Crack the Carbon Code
Creating Transparency Around Greenhouse Gas Emissions – with Janitza Solutions
Measuring and reducing greenhouse gas emissions is becoming increasingly important for companies. Economic and societal expectations play a role, alongside legal and regulatory requirements. As a result, more and more companies are systematically measuring and reporting their emissions.
A greenhouse gas inventory, such as a Corporate Carbon Footprint (CCF), provides the foundation for this. It creates transparency around emission sources, identifies reduction opportunities and supports the planning and evaluation of climate action measures. This requires emissions-related data to be collected and analysed in a structured manner.
A comprehensive greenhouse gas inventory considers different emission sources and perspectives across the entire value chain.
Measuring emissions requires a range of factors to be considered. These include, in particular, organisational and operational boundaries, emission scopes, and the reliable allocation of relevant consumption and emissions data.
System Boundaries
A greenhouse gas inventory should clearly define its scope and boundaries. This includes, in particular, the reporting period, the sites and organisational units covered, as well as the emission sources and activities included.
Scopes
Scope 1 covers emissions that directly arise from a company’s in-house activities, Scope 2 defines emissions which are not generated directly by the company but arise during generation of the energy that the company consumes, and Scope 3 covers all other indirect emissions that arise within the company’s value-added chain.
The Path to Greenhouse Gas Accounting Starts with Transparent Data
Effectively reducing greenhouse gas emissions requires a reliable data foundation. To achieve this, companies systematically collect relevant consumption and emissions data and analyse it in a clear and traceable way.
Energy consumption is an important starting point, including electricity, gas, heat and water. Suitable measurement technology captures this data and enables automated analysis. This creates transparency around consumption, helps identify emissions-related patterns and highlights potential measures.
Janitza supports companies with hardware and software solutions for the structured collection and analysis of energy and consumption data. Based on this information, companies can prepare emissions-related KPIs, identify potential for improvement and systematically develop their reduction measures.
The GHG Protocol, for example, can provide a methodological framework.
Regular greenhouse gas accounting helps track developments over time and makes progress on reduction measures transparent. Companies should also communicate their targets, underlying data and measures clearly and transparently.
Would you like to learn more about how Janitza collects energy and emissions data and the measures the company is taking to reduce emissions?
The ideal measurement device for every application
Janitza provides comprehensive solutions within the field of energy measurement technology. These cover suitable hardware and software, as well as services such as planning, installation and commissioning as well as training and customer support. Measurement devices measure electricity and voltage; they also record reactive power and power quality as well as monitor residual current.
In addition to data acquisition, Janitza provides fully integrated solutions for managing, monitoring and actively controlling load flows (active load management). This ensures the highest levels of security in the supply whilst also improving cost-effectiveness at the same time.
Clear data for CO2 accounting with GridVis®
Both hardware and software solutions are required for CO2 accounting, such as
Janitza measurement devices and data loggers for storing consumption data
Flow meters for liquids and gases (optional)
GridVis® software for energy and CO2 monitoring as well as connectivity to higher-order systems
GridVis® simplifies the complicated processes behind evaluating CO2 emissions. Data imports and inclusion of meters via Modbus enable integration of all energy sources and auxiliary materials into the software. Virtual devices mean that all consumption data can be converted directly into CO2 emissions and KPIs can be created for simple analysis of consumption, costs and CO2.
Our demo project enables you to get to grips with the features that GridVis® provides. This can be found under: https://www.GridVis-energy.de (Registration with user: demo, Password: demo). When in the CO2 Monitoring section you gain an insight into the dashboards for recording CO2 emissions, an overview of the different energy media and CO2 reductions.
From practical experience: Recording all company CO2 emissions worldwide
Data plays a key role in CO2 accounting. For this reason, generation of measured values on site and integration of such into a central database is the basis for further processing and analysis of such data. This demands not just precise coordination, but also needs standardized yet adaptable solutions that can handle such specific requirements. Janitza’s expertise in data acquisition for CO2 accounting as well as its hardware and software solutions provide everything you need to master such challenges.
A standardized system worldwide for locally storing energy consumption for production locations and development centers in various countries was developed and installed as part of a customer order for a company active worldwide with many different locations. In addition, Janitza provides services such as planning support, training and technical support.
