Emission Factor Calculation and Development Services for Industry

Obtain emission factors that align with the characteristics of activities, materials, and processes, as well as the company’s emission inventory requirements.

Not all industrial activities can rely on a single, universal emission factor. Factors such as fuel type, material characteristics, process technology, energy sources, location, and data quality can all influence the emission factors used in greenhouse gas (GHG) calculations. Actia provides Emission Factor Calculation Services to assist companies in selecting, calculating, evaluating, and developing emission factors tailored to their specific activity characteristics and calculation requirements. These services support GHG emission inventories; Scope 1, 2, and 3 calculations; product carbon footprint assessments; decarbonization studies; low-carbon fuel development; and other needs requiring traceable and defensible emission factors.

What Is an Emission Factor?

An emission factor (EF) is a value used to convert activity data into an estimate of greenhouse gas emissions. Simply put: Emissions = Activity Data × Emission Factor Activity data can include fuel consumption, electricity usage, material quantities, transportation distances, production volumes, product counts, or other activity parameters. For example, suppose a company consumes 10,000 liters of fuel. This consumption figure is then multiplied by the appropriate emission factor to obtain an emission estimate in CO₂e units. This concept is fundamental to GHG emission calculations. The GHG Protocol defines activity data as a quantitative measure of an activity that generates emissions; this figure is then multiplied by an emission factor to determine GHG emissions. However, the challenge lies in more than just finding the EF value. The emission factor must correspond to the specific activity being calculated. Factors such as the data source, units, location, year, material type, process characteristics, emission scope, and the methodology employed must be verified before an emission factor is applied.

Why Is Selecting the Right Emission Factor Important?

Emission factors can originate from various sources and possess distinct characteristics. For fuels, for instance, emission factors may be expressed in terms of energy units or fuel quantity. For electricity, emission factors can vary by region and year, influenced by the characteristics of the electrical grid and the energy mix. Meanwhile, for materials and products, emission factors may cover specific life-cycle stages—such as “cradle-to-gate” or the entire life cycle—depending on the calculation’s objective. Consequently, using an EF value without understanding what it encompasses can lead to inaccurate calculations or even result in double counting. The GHG Protocol distinguishes between, among others, combustion emission factors and life-cycle emission factors, depending on their intended use. For Scope 1 and Scope 2 calculations, combustion emission factors are used within the context of the Corporate Standard, whereas life-cycle-based emission factors are used for specific requirements within Scope 3.

Actia Emission Factor Calculation Services

Actia helps companies determine an emission factor approach based on activity type, emission source characteristics, data availability, inventory requirements, and the intended use of the emission factors.
The scope of work can be adjusted according to project requirements.
We identify activities that require emission factors, including material types, processes, energy, materials, transportation, products, and other relevant activities. This stage helps ensure that the emission factors used are truly appropriate for the activities being calculated.
Actia conducts a search and evaluation of emission factors available from relevant sources. These sources may include international guidelines, government databases, sectoral databases, technical publications, and other credible sources. Selection is based not only on the emission factor (EF) value but also takes into account the methodology, units, system boundaries, data year, region, activity type, and the emission components covered.
To support EF development, a literature review is conducted to understand the approaches previously employed in relevant sectors, materials, technologies, or activities. The findings can be used to compare various approaches and determine the methodology best suited to the project’s requirements.
Activity data and supporting parameters are collected and analyzed to determine the inputs required for calculating emission factors. The data may include fuel consumption, calorific value, density, carbon content, material characteristics, process parameters, production volume, and other relevant data.
For certain requirements, the development of emission factors may necessitate data on the physicochemical characteristics of the materials. Actia has experience in projects involving fuel characteristic testing as part of the emission factor development process. The need for laboratory testing is determined by project characteristics and the methodology employed; consequently, not all emission factor development requires laboratory testing.
The collected data is then used to calculate or formulate the emission factor in accordance with the established methodology. Results can be presented in units suited to user requirements, for example:
  • kg CO₂e/liter of fuel
  • kg CO₂e/GJ
  • kg CO₂e/tonne of material
  • kg CO₂e/kWh
  • tCO₂e/tonne of product
The final unit will be determined based on the characteristics of the activity and the intended use of the emission factor.
We assist in documenting the calculation basis, data sources, assumptions, parameters, formulas, conversion factors, reference sources, and limitations regarding the use of emission factors. This documentation is essential for maintaining traceability, consistency, and transparency when emission factors are reused in subsequent inventories or calculations.

