Greenhouse gases like carbon dioxide and methane drive climate change, making it essential for organizations to measure and manage their emissions. As businesses and governments work to reduce emissions, accurate measurement and reporting are key to sustainability. With the emergence of voluntary climate action initiatives and mandatory climate disclosure requirements, global interest in GHG accounting has grown significantly. However, the absence of standardized methods once led to inconsistent data and limited transparency. To address this, the Greenhouse Gas Protocol was developed—offering a globally recognized framework to help organizations measure, report, and reduce emissions with consistency and credibility.

The Greenhouse Gas (GHG) Protocol is a globally recognized framework that offers standardized approaches for measuring and managing greenhouse gas emissions across public and private sectors, value chains, and mitigation actions. Developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD), it was launched in 1998 to bring consistency and transparency to emissions reporting. As the most widely adopted system for GHG accounting, it helps organizations—including businesses and governments—accurately quantify and disclose their emissions. With its extensive set of standards, tools, guidance, and training, the GHG Protocol supports entities in aligning their emissions management with broader sustainability goals.

Key Features

The GHG Protocol classifies greenhouse gas emissions into three categories:

• Scope 1: Direct emissions from sources owned or controlled by the company.
• Scope 2: Indirect emissions from purchased energy like electricity, heat, or cooling.
• Scope 3: All other indirect emissions related to the company’s activities, from sources it doesn’t own or control, covering the full value chain.

Standards designed for specific purposes and user groups to help organizations measure and report their greenhouse gas emissions effectively. These include:

• Corporate Standard: The GHG Protocol Corporate Accounting and Reporting Standard offers guidance and requirements for companies, NGOs, government agencies, and universities to prepare a corporate-level GHG emissions inventory.
• Corporate Value Chain (Scope 3) Standard: Allows companies to assess their entire value chain emissions impact and identify where to focus reduction activities.
• GHG Protocol for Cities: The Global Protocol for Community-Scale Greenhouse Gas Emission Inventories (GPC) provides a robust framework for accounting and reporting city-wide greenhouse gas emissions
• Mitigation Goal Standard: Provides guidance for designing national and subnational mitigation goals and a standardized approach for assessing and reporting progress toward goal achievement.
• Policy and Action Standard: Provides a standardized approach for estimating the greenhouse gas effect of policies and actions.
• Product Standard: Helps assess a product’s full life cycle emissions and identify key GHG reduction opportunities
• Project Protocol: A comprehensive, policy-neutral tool for quantifying the GHG benefits of climate change mitigation projects.                                                                          Additionally, the GHG Protocol offers guidance for applying its standards across specific sectors.

Calculation Tools: GHG Protocol tools enable companies and cities to develop comprehensive and reliable inventories of their GHG emissions. This tools include:

• Cross-sector tools: Designed for broad use across various industries and businesses, regardless of sector.
• Country-specific tools: Tailored to the needs of specific developing countries.
• Sector-specific tools: Developed primarily for particular sectors or industries, though they may also apply in other contexts.
• Tools for countries and cities: Help countries and cities track progress toward their climate goals.

Life Cycle Databases: This compilation of third-party databases supports users in gathering data for product life cycle and corporate value chain (scope 3) GHG inventories.

When calculating emissions using the GHG Protocol, organizations typically start by defining their boundaries (operational and organizational), identifying relevant emission sources, and classifying them under Scope 1, 2, or 3. The calculation generally involves multiplying activity data (e.g., fuel use, electricity consumption, travel distances) by appropriate emission factors from reputable databases or standards. While the methodology is standardized, many digital tools on the market—such as ARRO by Ceroed and other carbon accounting platforms—help automate data collection, apply emission factors correctly, and generate accurate reports aligned with the GHG Protocol. These tools streamline the process, reduce errors, and make it easier for businesses to track and manage their carbon footprint effectively.

Today, the GHG protocol serves as the foundational methodology adopted or referenced by many mandatory greenhouse gas reporting frameworks around the world

How ARRO by CeroED helps in GHG Accounting

CeroED’s ARRO platform supports GHG accounting by providing an AI-powered, blockchain-enabled system that ensures accurate, transparent tracking of greenhouse gas emissions. It automates the collection, processing, and reporting of Scope 1, 2, and 3 emissions in line with GHG Protocol standards. It calculates total greenhouse gas emissions across Scope 1, 2, and 3, along with emissions per unit of production for each scope. The platform supports the design and implementation of carbon offset programs, along with tracking and reporting offset performance. Additionally, ARRO features a carbon credit pool platform that allows organizations to participate in verified carbon credit exchanges, helping them meet offset goals effectively. ARRO facilitates stakeholder engagement through user-friendly platforms that collect and organize feedback, while advanced analytics help prioritize material topics and sustainability risks. CeroED ensures a safe and strategic journey towards sustainability and reporting.

Discover how ARRO can support your sustainability goals!

Contact: info@ceroed.com

For more info: www.ceroed.com

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