Energy media: Electricity, Water, Gas, Heating, Compressed Air
System solution consisting of:
- Janitza measurement devices and data loggers
- Flow meters for gases and liquids
- GridVis® software for monitoring and data evaluation, networking is via OPC UA
Applied technology for measurement on three levels: Measurement technology is customized to the measuring ranges in question - from the infeed to the consumer - enables measurements at all levels.
Dashboards with GridVis®
Potential energy savings are shown with GridVis® software.
In addition, the measured parameters can be analyzed in order to detect potential production interruptions in good time and also to optimize the time for which operating equipment is used. This makes the scalable, user-friendly software perfectly suited for developing ISO 50001-compliant energy, RCM and power quality monitoring systems.
Overview of EU Sustainability Regulations
Companies in the European Union are facing new, comprehensive sustainability requirements. Several directives and regulations specify how sustainability aspects must be documented, assessed, and published. The aim is to create transparency and increase the comparability of companies.
Which regulations require CO2 balancing?
Corporate Sustainability Reporting Directive (CSRD)
For EU companies, based on the current status of the Omnibus package, generally applicable to companies with more than 1,000 employees and net turnover exceeding EUR 450 million.
For non-EU companies: applicable from EUR 450 million in net turnover generated in the EU, provided they have a relevant EU subsidiary or EU branch.
Carbon accounting: Yes, as part of sustainability reporting.
EU Taxonomy
All companies affected by CSRD.
CO2 Balance Obligation: Indirectly
Corporate Sustainability Due Diligence Directive (CSDDD)
Companies with more than 5,000 employees and global net turnover exceeding EUR 1.5 billion; for non-EU companies, those with net turnover exceeding EUR 1.5 billion in the EU.
EU Ecodesign Regulation
All manufacturers of products, with the exception of certain categories such as vehicles and products in the field of security and defense.
CO2 Balance Obligation: Indirectly
Definition
CSRD
The Corporate Sustainability Reporting Directive (CSRD) is the European framework for corporate sustainability reporting. It provides the basis for more standardised disclosure of sustainability information, based on the European Sustainability Reporting Standards (ESRS). Implementation is being phased in depending on company size, capital market status and regulatory scope. The Directive is currently being further developed as part of the Omnibus initiative. In addition, implementation timelines have changed as a result of the so-called Stop-the-Clock Directive.
CSDDD
The Corporate Sustainability Due Diligence Directive (CSDDD) extends the requirements to the entire value chain. It obliges companies to identify and manage human rights and environmental risks in their own activities, in subsidiaries, and among business partners. The aim is to identify abuses such as child labor, environmental pollution, or other negative consequences at an early stage and prevent them effectively. In addition, the Directive also sets out requirements for companies to strategically address climate-related transition pathways.
ESRS
The European Sustainability Reporting Standards (ESRS) specify the requirements of the CSRD. They define the relevant data points and are divided into general, environmental, social, and governance standards. This ensures that companies systematically consider sustainability aspects and can document their decisions in a transparent manner.
EU Ecodesign Regulation
The EU Ecodesign Regulation aims to reduce the environmental footprint of products and promote sustainable innovation. It sets requirements for the entire life cycle – from manufacturing and transport to operation, disposal, and recycling. In the future, all relevant information will be compiled in a digital product passport, making it transparent and traceable.
EU taxonomy
The EU taxonomy is closely linked to the CSRD. It serves as a classification system for sustainable economic activities. Companies that fall under the CSRD reporting requirements must classify their activities according to the EU taxonomy guidelines and report on them. This links environmental criteria and economic activities.
„Empowering Consumers for the Green Transition“ (EmpCo)
The EmpCo Directive is part of the EU Green Deal and strengthens consumer protection in relation to environmental claims. It aims to prevent misleading environmental and sustainability claims by requiring such statements to be clear, substantiated and verifiable. This helps create greater transparency and reliability in consumer communications.
Special requirements under the CSRD
Focus on double materiality
The CSRD follows the principle of double materiality, requiring companies to consider two perspectives. On the one hand, they assess how sustainability matters affect their financial position (the outside-in perspective). On the other, they assess the impact of their business activities on people and the environment (the inside-out perspective). Companies also provide information on sustainability targets, corporate governance and the material impacts of their business model. Strategy, opportunities and risk management also play an important role.
