Scope 2 Emissions Overview
What’s required to measure scope 2 emissions?
Understanding Scope 2 Emissions
Scope 2 emissions are indirect GHG emissions associated with the purchase of electricity, steam, heat, or cooling. Scope 2 represents one of the largest sources of GHG emissions globally, with generation of electricity and heat now accounting for at least a third of global GHG emissions. These emissions are categorised as indirect, as they are technically emitted from sources controlled by other entities (e.g a gas fired power plant), rather than the reporting entity.
So, what do Scope 2 emissions look like?
At least four types of purchased energy (collectively referred to as “Electricity”) are tracked in Scope 2:
- Electricity: Almost all companies use electricity. It's used to operate machines, lighting, electric vehicle charging, and certain types of heat and cooling systems.
- Steam: Formed when water boils, steam is a valuable energy source for industrial processes. It is used for mechanical work, heat or directly as a process medium. Combined Heat and Power (CHP) facilities (also called cogeneration or trigeneration) may produce multiple energy outputs from a single combustion process. Reporting companies purchasing either electricity or heat/steam from a CHP plant should check with the CHP supplier to ensure that the allocation of emissions across energy outputs follows best practices, such as the GHG Protocol Allocation of GHG Emissions from a Combined Heat and Power (CHP) Plant (2006).
- Heat: Most commercial or industrial buildings require heat to control interior climates and heat water. Many industrial processes also require heat for specific equipment. That heat may either be produced from electricity or through a non-electrical process such as solar thermal heat or thermal combustion processes (as with a boiler or a thermal power plant) outside the business's operational control.
- Cooling: Similar to heat, cooling may be produced from electricity or through the distribution of cooled air or water.
Summary
Scope 2 emissions are relatively straightforward to account for. By having a clear understanding of electricity consumption, businesses can identify opportunities to improve operations and reduce emissions. While it’s stating the obvious - to reduce scope 2 emissions you need to use less electricity where possible and move to renewable electricity. You can use the business case templates and tutorials in the Sumday Academy to understand the potential benefits.