Emission Factors for Scope 1, Scope 2, and Scope 3

Emission factors are not limited to a single Scope. Emission factors (EFs) are required across different parts of a company’s greenhouse gas (GHG) emissions inventory. The appropriate emission factors and calculation methodologies should be selected based on the characteristics of each emission source. Scope 1 Scope 1 covers direct GHG emissions from sources owned or controlled by a company. Examples include:
  • Fuel combustion in boilers;
  • Furnaces;
  • Generators;
  • Company-operated vehicles;
  • Industrial processes;
  • Fugitive emissions;
  • Other direct emission sources.
For these activities, companies can use activity data, such as fuel consumption in liters, gas volume, material quantities, or process parameters, and multiply them by the appropriate emission factors to calculate GHG emissions. Scope 2 Scope 2 covers indirect emissions from purchased or acquired energy, including electricity, steam, heating, and cooling. For electricity-related emissions, selecting the appropriate emission factor requires consideration of grid characteristics, geographical location, reporting period, and the calculation methodology applied. The GHG Protocol also emphasizes the importance of using representative electricity emission factors, including supplier-specific or regional grid emission factors when relevant data is available. Scope 3 Scope 3 covers other indirect emissions occurring throughout a company’s value chain. Emission factors may be required to calculate emissions associated with:
  • Purchased goods and services;
  • Capital goods;
  • Upstream transportation and distribution;
  • Business travel;
  • Employee commuting;
  • Waste generated in operations;
  • Use of sold products;
  • End-of-life treatment of sold products;
  • Other Scope 3 categories.
For Scope 3 emissions, the appropriate emission factors may differ from those used for Scope 1 and Scope 2 calculations. For example, the GHG Protocol distinguishes between combustion emission factors and life cycle emission factors. It also provides guidance on selecting suitable factors based on specific activities and Scope 3 categories.

Sources of Emission Factors for GHG Calculations

Emission factors can be obtained from various sources. Several commonly used sources for greenhouse gas emissions inventories include: IPCC The Intergovernmental Panel on Climate Change (IPCC) provides internationally recognized guidelines and default emission factors widely used in greenhouse gas emissions inventories. GHG Protocol The GHG Protocol provides calculation methodologies, tools, and emission factor references for various corporate GHG accounting activities. Default emission factors can be used when company-specific values are unavailable. However, more specific emission factors are generally preferred when they are available, reliable, and appropriate for the emission source. Government and Sector-Specific Sources For projects conducted in Indonesia, emission factors published by government ministries, regulatory agencies, or sector-specific institutions can serve as important references when they are relevant to the activities being assessed. International Emission Factor Databases International sources such as the EPA, DEFRA, IEA, EIA, ecoinvent, and other recognized databases may be used depending on the objectives, geographical coverage, data characteristics, and underlying calculation methodologies. However, the most widely recognized emission factor database is not necessarily the most appropriate source for every project. Emission factors should always be evaluated based on their intended application and the specific conditions of the emissions inventory.

Are Emission Factors the Same for Every Company?

Not necessarily. Two companies using the same type of fuel may still require different approaches to emission factor selection and GHG emissions calculations. Differences may arise from:
  • Fuel characteristics;
  • Material quality;
  • Process technology;
  • Geographical location;
  • GHG inventory reporting year;
  • Activity data;
  • System boundaries;
  • Calculation objectives;
  • Applied methodologies.
The GHG Protocol also recognizes the benefits of using company-specific emission factors when possible, as industrial processes and fuel compositions may vary across geographical regions and over time. Therefore, selecting an emission factor involves more than simply finding a numerical value in a database and entering it into a spreadsheet. A proper evaluation is necessary to ensure that the selected emission factor accurately represents the emission source and is suitable for the intended calculation.

Understanding Tier 1, Tier 2, and Tier 3 Emission Factors

The terms Tier 1, Tier 2, and Tier 3 are commonly used in greenhouse gas emissions inventory methodologies. In general, these tiers represent different levels of methodological detail, data specificity, and calculation complexity. However, emission factor tiers are not the same as emission Scopes, nor do they refer to specific emission factor databases. Scope identifies the source and accounting classification of emissions, while Tier describes the methodological approach and level of detail used to estimate emissions. Therefore, Scope 1 does not automatically correspond to Tier 1, and Scope 2 does not automatically correspond to Tier 2. The appropriate Tier should be selected based on the characteristics of the emission source, data availability, applicable methodologies, and the objectives of the GHG emissions inventory.