Mandatory Metrics and Early Preparation
Companies subject to reporting requirements disclose defined metrics, including greenhouse gas emissions associated with their business activities. Collecting, verifying and preparing this data can require considerable effort. It therefore makes sense to address the CSRD requirements at an early stage.
Energy Consumption and Greenhouse Gas Emissions
Energy consumption and greenhouse gas emissions play an important role under the CSRD. To obtain reliable data, companies need suitable organisational and technical systems in place. These can include energy measurement devices and software solutions that collect and analyse consumption data and support the structured preparation of emissions-related information.
Support from Janitza
Janitza supports companies with energy measurement and energy management solutions to help them address climate-related and regulatory requirements, including those associated with the CSRD. Measurement technology and software provide transparency into energy consumption and support the preparation of emissions-related data. In addition, Janitza can support projects from planning through to commissioning.
FAQ
What is CO2 accounting? What is the CO2 footprint?
CO2 accounting or greenhouse gas accounting establishes clarity regarding company emissions and is therefore the basis for measures in preparing and improving a climate strategy. It is the systematic accounting of greenhouse gas emissions. All greenhouse gases with such climatic effects are taken into account, these are noted as part of the Kyoto Protocol.
The following greenhouse gases are taken into account:
- Carbon dioxide (CO₂) (GWP=1)
- Methane (CH4) (GWP=25)
- Nitrous oxide/laughing gas (N2O) (GWP=298)
- Sulfur hexafluoride (SF6) (GWP=23.500)
- Fluorinated hydrocarbons (HFCs) (GWP between 140 and 7,000)
- Perfluorinated hydrocarbons (CnF2n+2 − PFCs) (GWP between 6,000 and 9,000)
- Nitrogen trifluoride (NF3) (since 2015) (GWP=17,200)
Although all greenhouse gases responsible for global warming are taken into account, the term CO2 accounting is used as carbon dioxide is used as a reference for all greenhouse gases. The values in brackets (GWP) represent the global warming potential of the gas in question, where CO2 is used with a reference value of 1, meaning that a GWP of 25 means that the gas has a global warming potential which is 25 times that of CO2. Other greenhouse gases are calculated in terms of CO2 equivalents (CO2e) so that they can be compared.
The CO2 footprint is the result of CO2 accounting. This provides information on the quantity of greenhouse gases which are emitted by a company, a product, a process, a project, or an event. The CO2 footprint is stated in what are known as CO2 equivalents (CO2e).
Janitza provides support in determining the KPIs for your CO2 accounting.
What is the difference between a corporate carbon footprint and a product carbon footprint?
Corporate Carbon Footprint (CCF)
In the Corporate Carbon Footprint all greenhouse gas emissions from a company over the course of a year are recorded and summarized as part of CO2 accounting. The individual CO2 footprint is an important, useful instrument for evaluating the company’s impact on climate. The CO2 footprint means suitable reduction targets and measures can be derived, then shown in the sustainability report.
In addition, the CO2 footprint means it is possible to quickly see which company areas release the most greenhouse gases and therefore where there is most potential for measures to reduce it. This is also of great importance in economic terms as the biggest drivers of emissions are also often the biggest cost drivers within a company.
The Corporate Carbon Footprint, which is recorded regularly, is therefore a key indicator in determining the progress and success of a company’s commitment to sustainability.
Product Carbon Footprint (PCF)
The Product Carbon Footprint (PCF), which is the CO2 footprint of products covers the accounting of greenhouse gas emissions along the entire service life of a specific product.
The Product Carbon Footprint takes a holistic perspective that applies from procurement of raw materials to delivery (“cradle-to-gate) and may also even take the service life and disposal of the product (“cradle-to-grave”) into account.
The CO2 footprint of your products can also be determined from your company’s CO2 accounting. This makes it possible for CO2 emissions to be quantified based on products or orders and also to itemize customer orders or services in terms of their CO2 emissions. As a company, you then provide your customers with the capability to contribute to climate protection in a targeted manner.
What do Scope 1, 2 & 3 mean?
Greenhouse gas accounting is the heart of corporate climate management, and it provides clarity regarding the key sources of emissions in a company as well as helping determine where potential reductions can be found. Around 75% of greenhouse gas emissions worldwide are the result of turning fuels such as coal, oil or natural gas into electricity, heat or fuels, meaning the biggest savings can also be found in this field.
