As the world is progressing towards a more climate-inclusive idea, the businesses of this century need to know the effectiveness of renewable actions. They must find ways to modify their business and assess their carbon footprint.
Hence, a company must follow the correct strategy to measure its carbon footprint to achieve the net zero goal of carbon neutrality. This blog will discuss how a company can measure their carbon footprint to continue with its carbon reduction efforts.
1. Scope and Boundaries
There are a variety of processes through which a business can monitor its emission profile, and one such method is measuring the scope 1, 2, and 3 emissions, where a company checks the rate of emission of that particular product throughout its value chain.
Some emissions happen from manufacturing certain products, and some occur due to consumption. For example, if you take fuel for cars, extracting petrol and diesel cause emission and from the consumption of that fuel it also creates residue which also gets emitted into the atmosphere.
Therefore, there is a lot of scope for companies to work on those areas and find how much carbon that company emits directly and indirectly.
2. Gather Data
After analyzing that, there is a process through which a company can trace how much emission has been made; the next step is to calculate it and find relevant data that can be moulded into accurate information.
A business can collect data on the company’s energy consumption, fuel usage, transportation costs and other relevant sources that can account for emissions. Upon verifying those sources, a company can efficiently work on those areas, reduce their bills, and move towards sustainable business operations.
3. Convert Data to CO2 Equivalent
A business not only releases carbon dioxide into the atmosphere but also other kinds of gases and chemicals, which are also harmful and can be detrimental to the community of that area and the environment in the long term.
Therefore, to accurately keep track of the emissions and maintain a single account, a business can convert other emissions and record those data by covering them into carbon dioxide equivalent.
4. Calculate Emissions
After identifying the sources and the rate of emissions from each source, it is crucial to assess all of them and create a total that will give a picture of how much emission the company is making on a quarterly and annual basis.
After that, a company can try on each segment and plan to strategically reduce the emissions, which will later benefit the company. Upon calculating, a company can get a clear breakdown of the entire process of its operations and the whole supply chain.
To stay in accord with the terms of the regional government, a company can produce its SECR reporting with the help of a professional Carbon coach, which will show how transparent the company is with their information. It will increase the ESG score of the companies, and through that, a company can get better investing opportunities. A company can then validate and work on those data points, which will increase the credibility of the company and will show how much the company is progressing in terms of sustainability measures.