In recent years, the global discourse on greenhouse gas emissions has reached unprecedented heights as the world faces the urgent need to address climate change. Businesses are finding themselves under increasing scrutiny and around the world countries are enacting tighter regulations in order to reduce emissions. With an increasing need to hit net-zero targets, greenhouse gas accounting has become a vital practice for businesses everywhere.
So what are GHG emissions (greenhouse gas emissions)?
Greenhouse gases are gases which are released as a result of certain activities such as the burning of fossil fuels in order to produce heat, electricity or to power transport services such as cars, ships and trains. The emission of these gases contribute to global warming and while carbon dioxide accounts for the majority of emissions, there are six other gasses as covered by the Kyoto Protocol, (methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, sulfur hexafluoride, and nitrogen trifluoride), which also contribute to rising temperatures that we are seeing around the world.
What does GHG accounting involve?
Greenhouse gas accounting, or carbon accounting, is a way for companies to measure, manage and report on their GHG emissions. It provides a globally recognised method of reporting that key stakeholders, investors and customers can use to understand investment opportunities and risks as well as the sustainability direction of the company. Based on these findings companies can then take steps to reduce their emissions, build a sustainability strategy and set targets and goals for the future. The Greenhouse Gas Protocol serves as the foundation for greenhouse gas accounting, providing a global standardised framework and emissions calculation guidelines for businesses to measure their emissions.
What are the challenges of GHG accounting
There are several challenges companies face when undertaking GHG accounting, including:
Navigating the landscape of carbon emissions tracking: the disclosure of a company’s carbon output is made harder by the ever evolving guidelines and protocols that are being implemented to track emissions.
First time ESG reporting: for companies venturing into ESG reporting for the first time there can be a steep learning curve. It is necessary to understand the company’s baseline in order to make progress in carbon accounting.
Manual data collection: the information needed for GHG accounting can be difficult to collate, with large amounts of data and many data points across multiple assets throughout a company’s value chain. Companies may end up receiving data via email, on multiple spreadsheets and across different teams.
Using a greenhouse gas accounting software can solve these problems and streamline your data collection and reporting.
What are the benefits of GHG accounting software
There are multiple benefits to using a third party software for your GHG accounting needs, including:
Improved quality of data: increased accuracy of data, greater consistency and standardization of your reporting allows for better insights and more targeted decarbonization goal setting.
End to End solution: carbon accounting tools such as Zuno Carbon provide more than just a carbon management solution, they also support with ESG reporting.
Increased efficiency: less manual effort is required when using GHG accounting software. This is due to automation through integration with enterprise systems allowing for real time collection of data. Not only does this reduce the chances of human error but improves the quality of your reporting.
These benefits allow the company to manage the sustainability efforts of their entire value chain. This results in cost savings based on less wastage and energy inefficiency.
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GHG accounting with Zuno Carbon
Zuno Carbon is an end to end ESG solution which allows businesses to measure, report on and reduce their carbon emissions, allowing companies to analyze and set their future sustainability targets.
One source of truth for all GHG emissions data
The Zuno Carbon platform allows you to streamline the collection and calculation of emissions data with features such as bulk upload and the integration of your current enterprise systems. This means that you can avoid manual data entry and subsequent human error and centralize your data collection. You can easily measure data across scope 1, 2 and 3 and receive actionable insights for the company to address. The data is presented in an easy to understand format within the platform, aiding your analysis.
Easy report generation aligned with globally accepted frameworks
Reporting on the platform is aligned with multiple global ESG frameworks such as CDP and ISSB. Reports can be generated with speed and ease and data produced as part of the accounting and reporting process is accurate, reliable and ensures seamless collaboration with certification bodies. The Zuno Carbon platform also provides an inbuilt editor allowing you to easily format and edit your reports, alongside helpful guidance and tips as you answer each section. By aligning with global reporting frameworks not only are you fulfilling compliance needs, but you are ensuring that your company is maintaining transparency in regards to ESG reporting and sustainability practices.
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Map out your targets and create a tailored abatement plan
The platform also allows you to establish decarbonization goals that are aligned with the Science Based Targets Initiative (SBTi) and incorporate these into an action plan. Your action plan is fully editable and guidance is provided at each step to ensure you stay on track. The data you produce will allow you to see which areas of your business produce the most emissions so you can prioritise and goal set.
Dedicated team of sustainability experts
A key feature of our GHG accounting software is the level of personalised customer support that you will receive. From onboarding to regular check-ins the Customer Service team are ready to help you in achieving your net-zero targets. Whether your sustainability team is well established or relatively new, the team are used to guiding you through the process and working with you to ensure a smooth and productive collaboration.
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Product improvements and updates
We are continuously looking to improve on our product and based on our own research plus feedback from our customers we make regular updates and improvements. We recently rolled out our new AI powered auto-matching of emissions factors which provides automated suggestions of the best emission factors for your data points and auto-calculates emissions from uploaded data. This has resulted in a faster and smoother use of our platform.
Frequently Asked Questions (FAQs)
What is GHG software?
GHG software allows you to measure, report on and reduce your companies greenhouse gas emissions. This allows you to provide reporting and granular data to key stakeholders and investors within the business as well as meeting the demands of new regulation and reporting standards around the world.
How to do GHG accounting?
1. Review current method used to undertake GHG accounting and whether this still meets the needs of the company.
2. Consider whether third party ESG solutions can help you with your ESG data management.
3. Identify the Scopes of data that need collecting and work collaboratively across departments in order to collate this.
4. Upload and calculate emissions data on a platform such as Zuno Carbon and undertake emissions factor matching.
5. Generate reports based on the frameworks relevant to your business that are fully editable and compliant with global standards.
6. Set emissions goals and targets based on the insights generated and further your progress to net-zero.
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