Low Carbon Group
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Carbon Emissions AccountingIt is now commonly understood that claims of carbon neutrality or carbon reduction must be substantiated and supported by best practice auditing and carbon emissions accounting methods. If such standards are not followed, your organisation's best intentions to reduce carbon emissions will be subject to criticism, which may act to harm rather than enhance its reputation.The emissions accounting practices we implement follow industry best practice and are in compliance with the World Business Council for Sustainable Development's (WBCSD) Greenhouse Gas (GHG) Protocol. By following these strict methods, we protect our clients from risk and capture 100% of the carbon emissions for which your organisation is responsible. Please read below to find out more about our carbon emissions accounting practices: GHG Protocol The GHG protocol contains universally recognised accounting methods and boundaries that can be applied to different levels, sizes and types of organisations when creating their GHG inventory. This includes multinational organisations, energy intensive primary industry, as well as small to medium enterprises (SME). Boundaries are important when compiling a GHG inventory, as they give organisations consistency and scope when accounting for their emissions. Back to top  Emissions Boundaries There are two ‘types’ of carbon emissions boundaries that need to be set when compiling a GHG inventory; an organisational boundary and an operational boundary . Organisational boundaries allow a business to distinguish between GHG emitting activities which are attributable to their organisation, and those which are not. Operational boundaries allow an organisation to define the emissions they own or control and categorise them into different scopes (as either direct or indirect). Dividing emissions up into different scopes allows an organisation to determine opportunities for emissions reduction, as well as knowing where their emissions are occurring along the value chain. Back to top Organisational Boundaries / Financial Control Rationale When setting organisational boundaries, we apply a financial control rationale, which states that businesses account for emissions generated from activities over which they have financial control, and derive the majority of financial benefits and / or risks as a result of these activities. We use this rationale because we believe that consumers are responsible for the products and services they consume, and that the purchase is an endorsement of the conditions and methods used to produce the goods and services consumed. This rationale is both comprehensive and simple: if you bought it, then the emissions produced and embodied within it are your responsibility. This straightforward demarcation will ensure the best outcome for certified businesses as consumers will have confidence in the authenticity of organisations certified with the Carbon Reduction Institute. Back to top Operational Boundaries The main function of operational boundaries is to create different scopes for organisations to separate and define the emissions produced from their operations. We have described the 3 scopes in detail below. Scope 1 - Direct GHG emissions: Carbon emissions occurring from sources that are owned or controlled by the company (e.g. emissions from combustion in owned or controlled boilers, furnaces and vehicles). Scope 2 - Electricity indirect GHG emissions: Carbon emissions from the generation of purchased electricity consumed by the company. Scope 3 - Other indirect GHG emissions: Carbon emissions which are a consequence of a company's activities, but occur from sources not owned or controlled by the company (e.g. emissions from waste, the extraction and production of purchased materials; and employee travel to and from work). The GHG protocol describes scopes 1 and 2 as mandatory reporting categories, and scope 3 as a voluntary reporting category. Under the Carbon Reduction Institute’s certification program, it is mandatory for organisations to include the embodied emissions within all products and services they sell, as well the emissions produced as all items bought and used to deliver their service. To start an emissions audit for your organisation, please download the application form and send it back to us. If you would like more info, feel free to contact us! Back to top How We Calculate CO2 EmissionsWhere we cannot source information from government workbooks, from industry backed Life Cycle Studies, or directly from the manufacturer, we fall back on an Australian government report of a triple bottom line analysis of the Australian economy. This report provides the Greenhouse Gas Intensity per dollar spent over 137 different industry sectors within the Australian economy. This methodology allows us to calculate an organisation’s total indirect greenhouse gas emissions.Back to top |
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