Onsite energy generation brings complexity when it comes to accounting for your greenhouse gas (GHG) emissions. Here’s a breakdown of how to handle scope emissions in this scenario:
Renewable Onsite Generation
If your on-site generation utilizes renewable sources like solar panels or wind turbines, your related scope 1 and 2 emissions will be significantly low or even zero. However, you should not subtract any emissions you believe you are offsetting through your onsite renewable energy generation. Scope 2 emissions only represent the environmental impact associated with the electricity you purchase from the grid, regardless of your onsite renewable energy generation efforts.
Non-Renewable Onsite Generation
If your on-site generation involves combusting fuels like natural gas or diesel generators, you'll need to account for the resulting emissions:
Scope 1: Direct Emissions
- Fuel Consumption Data: Quantify the amount of fuel used (e.g. natural gas in cubic meters, diesel in liters).
- Emission Factors: Utilize emission factors specific to the fuel type. You can find these from government agencies or reputable sources. These factors translate fuel consumption into CO2 equivalent emissions.
Scope 2: Indirect Emissions from Purchased Electricity
- Grid Impact: Scope 2 emissions solely represent the environmental impact associated with the electricity you purchase from the grid, regardless of your on-site efforts.
If you rely partly on grid-based electricity:
- Don’t deduct any emissions you believe you’re offsetting with on-site generation when calculating Scope 2 emissions from grid electricity.
Additional Resources:
The Greenhouse Gas Protocol (GHG Protocol) provides detailed guidance on accounting for all Scopes of emissions, including specific considerations for onsite generation: https://ghgprotocol.org/corporate-standard