GHG emissions are a major contributor to climate change and are governed by the UN ‘United Nations Framework Convention on Climate Change’ (100) and the subsequent UN ‘Kyoto Protocol’. As a result, different national and international regulations and incentive systems (such as tradable emission permits) aim to control the volume, and reward the reduction of GHG emissions.
This Indicator may be used in combination with Indicators G4-EN15, G4-EN16 and G4-EN17 to monitor the reduction of GHG emissions with reference to the organization’s targets, or to regulations and trading systems at international or national levels.
Identify initiatives that have been implemented which have reduced the generation of GHG emissions.
Initiatives may include but are not limited to:
- Process redesign
- Conversion and retrofitting of equipment
- Fuel switching
- Changes in employee behavior
Organizations with many initiatives for reducing GHG emissions may prioritize reporting the initiatives that were implemented in the reporting period, and that have the potential to contribute significantly to reducing emissions. Initiatives and their reduction targets may be described in the DMA for the Emissions Aspect.
Organizations may choose to report reductions disaggregated by initiatives or groups of initiatives.
Report the GHG emissions reductions separately for direct (Scope 1), energy indirect (Scope 2), and other indirect (Scope 3) emissions. Reductions in emissions that result from reduced production capacity or outsourcing are not included in this Indicator.
Reductions from offsets should be reported separately from other reductions.
Organizations may choose to use either inventory or project method for accounting for emissions reductions. Inventory method compares emissions reductions to a base year while project method compares emissions reductions to a baseline. Further details on the inventory and project reduction accounting methods are available in the WRI and WBCSD 'GHG Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard' and WRI and WBCSD 'GHG Protocol for Project Accounting'.
Organizations are expected to report standards, methodologies, and assumptions used to calculate and measure reduction of GHG emissions, with a reference to the calculation tools used. Organizations subject to different standards and methodologies should describe the approach to selecting them.
Potential information sources include the data reported in Indicators G4-EN15, G4-EN16, and G4-EN17, from emissions measurements, from estimates, or calculated from accounting data. Information on initiatives is likely to be maintained by the parties responsible for environmental management, such as energy or facilities managers.
- Carbon Disclosure Project (CDP), Investor CDP Information Request, updated annually.
- United Nations (UN) Protocol, 'Kyoto Protocol to the United Nations Framework Convention on Climate Change', 1997.
- World Resources Institute (WRI) and World Business Council for Sustainable Development (WBCSD), ‘GHG Protocol Corporate Accounting and Reporting Standard’, Revised Edition, 2004.
- World Resources Institute (WRI) and World Business Council for Sustainable Development (WBCSD), 'GHG Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard', 2011.
- World Resources Institute (WRI) and World Business Council for Sustainable Development (WBCSD), 'GHG Protocol for Project Accounting', 2005.
- World Resources Institute (WRI) and World Business Council for Sustainable Development (WBCSD), 'Greenhouse Gas Protocol Accounting Notes, No. 1, Accounting and Reporting Standard Amendment', 2012.