Scope 3 Greenhouse Gas Inventory Training

GHG Accounting Scope 3 for Corporate

How Do Companies Calculate Scope 3 Greenhouse Gas Emissions?
Calculating Scope 3 emissions is a crucial process for companies to understand their environmental impact. The initial step a company must take is to identify emission categories; the GHG Protocol divides Scope 3 emissions into 15 categories, namely:
  1. Purchased goods and services
  2. Capital goods
  3. Fuel- and energy-related activities (not included in Scope 1 or 2 emission calculations)
  4. Upstream transportation and distribution
  5. Waste generated in operations
  6. Business travel
  7. Employee commuting
  8. Upstream leased assets
  9. Downstream transportation and distribution
  10. Processing of sold products
  11. Use of sold products
  12. End-of-life treatment of sold products
  13. Downstream leased assets
  14. Franchises
  15. Investments
Next, the company must collect relevant activity data, which can be obtained from purchasing records, utility bills, or through surveys of suppliers and business partners. This data may consist of primary data collected directly from relevant sources or secondary data obtained from international databases and reports to estimate emissions based on product or service types. Once the data has been gathered, the next step is to apply emission factors—which serve as coefficients representing the amount of emissions associated with a specific activity—by multiplying the activity data by the appropriate factor. Following the calculation, companies are expected to report the results transparently. They may also engage third parties to verify their calculations, thereby enhancing the accuracy and credibility of their reports.
Training
Challenges in Tracking Scope 3 Emissions
Tracking Scope 3 emissions is a highly challenging task for companies, primarily due to the complexity involved and the reliance on data from various third parties. These emissions encompass all indirect emissions occurring across a company’s value chain (from upstream to downstream), including those from suppliers and customers. The following are some of the key challenges faced in tracking Scope 3 emissions:
  1. Complexity of Data Availability
One of the greatest challenges is data availability. Companies often have to rely on information reported by suppliers, which may not always be accurate or complete. Many suppliers lack adequate systems to measure their own emissions, forcing companies to use secondary data—such as industry averages or spend-based emission factors. This can lead to uncertainty regarding the accuracy of the collected data.
  1. Quality of Available Data
Data quality is also a critical issue. Assumptions and unverified data often vary in terms of consistency and accuracy. Poor-quality data can result in a distorted picture of a company’s overall carbon footprint, thereby affecting strategic decisions and its reputation among stakeholders. Companies need to ensure they have processes in place to verify and improve the quality of the data used.
  1. Measurement Standards
The absence of consistent measurement standards for Scope 3 emissions makes it difficult to compare performance across companies. Unlike Scope 1 and 2 emissions—over which companies have greater control—Scope 3 emissions involve multiple parties and often lack standardization. This adds complexity to emission reporting and management.
  1. Resource and Cost Constraints
Managing Scope 3 emissions also requires significant resources, in terms of both time and cost. The process of data collection and analysis can be highly intensive, requiring additional manpower and investment in information technology systems to support accurate reporting. For many companies—particularly small and medium-sized ones—this financial burden can pose a major challenge to implementing greenhouse gas inventories, especially regarding Scope 3 emissions.
Scope 3 Greenhouse Gas (GHG) emissions have become a focal point in global efforts to combat climate change. Unlike Scope 1 and 2, Scope 3 emissions encompass all indirect emissions arising from supply chain activities—ranging from transportation and distribution to product usage by consumers. Many companies currently face the reality that Scope 3 emissions can account for up to 70% of their total emissions, yet they are often difficult to measure accurately. Challenges such as fragmented data, supply chain complexity, and a lack of awareness make managing these emissions a formidable yet crucial task. Effectively addressing Scope 3 emissions not only benefits the environment but also strengthens a company’s reputation among investors and consumers. This “Scope 3 GHG Accounting for Corporates” training is designed to help your company achieve its sustainability goals by fostering an understanding of the indirect emissions generated throughout the supply chain.
Learn How to Calculate Scope 3 Greenhouse Gas Emissions

Fundamentals of Greenhouse Gas Inventorying

How to Identify Scope 1, 2, and 3 GHG Emissions

Scope 3 Emission Calculation

Emission Reduction Strategy

Training Information

Date: April 23, 2026 Time: 09:00 – 12:00
Registration Link

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