BIFAlink February 2024

Sustainable Logistics

Scope 3 emissions: A crucial guide for freight forwarders

combustion processes and company vehicles. • Scope 2 emissions: Indirect emissions generated by the production of the electricity, heat or steam purchased and consumed by the company. • Scope 3 emissions: All other indirect emissions that occur in a including emissions from suppliers, transportation, distribution and the use of products. Focusing on scope 3 emissions Scope 3 emissions encompass the company’s value chain, both upstream and downstream, entirety of a company’s supply chain emissions, which for many businesses constitutes about 80% of their total carbon footprint. They are a major contributor to climate change but are also the most

What are scope 3 emissions and why do freight forwarders need to worry about measuring them for their clients?

B IFA is aware that sustainability regulations and consumer pressure are compelling businesses to measure their scope 3 emissions. But what are scope 3 emissions, and why do freight forwarders need to worry about measuring them for their clients? Before we dive into the world of scope 3 emissions, it is essential to understand the broader context of greenhouse gas (GHG) emissions. What are greenhouse gas emissions? GHG emissions are gases that trap heat in the Earth’s atmosphere contributing to the greenhouse effect and global warming. Over

the last 150 years, human activity, including the transport of freight, has greatly increased the output of GHG emissions, accelerating global warming to levels that, if not reduced, will have profound and long-lasting negative impacts on Earth’s weather patterns and ecosystems. What are the emissions scopes? The Greenhouse Gas Protocol, categorises emissions into three scopes: • Scope 1 emissions: Direct emissions produced by a company’s owned or controlled sources, such as on-site

“ Scope 3 emissions encompass the entirety of a company’s supply chain emissions

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