Scope 1, 2, and 3 Emissions: How to Calculate and Reduce Your Carbon Footprint

Classifying Greenhouse Gas Emissions

To reach Net Zero goals, a company must first accurately calculate its carbon footprint. The Greenhouse Gas Protocol (GHG Protocol) divides emissions into 3 main scopes.

Scope 1: Direct Emissions

Emissions from sources owned or controlled by the company. Fuel consumption of company vehicles, manufacturing processes in factories, and generator usage fall into this scope.

Scope 2: Indirect Energy Emissions

Emissions resulting from the generation of electricity, steam, heating, and cooling purchased by the company. Transitioning to renewable energy is the fastest way to zero out these emissions.

Scope 3: Other Indirect Emissions

The most complex and often the largest portion. It covers all indirect emissions occurring in the company's value chain (suppliers, use of sold products, business travel, waste disposal, etc.).

Your carbon management strategy must address all three scopes in a measurable and auditable manner. With the Cliff methodology, you can transparently analyze your entire value chain.