ESG & Investing
A Different Way to Tackle Scope 3 Emissions
Their complexity has proven to be a barrier for some companies trying to set net-zero targets. But there may be another way.
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The greenhouse gases produced by customers and supply chains typically account for more than 70% of a company’s carbon footprint. This reality means companies cannot credibly pledge to address their environmental impact without tackling this massive source of emissions, known as Scope 3.
At the same time, problematic data issues attached to Scope 3 emissions have become legendary while some have argued companies have limited ability to influence their value chains anyway. The complexity of the topic, unsurprisingly, has proven to be a barrier for some companies trying to set net-zero targets.