Environmental sustainability and corporate responsibility have become critical business goals, pushing organisations globally to take proactive measures to understand and reduce their carbon footprint.
Central to this effort is the accurate measurement and reporting of greenhouse gas (GHG) emissions, particularly Scope 1 and 2 emissions. As your organisation strives to meet sustainability goals, comply with regulatory requirements, and enhance transparency, the need for robust GHG emissions software that complies with European Sustainability Reporting Standards (ESRS) is critical.
Here’s some insight into this issue from our team at Ikano Insight. We’re also here to introduce you to IBM Envizi and talk about its innovative features and automation capabilities which are designed to help your company manage and report their carbon emissions.
Understanding Scope 1 and 2 GHG emissions
Scope 1 GHG emissions encompass direct emissions produced by sources owned or controlled by your organisation. This includes emissions from the combustion of fuels from your company-owned vehicles, machinery, and on-site processes. On the other hand, Scope 2 GHG emissions relate to indirect emissions arising from purchased electricity, heat, or steam consumed by your company. These emissions occur during the generation of the purchased energy.
The Greenhouse Gas Protocol (GHGP), developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD), serves as the widely accepted standard for GHG emissions accounting and reporting, encompassing both Scope 1 and 2 emissions.
Measuring and reporting Scope 1 and 2 GHG emissions is essential for your company to comprehend your carbon footprint and identify areas for emissions reduction, but it is complex, time-consuming and fraught with challenges, so finding ways to simplify the process is key.
How does automating Scope 1 & 2 GHG emissions reporting help your business?
The 5 reasons:
- Environmental performance tracking: Accurate reporting of Scope 1 and 2 GHG emissions enables you to monitor your environmental performance effectively. Automating data collection, measurement and tracking not only aids in understanding the impact of your operational activities on the environment but also identifies opportunities for sustainable practices and emissions reduction.
- Regulatory compliance: Meeting regulatory requirements is crucial for operating in various industries. Many countries and regions have implemented regulations mandating the measurement and reporting of GHG emissions. GHG emissions software ensures compliance by automating the complex calculations involved in reporting, saving time, and reducing the risk of errors, and also integrates ESG frameworks to enable seamless reporting disclosures.
- Sustainability goals: As your company increasingly commits to sustainability goals, the accurate measurement and reporting of GHG emissions become integral to showcasing your progress. With data collection and calculation automated, GHG emissions platforms not only facilitate precise reporting but also offer tools for forecasting and modelling, enabling you to optimise your future GHG emissions reduction strategies.
- Enhanced transparency and credibility: Transparent communication of environmental initiatives is crucial for building trust among stakeholders. Accurate, auditable GHG emissions reporting automated in a centralised platform enhances transparency, demonstrating your commitment to sustainability and bolstering credibility with customers, investors, and the wider community.
- Efficiency and time savings: High-quality, automated GHG emissions reporting services streamline the GHG emissions reporting process, by taking calculations out of cumbersome spreadsheets, and seamlessly building reporting disclosures fully intergated with ESG frameworks and standards. A platform should be built on the GHG Protocol, offer a powerful calculation engine, and have built-in access to managed GHG emissions factors. This not only reduces the time spent on reporting but also satisfies auditors with investment-grade calculations.
Struggling to get on top of your ESG reporting?
Managing all the frameworks that you need to comply with can be complex, and with slightly different datasets and questions required for each. With IBM Envizi from Ikano Insight, all of this is done in one place. You’ll have a single data set to refer to and the ability to copy and paste answers without the need to start each framework from scratch, completely simplifying the process.
ESG Optimiser: revolutionising GHG Emissions reporting
IBM Envizi ESG Suite is a cutting-edge GHG emissions software solution designed to simplify and enhance the GHG emissions accounting and reporting process. Below are some key features that make ESG Optimiser an indispensable tool for any organisation committed to accurate and efficient emissions reporting:
- Emissions calculation engine: built on the GHG Protocol, Envizi incorporates a global library of over 40,000 managed GHG emissions factors. This includes data from reputable sources such as the US EPA, eGRID, DEFRA, IEA, and others. The embedded calculation engine ensures accuracy and reliability in emissions calculations.
- Custom GHG emissions factors: many companies have unique reporting needs, and Envizi allows you to add custom and third-party emission factor sets. This flexibility ensures that you can tailor your emissions reporting to address specific industry requirements and organisational needs.
- GHG reductions management: Envizi goes beyond mere emissions reporting by offering a comprehensive GHG reductions management system. You can categorise carbon offsets and renewable energy certificates as GHG reductions, providing a holistic view of emissions and facilitating a strategic approach to emissions reduction.
- Fully automated calculation & reporting: one of the standout features of IBM Envizi is its full automation of Scope 1 and Scope 2 data. This not only simplifies the reporting process but also ensures accuracy, mitigating the risk of errors associated with manual data entry. The automated system is designed to meet compliance requirements for both mandatory and voluntary GHG emissions reporting frameworks.
- Global standardisation and customisation: we have maximised efficiency by standardising units and currencies globally. This ensures consistency in reporting and facilitates comparisons across different regions and entities. Additionally, our platform offers full customisation of data and reporting to match your specific business needs, providing a tailored solution.
- Data visualisation and tracking: Envizi provides a user-friendly interface for viewing GHG emissions data across your organisation and tracking changes over time. Visualisations and analytics tools enable you to gain insights into emission trends, identify areas for improvement, and make informed decisions to drive sustainability initiatives.
- Forecasting and modeling tools: the platform includes advanced forecasting and modelling tools, allowing you to optimise your future GHG emissions reduction strategies. By leveraging these tools, you can proactively plan and implement initiatives that align with our sustainability goals.
Book a Demo for a sustainable future
As you can see, the accurate measurement and reporting of Scope 1 and 2 GHG emissions are pivotal for all of us who are striving towards environmental sustainability. Our platform, is game-changing GHG emissions software, offering unparalleled efficiency, accuracy, and flexibility in GHG emissions reporting.
If your business is committed to sustainability, regulatory compliance, and transparent communication of environmental efforts, booking a demo of ESG Optimiser is the next logical step. The platform’s innovative features, including the powerful calculation engine, customisation options, and GHG reductions management, position it as the ideal tool for any business seeking to navigate the complexities of emissions reporting seamlessly.
To take your business to the next level of environmental responsibility and efficiency, we invite you to explore the benefits of Ikano Insight’s ESG Optimiser solutions through a personalised demonstration. Book a demo of our GHG emissions software today and embark on a journey towards a more sustainable and responsible future for your organisation.
