GHG Management & Reporting
Standardizing greenhouse gas accounting and reporting to build consistency and credibility across the aerospace industry.
Introduction
Climate change is a significant issue of the 21st century and is recognized as a leading threat to global security. Greenhouse gases (GHG), gases in the atmosphere such as water vapor, carbon dioxide, methane and nitrous oxide, can absorb infrared radiation, trapping heat in the atmosphere. The greenhouse effect refers to emissions of GHG due to human activity attributing to global warming. The Intergovernmental Panel on Climate Change (IPCC) recognizes the serious consequences of increased levels of GHG within our atmosphere due to human activities.
In 1997, 37 countries committed to reduce their GHG emissions under the Kyoto Protocol. Since then, international institutions have launched numerous initiatives regarding climate change, in particular to encourage the reduction of fossil fuel-based energy consumption and to promote the use of renewable energy sources. Legislative frameworks are evolving in several countries to drive further governmental and corporate action to reduce GHG emissions. These factors lead to increasing obligations for companies, and to an increased burden and substantial costs for the aerospace value chain, due to the complexity and variability of the information and requirements needed.
The GHG Protocol Corporate Standard defines GHG emissions across a company’s value chain as Scope 1, direct emissions from a company’s own operations, Scope 2, indirect emissions from the generation of purchased electricity, steam, or heating, and Scope 3, all other indirect emissions associated with a company’s value chain. GHG Protocol also provides guidance on emissions accounting. However, either the standard or guidance fully addresses the specifics of the aerospace industry. IAEG Work Group (WG3) was established to address the issue of GHG accounting and reporting by aerospace companies. Its scope has since been increased to include science based target setting and emissions beyond a company’s value chain.
Meet the Leaders
Liling Ren
Lead
RTX
Chris Esbester
Deputy Lead
BAE Systems
Purpose
- Develop analysis and supplemental voluntary guidance on GHG emissions accounting for Scope 1 and 2 and selected Scope 3 emissions, science based target setting, and emissions beyond a company’s value chain for aerospace companies.
Benefits
- Consistent emissions accounting and reporting practices through leadership and documented voluntary consensus guidance.
- Reduced industry costs and burden through improved consistency and standardized GHG accounting and reporting process.
- Common approaches to normalization and carbon intensity calculations.
- Sharing best practice in science based target setting and analysis of emissions beyond the value chain.
Objectives
- Promote industry-wide adoption of consistent emissions accounting practices.
- Encourage wider reporting and public disclosure of Scope 1 and 2 and selected Scope 3 emissions across the aerospace industry.
- Enable consistent GHG emissions communication/reporting within the aerospace supply chain and allow for the aerospace industry to pursue further activities pertaining to GHG emissions reductions.
Deliverables
GHG Reporting Guidance for the Aerospace Industry
A Supplement to the GHG Protocol Scopes 1, 2, and 3 accounting and reporting standards and guidance, providing the overall framework and aerospace specific guidance on Scopes 1 and 2, as well as select Scope 3 emissions, including Category 4, Upstream Transportation & Distribution, Category 6, Business Travel, Category 7, Employee Commuting, and Category 9, Downstream Transportation & Distribution.
Methodology and tool for calculating Scope 3 emissions: Category 1, purchased goods and services, and Category 2, capital goods
Dedicated methodology, guidance materials, and a Microsoft Excel based tool to allow the aerospace companies to calculate Scope 3, Category 1, Purchase of Goods and Services (PGS) and Category 2, Capital Goods (CG), emissions.
User guide for supporting calculation tool for purchased goods and services and capital goods
This document provides guidance for assessing GHG emissions inventories associated with PG&S and CG. An overview of the methodology is presented, followed by step-by-step instructions on how to apply the methodology in conjunction with a simplified calculation tool (the “tool”) specifically developed for aerospace-related PG&S and CG GHG emissions accounting.
Webinar on use of the calculation (CGS) tool
WG3 GHG Reporting Webinar
Factsheet on guidance for calculating civil and military aviation scope 3 emissions for category 11 - use of sold products
The International Aerospace Environmental Group (IAEG) identified that Scope 3, “Corporate Value Chain,” Category 11, “Use of Sold Products,” as defined by the Greenhouse Gas (GHG) Corporate Protocol, is one of the most relevant Scope 3 emissions categories for most aerospace companies. IAEG developed an industry-specific methodology and guidance materials, for voluntary consideration and use, to promote consistency of reporting approaches within the industry.
Guidance for calculating aviation Scope 3 emissions: Category 11, Use of Sold Products
Dedicated methodology and guidance materials, and a Microsoft Excell based tool to allow the aerospace companies to calculate Scope 3, Category 11, Use of Sold Product emissions.
Scope 3 Category 11 Use of Sold Products - Commercial Calculation Tool Version 1
This tool enables computation of GHG emissions for commercial aircraft products and for the intermediate products of aircraft supply chain:- direct use-phase emissions from products that directly consume energy during use- indirect use-phase emissions from products that indirectly consume energy during use (e.g. emissions associated with carrying the weight of aircraft interiors, landing gear and other systems during the flight).
White Paper and Voluntary Guidance for Calculating Use Phase Scope 3 Emissions for Space-related Products
This white paper offers discussion and voluntary consensus guidance focused on calculating Scope 3 emissions for the use phase applications of phase-related products and is meant to complement the GHG Corporate Protocol Scope 3 emissions accounting and reporting standard and the associated technical guidance for calculating Scope 3 emissions. This document describes industry-specific methodologies for calculating scope 3 emissions for specific use-phase scenarios and provides discussions on the input data needed for applying each methodology as well as examples illustrating how methodologies may differ depending on the reporting entities role within the space industry’s value chain.