When Do Companies Need Emission Factor Development?

Not every company needs to develop its own emission factors. Emission factor development becomes relevant when existing emission factors do not adequately represent actual operating conditions or when a company requires more specific factors for particular activities, fuels, materials, or industrial processes. Examples include: Low-Carbon Fuels or Alternative Fuels A company uses fuels with characteristics that are not adequately represented by existing default emission factors. Specific Fuel Characteristics The composition or physicochemical properties of a fuel differ from the assumptions underlying available default emission factors. Specific Industrial Processes An industrial activity or production technology has unique characteristics that cannot be accurately represented using general emission factors. Product-Specific Emission Factors A company requires more specific emission factors for particular materials or products to support emissions calculations, product carbon footprint assessments, or other environmental evaluations. Improving GHG Inventory Quality A company aims to reduce uncertainty and improve the accuracy and representativeness of its greenhouse gas emissions inventory.

ACTIA’s Experience in Emission Factor Development

ACTIA has experience in Low-Carbon Fuel Emission Factor Studies, including projects involving reference assessments, physicochemical fuel characterization, and emission factor formulation. This experience includes approaches based on literature reviews, data analysis, laboratory testing of fuel characteristics, and the development of emission factors tailored to specific study requirements. Through these activities, ACTIA has developed relevant technical experience in evaluating emission factor applicability and supporting the formulation of more representative emission factors. This experience provides a foundation for ACTIA to assist companies with emission factor development needs that require more specific technical approaches than simply applying default emission factors.

Actia Emission Factor Calculation Service Methodology

Each project can have different needs. In general, job processes may include:
  • 01 — Identification
    Identify activities, emission sources, materials, processes, and EF requirements.
  • 02 — Data Assessment
    Assessing the availability and quality of activity data and supporting parameters.
  • 03 — Literature Review
    Examining relevant references and emission factors.
  • 04 — EF Selection
    Evaluating and selecting emission factors based on source, methodology, unit, region, year, and system boundary.
  • 05 — Data Analysis
    Processing activity data and the necessary technical parameters.
  • 06 — Laboratory Testing
    Carried out if necessary to obtain certain material characteristics or parameters.
  • 07 — EF Calculation & Formulation
    Perform calculations or develop emission factors based on the selected methodology.
  • 08 — Documentation
    Compiling documentation on calculations, data sources, assumptions, formulas, and limitations regarding the use of the EF.

FAQ Emission Factor

What is an emission factor?
An emission factor is a value used to convert activity data into an estimate of GHG emissions. In general, emissions are calculated by multiplying activity data by the emission factor.
The basic formula is: Emissions = Activity Data × Emission Factor For example, fuel consumption multiplied by the corresponding fuel emission factor.
Not necessarily. Emission factors can vary based on country, region, year, energy source, material characteristics, and methodology. This is particularly evident with electricity emission factors, which can change in line with the energy mix and the characteristics of the electricity system.
Yes. Emission factors are used across various Scopes, but the specific types of factors and methodologies employed must be tailored to the emission sources and categories. The GHG Protocol distinguishes between the use of combustion and life-cycle emission factors depending on the specific calculation context.
A “Tier” indicates the level of approach or specification for an emissions calculation methodology. A Tier is not the same as a Scope, nor is it the name of an emission factor database. The choice of Tier depends on the characteristics of the emission source, data availability, and the methodology employed.
Not necessarily. If relevant and reliable emission factors are already available, companies can use them. Developing proprietary emission factors may be considered when a company requires more specific factors or when existing factors do not adequately represent actual activities.
No. The need for laboratory testing depends on the type of emission factor and the data required. For some studies, secondary data and available parameters are sufficient. For specific requirements, testing of material characteristics may be necessary to generate more specific emission factors.
The data required depends on the activity being analyzed. Data may include fuel consumption, material volume or mass, calorific value, density, carbon content, physicochemical characteristics, process parameters, production volume, and other supporting data.

Need Emission Factors for Your Activities or Products?

Accurate emission factors begin with a proper understanding of the activities, materials, processes, and the purpose of the calculation. Actia assists companies with everything from evaluating existing emission factors to developing more specific ones, including requirements involving technical data and material characteristics.

Discuss requirements of your company's emission factors with the Actia team.

Consult Now