Scopes 1, 2, 3

All activities that emit greenhouse gases (GHGs) are categorized as Scope 1, Scope 2, or Scope 3 according to the GHG Protocol. Learn more about the role of scopes in Climate Smart.

On this page:

• Overview
• Scope 1
• Scope 2
• Scope 3

Overview

The main purposes of scopes are:

• Avoid double-counting your direct emission sources (this means you won’t include emissions from the same source twice)
• Differentiate between direct and indirect emissions
• Make it clear who’s responsible for tracking and reducing different emission sources
• Support different business sectors, climate policies, and goals

In Climate Smart, every activity you add to your inventory belongs to a scope. Scope 1 activities produce direct GHG emissions while Scope 2 and Scope 3 activities produce indirect GHG emissions. Determining scope is how we organize your activities in the software according to the GHG Protocol, to show which GHG emissions you control and which ones you don’t.

Scope 1

Direct emissions from activities or other sources that are owned or controlled by your organization, including any policies and operational decisions associated with the activity. Reporting Scope 1 emissions is required to measure your GHG footprint.

For example:

• Heating, if you own your building and it has its own boiler or system powered by fuel
• Electricity, if your organization has its own generator
• Vehicles or equipment your organization owns that are propelled by fuel
• Refrigeration
• Manufacturing processes with chemical reactions that produce GHGs

Scope 2

Indirect emissions from purchased electricity or steam heating. This is energy that’s generated offsite, but the consumption is controlled by your organization. Reporting Scope 2 emissions is required to measure your GHG footprint.

For example:

• Electricity purchased from a utility provider
• Steam heating purchased from a district energy system and delivered to your building through pipes 

Scope 3

Indirect emissions from upstream or downstream sources within your value chain and operations. Scope 3 is a broad category that likely includes most of your organization’s emission sources. Reporting Scope 3 emissions is optional but recommended for your GHG footprint.

For example:

• Accommodations on business trips
• Employee commutes to and from the office
• Shipping packages through a courier service
• Paper consumption
• Waste disposal

Choose Scope 3 activities

We recommend reporting Scope 3 emissions from activities that are most relevant to your organization. To decide which Scope 3 activities are most relevant, consider:

• Does this activity contribute to a significant portion of your inventory’s total emissions?
• Do you want to reduce emissions from this activity?
• Is data easy to find for this activity?
• Can you collect data consistently every year?

For example, if your organization sends hundreds of packages through a third-party courier service every year, these Scope 3 emissions are likely relevant for your GHG inventory. You can choose to exclude this activity from your inventory, but be transparent about which emission sources you excluded and why.

If you’re not sure which Scope 3 emissions to include in your inventory, ask your Climate Smart Advisor. To get access to a Climate Smart Advisor, contact our Customer Success team.

Find supplier data

In order to prepare data you need for your inventory, you might need to contact third-party suppliers for information about your Scope 3 activities. This might include couriers, travel agents, waste management, and more.

To find the data you need:

• Check your organization’s online account with your supplier, if you have one
• Find out what information you need and ask your contact at the third-party supplier directly