Climate-based reporting for companies divides greenhouse gas emissions into 3 scopes:
- Scope 1: Emissions that arise directly from the company’s in-house activities (e.g. combustion of natural gas in stationary plants or the combustion of diesel in company vehicles)
- Scope 2: Emissions that are not directly generated by company activities but arise from the generation of energy consumed by the company (e.g. electricity and heating)
- Scope 3: Emissions that are caused by the company’s value-added chain such as those that arise due to the steel processed and manufactured within the company or from employees on their commute to work. Determining Scope 3 emissions is optional in some reporting standards.
Determining emissions is often a complex challenge requiring external support. However, the required KPIs can be determined with suitable measurement devices and software solutions. If energy management is well-established within the company then the additional work required for climate management is nominal, such as the parametrization of measurement devices in GridVis® software and extension of the CO2 dashboard.
Accounting can take place either at a corporate level (Corporate Carbon Footprint, CCF) or at a product level (Product Carbon Footprint, PCF). The GHG Protocol acts as a basis for such standards, as do ISO 14001, ISO 14064 and ISO 14067.
The CSRD requires comprehensive KPIs regarding energy consumption and greenhouse gas accounting from all companies that are subject to it. Janitza supports companies in determining these KPIs.
Which standards are relevant for effective climate management?
Climate management focuses on matters such as resources, waste water, and waste and is part of environmental management, which in turn is also part of sustainability management. Unlike other sectors such as energy management, there are currently no explicit standards set out for a structured climate management system.
However, the contents of an environment management system as per ISO 14001 can be included here. There are several different standards for calculating the Corporate Carbon Footprint (CCF) and Product Carbon Footprint (PCF), such as the GHG Protocol, ISO 14067 and ISO 14064. They are used as the most common fundamentals for CO2 accounting or for preparing a report or certificate.
The EMAS Directive (Eco-Management and Audit Scheme) is often the foundation of environmental management systems. It is a voluntary standard in environmental management and was developed by the European Union.
In addition, the Corporate Sustainability Reporting Directive (CSRD) from the EU monitors the publication of non-financial information, including climate data, for certain companies within the European Union.
Different standards within the fields of energy, climate and environmental management overlap in some areas. For example, the EMAS Directive also covers the basic contents of climate management. Requirements and standards can also vary depending on the region and industry in question.
How does my company benefit from recording and reducing CO2 consumption?
Greenhouse gas emissions must be reduced dramatically and climate protection measures must be taken to mitigate the effects of climate change as far as possible. Although sustainability has many different facets, climate protection along with energy consumption and greenhouse gas accounting has come to the forefront of public perception as well as the future CSRD Directive. Reducing CO2 emissions is one of the key factors in enhancing sustainability within the economy. Other benefits also become apparent:
- You gain clarity about emissions within the company
- You reduce energy costs and also lower consumption of resources - emission drivers are often cost drivers as well.
- You lower costs by reducing the proportion of emissions which ultimately have to be offset.
- You position yourself on the market as a sustainable company, increasing your appeal to customers, investors and the public at large. This safeguards your future viability.
- You safeguard a competitive advantage through long-term planning and integrating a climate strategy into your business model.
- Various funding models are linked to the sustainability of the company.
We already work with Janitza as part of energy management, can we also carry out climate management?
An existing energy management system is the foundation for developing a climate management system, as a major proportion of CO2 emissions is generated by generating energy for the company so that Scope 1 and Scope 2 are almost always fully present or can be determined relatively easily.
The additional expense for adding climate management to the mix is minimal, such as through parametrization of the measurement devices in GridVis® software and adding the CO2 dashboard.
Do you have any questions? Get in touch with us, here are your contacts.
How can we support you?
- Use of Janitza measurement devices means recording any emissions is much easier. GridVis® software helps record all relevant energy consumption, from electricity generated by steam, gas and oil to district heating.
- GridVis® software increasingly automates your work processes. That saves energy and money.
- You have a variety of functions for analysis, evaluation, creating KPIs as well as visualization of the data you have stored. Generate data and link it to a relevant concept.
- Reduce the workload needed to satisfy statutory requirements for providing evidence whilst increasing the sustainability of your company.
- You have complete flexibility: If you already use our software for energy management then you can also use it for climate-relevant tasks.
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