In recent years, there has been a growing awareness of the need to address environmental, social, and governance (ESG) issues.
While companies have traditionally focused on their own direct emissions and operations (Scope 1 and Scope 2), there is a significant opportunity to drive positive change by also considering the impact of their value chain and consumer behavior (Scope 3).
ESG Scope 3 goals refer to the greenhouse gas (GHG) emissions generated by a company’s value chain, including its suppliers, customers, and end-users.
These emissions are often indirect and can be challenging to measure and control. However, addressing Scope 3 emissions is crucial for companies that want to take a comprehensive approach to sustainability.
Benefits of Addressing Scope 3 Emissions
By addressing Scope 3 emissions, companies can demonstrate their commitment to sustainability and responsible business practices. This can enhance their reputation among consumers, investors, and other stakeholders.
By understanding and managing Scope 3 emissions, companies can identify potential risks and vulnerabilities in their value chain. This allows them to mitigate these risks and ensure the long-term resilience of their operations.
Addressing Scope 3 emissions can lead to cost savings through increased energy efficiency, waste reduction, and improved supply chain management.
As governments around the world implement stricter environmental regulations, companies that proactively address Scope 3 emissions are better positioned to comply with these requirements.
Challenges in Setting Scope 3 Goals
Setting Scope 3 goals can be complex due to the diverse nature of emissions sources within a company’s value chain. Some challenges include:
Collecting reliable and accurate data on Scope 3 emissions can be challenging, especially when dealing with multiple suppliers and partners.
Determining the boundaries of a company’s value chain and identifying which emissions sources to include in Scope 3 calculations can be subjective and require careful consideration.
Influence Versus Control
Companies often have limited control over the emissions generated by their suppliers and end-users. Finding ways to influence these stakeholders effectively is crucial for achieving Scope 3 goals.
Single-use plastics are a major contributor to marine pollution. They often end up in water bodies, where they break down into smaller microplastics that can harm marine life through ingestion or entanglement.
Plastic items contribute to overflowing landfills, taking decades or even centuries to decompose fully. This results in environmental degradation, soil contamination, and greenhouse gas emissions from decomposing organic waste.
To address the environmental impact of plastic and styrofoam items, it is crucial to explore alternatives that promote sustainability and circular economy principles.
Switching to tree-free coffee cups with cornstarch lining is a giant leap forward as 6.5 million trees are cut down every year for coffee cups. You are contributing to ending deforestation, which results in increased carbon capture while using a compostable option.
Cutlery and Utensils
Providing cutlery options or promoting that are compostable can help reduce the reliance on disposable plastic utensils.
From toilet tissue to paper towels, your choices go a long way. At Emerald Ecovations, we make it easy for you to make responsible choices.
Sustainable Packaging Materials
Companies can explore alternatives such as biodegradable materials or packaging made from recycled materials.
Reducing excessive packaging and using minimalist designs can minimize waste generation while still protecting products during transportation.
Companies Leading the Way
Several companies have recognized the importance of addressing Scope 3 emissions and reducing single-use items. Here are some notable examples:
This outdoor clothing company has implemented initiatives to reduce waste throughout its value chain, including reducing packaging materials and encouraging customers to repair clothing instead of purchasing new items.
IKEA aims to become a circular business by 2030, focusing on product design, waste reduction, and recycling initiatives.
Unilever has set ambitious targets to reduce its Scope 3 emissions, working closely with suppliers and investing in sustainable sourcing practices.