Scope 1, 2, and 3 emissions
The three scopes are categories defined by the Greenhouse Gas (GHG) Protocol to help organizations measure and manage their GHG emissions. They correspond to the different types of emissions a company generates both within its own operations and throughout its wider value chain, including suppliers and customers.
- Scope 1 covers direct emissions from sources owned or controlled by the company. Examples include:
- Emissions from vehicles owned by the company,
- Fuel burned on-site (e.g., natural gas in a factory’s heating system)
- Emissions from industrial processes under the company’s control
- Scope 2 includes indirect energy emissions from purchased electricity, steam, heating, and cooling that a company uses. While the company itself doesn’t produce these emissions, they occur at the power plant or other utility provider. By reducing energy usage or switching to renewable sources, companies can reduce Scope 2 emissions.
- Scope 3 encompasses all other indirect emissions as a consequence of the company’s activities but are not directly controlled by it. This category is broad and includes:
- Upstream activities: emissions from suppliers, employee commuting, waste generated, and business travel.
- Downstream activities: emissions from the use of sold products, end-of-life treatment, and product distribution.