What are scope 1, 2, and 3 emissions?

To reduce your carbon footprint and impact climate change, you must start by understanding, then measuring your greenhouse gas emissions. Understand the basics with this 3-minute video.

Content by Sustain.life makers of sustainability software.

What do the different emissions scopes mean?

The Greenhouse Gas Protocol (GHG Protocol) divides emissions into three scopes:

Scope 1 emissions– direct emissions from sources owned or controlled by a company

Scope 2 emissions– indirect emissions from purchased electricity, steam, heat, and cooling

Scope 3 emissions– all other emissions associated with a company’s activities

If this is hard to grasp at first, we have a good shorthand to remember what each scope includes: Burn, Buy, Beyond. Scope 1 is what you burn; scope 2 is energy you buy; and scope 3 is everything beyond that.

While scope 1 and scope 2 emissions might be the easiest to measure, tracking what is often the largest culprit of a company’s carbon footprint—scope 3 emissions—tend to be more nebulous. Scope 3 emissions include an array of elusive carbon dioxide-emitting activities that, when added up, often account for more significant carbon emissions than Scopes 1 and 2 combined.

If a company truly intends to reduce or even eliminate its carbon footprint, it must address all three scopes and pay special attention to scope 3.

Related Article: How smaller companies can help the world get to net zero faster

Small- and medium-sized enterprises have a huge role to play. Moving toward a circular economy opens another door of opportunity for SMEs. Using longer-lasting, recyclable and renewable materials will reduce costs over time and decrease their vulnerability to any disruptions in the value chain.

Related: How the circular economy unlocks new revenue streams

Those in the vanguard will benefit from reduced operational costs, less reliance on scarce resources and fluctuating commodity cycles.