected data is converted into greenhouse gas emissions using specific emission factors. These factors are obtained from internationally recognized databases such as IPCC, DEFRA, and EPA. Emission factors represent the average emission amount for a specific type of activity. For example, emission factors are used to determine how much CO₂ emissions result from consuming one liter of gasoline.

  • IPCC: Emission factors provided by the Intergovernmental Panel on Climate Change.

  • DEFRA: Emission factors provided by the UK Department for Environment, Food & Rural Affairs.

  • EPA: Emission factors provided by the United States Environmental Protection Agency.

Compliance with Reporting Standards

Corporate carbon footprint reports are usually prepared in line with the GHG Protocol Corporate Standard or ISO 14064-1. Both define how to set boundaries, which emissions to include and how to report them, which makes results comparable and verifiable.

  • GHG Protocol: The most widely used framework for calculating and reporting corporate greenhouse gas emissions, organised into Scope 1, 2 and 3.

  • ISO 14064-1: The international standard for quantifying and reporting greenhouse gas emissions and removals at organisation level. Verification is covered by ISO 14064-3.

Report Preparation

Once all data is analyzed, the company’s total carbon footprint is determined and reported. These reports help companies develop their sustainability strategies. Reports typically include graphs and tables to visually present emission sources and reduction potential.

  • Data Analysis: The collected data is analyzed to calculate the company’s total carbon footprint.

  • Graphs and Tables: Reports are supported with visual elements to clearly present emission sources.

  • Sustainability Strategies: The reports assist companies in developing sustainability strategies.

Benefits of Carbon Footprint Reporting

Environmental Responsibility

Carbon footprint reporting helps companies understand and reduce their environmental impact. This ensures that businesses fulfill their environmental responsibilities. Environmental responsibility enhances corporate reputation and contributes to achieving sustainability goals.

  • Understanding Environmental Impacts: Helps companies assess their impact on the environment.

  • Environmental Responsibility: Ensures businesses fulfill their sustainability commitments.

  • Reputation Enhancement: Improves corporate reputation by demonstrating environmental responsibility.

Cost Saving

Sustainable practices such as energy efficiency and waste reduction lead to long-term cost savings. These practices help companies reduce operational expenses. For example, energy efficiency projects lower electricity bills, resulting in financial savings.

  • Energy Efficiency: Reduces electricity bills, leading to cost savings.

  • Waste Reduction: Lowers waste management expenses.

  • Operational Cost Reduction: Sustainable practices help decrease overall business costs.

Competitive Advantage

Sustainability is becoming increasingly important for consumers and investors. Carbon footprint reporting demonstrates a company’s commitment to sustainability and provides a competitive edge. Sustainability reports transparently present environmental performance, gaining the trust of investors and customers.

  • Sustainability Commitments: Demonstrates a company’s dedication to sustainability.

  • Competitive Advantage: Enhances a company’s market position through sustainability initiatives.

  • Investor and Customer Confidence: Builds credibility by transparently reporting environmental impact.

Regulatory Compliance

Many countries and regions require companies to report their greenhouse gas emissions. Carbon footprint reporting ensures compliance with legal regulations. Compliance helps businesses avoid penalties and fulfill regulatory requirements.

  • Legal Requirements: Many countries mandate greenhouse gas reporting.

  • Legal Compliance: Ensures businesses meet legal obligations.

  • Avoiding Penalties: Helps companies prevent fines and legal consequences.

Using CarbonEmit

CarbonEmit stands out with its user-friendly interface and flexible configuration options. It uses internationally recognized databases such as IPCC, DEFRA, and EPA to perform accurate calculations. With these features, CarbonEmit is a powerful tool for companies looking to optimize their sustainability efforts.

1. Account Creation:

The first step is creating an account on the CarbonEmit platform, allowing users to manage their data securely.

2. Data Entry:

Companies enter their emissions data from energy consumption, transportation, waste management, and other activities into the platform. CarbonEmit ensures accurate and complete data input.

3. Emission Calculation:

The platform automatically performs carbon footprint calculations using emission factors from IPCC, DEFRA, and EPA databases.

4. Reporting:

After calculations are complete, CarbonEmit provides a detailed carbon footprint report, supported by graphs and tables to visually display emission sources.

5. Sustainability Strategies:

CarbonEmit offers recommendations to help companies develop sustainability strategies, such as energy efficiency and waste reduction measures.

Conclusion

Corporate carbon footprint reporting is an essential tool for helping businesses achieve sustainability goals. This process enhances environmental responsibility, while also providing cost savings and a competitive advantage. Tools like CarbonEmit simplify the process, enabling companies to lead in sustainability.

Corporate carbon footprint frequently asked questions

What is the difference between a corporate and a product carbon footprint?

A corporate carbon footprint covers all emissions of an organisation over a reporting year (Scope 1, 2 and 3). A product carbon footprint covers the life cycle emissions of one unit of product and is calculated under ISO 14067.

Do I have to include Scope 3?

Under the GHG Protocol Corporate Standard, Scope 3 reporting is optional, but the Scope 3 Standard and most customers, investors and target-setting initiatives expect relevant categories to be reported. ISO 14064-1 requires significant indirect emissions to be quantified.

Which emission factors should I use?

Use the most specific factor available: supplier-specific data first, then national or recognised databases such as IPCC, DEFRA or EPA. Document the source and year of each factor so the calculation can be verified.

How often should a corporate carbon footprint be calculated?

Most companies calculate it annually, for the same calendar or fiscal year as their financial reporting. A fixed base year makes it possible to track progress against reduction targets.

Can the report be verified?

Yes. A corporate greenhouse gas inventory can be verified by an independent body under ISO 14064-3. Verification checks that boundaries, data and calculations are complete and accurate.

Where is my data stored in CarbonEmit?

Customer data is hosted in the AWS Istanbul region. Marsala Yazılım A.Ş., the company behind CarbonEmit, holds ISO 27001 and ISO 42001 certificates.

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