Company level emissions accounting usually requires a lot of source data collection as well as accurate and reliable emission factors. Automation and faster calculations are appealing, but how to be sure that the calculations remain reliable?
How to choose a reliable tool for calculating emissions?
Many applications and tools offer easy solutions for calculating company’s emissions based on its chart of accounts and euros spent. However this does not always reveal where the emissions actually come from and how they could be reduced.
In order to automate emissions calculations reliably, some attention to detail is required. Many of the calculators available do not clearly explain the basis for their calculations or the emission factors used. Even in emissions calculation, something may be too good (and easy) to be true.
If a company wants to present itself as a responsible organization and also genuinely improve its own sustainability, it is worth spending some time on emissions calculations, especially the first time around. Once the information on emission sources, the corresponding emission factors, and the frequency of emission factor updates have been thoroughly clarified, calculations in future years will become significantly easier.
The impact of reliable emission factors on emission calculation results
The GHG Protocol -standards are the most widely used emission calculation standards in the world. The emissions calculation section of the ESRS E1 standard, which is also used in sustainability reporting (CSRD), is also based on the GHG Protocol. According to the standards, the emission factors and emission data obtained from companies in the supply chain are always the first choice for emissions calculation. These primary data-based emissions improve the reliability of the entire calculation. The goal is to ensure that as many companies as possible can provide reliable primary data to their own customers.
If primary data is not available, the calculation is done using emission factors based on averages. Those should be based on physical quantities such as mass or number of items. When selecting such factors, it is important to pay particular attention to the timeliness of the factor, its geographical location, and the determining authority. Good and reliable sources include regularly updated factors developed by ministries and research institutes in different countries.
According to the standards, emissions calculation using currency-based consumption data is always the last resort when no other calculation method is available. Many services purchased by companies are usually calculated based on euros (spend-based), but physically purchased products, raw materials, and other materials should also be calculated based on physical data. Spend-based calculation almost always results in significantly higher emissions – sometimes even multiple times higher – compared to emissions calculated using physical quantities.
Demonstrating emission reduction measures using spend-based calculations is also challenging; generally, the more environmentally friendly option in electricity bills or raw material procurement costs more than the fossil or virgin alternative. Hardly any company would want to set targets and implement emission reduction measures without being able to prove the changes made in the company’s emission calculations, for example.
The OpenCO2 emissions database contains up-to-date and reliable emission factors
Over the years, we have built up one of Europe’s largest emissions databases through long-term work. Our goal is to ensure that the OpenCO2 emissions database is reliable and up to date, and that it facilitates our customers’ emissions calculation work. We know how time-consuming it is to find the right emission factors and how much expertise it requires. Therefore, we do all that work on behalf of our customers. What does maintaining the OpenCO2 emissions database mean?
- Up-to-date: Emission factors and their sources are constantly updated – without maintenance, emission factors and calculation results will quickly become outdated.
- Correct factors in the right place: Our experts always clarify the exact background and limitations of emission factors to make their use as clear as possible. At OpenCO2net, emission factors are always checked by two sets of eyes before they are made visible to customers.
- Source traceability: The maintained database contains documented sources, versions, and update dates, which is particularly important if calculations are verified and validated.
- Quality assurance: The maintenance of the OpenCO2 emissions database includes data verification, version management, and quality assurance, minimizing the risk of errors and correction cycles. We also use our factors ourselves to ensure their quality.
- Savings for the customer: The customer receives up-to-date and reliable emission factors without having to do any research themselves. This means less time spent searching for information and fewer errors. We develop interfaces and solutions for different emission factor sources so that customers do not have to focus on this. We also provide assistance in selecting factors.
Automating emissions calculations
If the company uses an enterprise resource planning system that contains data on energy consumption, material flows, or purchased raw materials etc., it could be worth considering automating the calculations in that system. Once the appropriate emission factors have been selected, they can be submitted to the system via the OpenCO2 API interface.
Companies can also obtain up-to-date emission factors for their Excel calculators from the OpenCO2 emissions database. This ensures that the calculators are automatically maintained and kept up to date, which is important when verifying calculations. Many factors in a company’s emissions calculations need to be updated annually. These factors include, for instance, emission factors related to fuels, electricity and district heating, services, as well as transportation and travel. In other words, almost everything.
Updating pre-selected odds is as quick as pressing a button for the customer. It saves a significant amount of working time, as there is no need to obtain and search for odds across the internet.
Do you need help with emission calculation tools or emission factors? OpenCO2net provides you with easy-to-use tools that comply with standards, as well as reliable and up-to-date emission factors. We have automated emissions calculation for companies. For example check out the project we implemented for NK Tekniikka. If automating emissions calculation and searching for emission factors are relevant for your company, please contact us. We can find a solution that suits your company’s needs!
