Greenhouse Gas Protocol Reporting Considerations

Roadmap
Greenhouse Gas Protocol Reporting Considerations (January 2024)

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This Roadmap consolidates and simplifies the concepts in the Greenhouse Gas (GHG) Protocol, a set of standards and related guidance that provides for (1) mandatory reporting of Scope 1 emissions (i.e., direct GHG emissions from sources within the reporting company’s organizational boundary); (2) mandatory reporting of Scope 2 emissions (i.e., indirect GHG emissions from the generation of purchased or acquired electricity, steam, heat, or cooling that is consumed by operations within the reporting company’s organizational boundary); and (3) an election to report, in the manner prescribed, Scope 3 emissions (i.e., indirect GHG emissions other than those classified in Scope 2, which occur in the upstream and downstream activities of the reporting company’s value chain). Topics addressed include:

Determining the reporting company’s organizational boundary under the equity share, financial control, or operational control approach.
Calculating GHG emissions and choosing a base year to track the emissions over time.
Distinguishing among the 15 categories of Scope 3 emissions.
Accounting for GHG emissions from leased assets.
Accounting for GHG reductions.

Also available is On the Radar, a high-level summary of key issues related to the accounting and reporting topics addressed in the Roadmap.

Be sure to check out other titles in Deloitte’s Roadmap series, our comprehensive, easy-to-understand collection of accounting guides on selected topics of broad interest to the financial reporting community.

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