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Greenhouse Gas (GHG) Inventory • GHG Protocol • EU CBAM Declaration • Product Carbon Footprint (PCF) Report • ESG Sustainability Report / IFRS (S1, S2
ISO 14064-1 vs. GHG Protocol: A Summary of Significant Differences
(1) Comparison of obvious differences between the two in the application field
Comparison of differences between ISO 14064-1 and GHG Protocol in application fields/data sources/summary of Bu-Jhen low-carbon strategies
(2) Comparison of the differences between the two in the greenhouse gas inventory by emission sources and scopes
ISO 14064-1 and GHG Protocol in Greenhouse Gas Inventory Classification/Data Source/Summary of Bu-Jhen Low-Carbon Strategy
(3) ISO14064-1 is mostly voluntary public disclosure or specific national policies require greenhouse gas registration and disclosure; The accounting and reporting required by specific international initiatives or projects for the GHG Protocol are as follows: (However, some initiatives accept ISO compatibility)
GHG Protocol is compiled by initiatives or project recommendations or requests/data sources/Bu-Jhen low-carbon strategies
ISO 14064-1 and GHG Protocol: Overview of the Greenhouse Gas Inventory Process
In global climate action, the accuracy and consistency of greenhouse gas (GHG) inventories are paramount. ISO 14064-1 and the GHG Protocol are two internationally recognized greenhouse gas inventory standards that provide a framework for organizations to inventory, report, and reduce greenhouse gas emissions. This article will delve into the key differences between these two sets of standards, helping organizations choose the right greenhouse gas inventory method for their specific needs.
1. Scope and objectives of the standard
ISO 14064-1 is published by the International Organization for Standardization (ISO) and focuses on the quantification, monitoring, and reporting of greenhouse gas emissions and removals at the organizational level. This standard provides a rigorous set of guidelines designed to improve the accuracy, transparency, and consistency of greenhouse gas data. ISO 14064-1 is particularly suitable for organizations that need to comply with international or regional regulatory requirements, and supports third-party verification to enhance the credibility of reports.
In contrast, the GHG Protocol, co-developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD), provides a comprehensive framework that includes organizational direct emissions (Scope 1), indirect energy emissions (Scope 2), and other indirect emissions (Scope 3). The goal of the GHG Protocol is to help companies gain a comprehensive understanding of their carbon footprint and promote greenhouse gas management and emission reduction in global supply chains.
2. Definition of organizational boundaries and emission scopes
Determining organizational boundaries is a crucial step in conducting greenhouse gas inventories. ISO 14064-1 determines organizational boundaries through control methods (operational control or financial control), which helps ensure accurate statistics of data and clear division of responsibilities. In addition, ISO 14064-1 focuses primarily on direct and indirect energy emissions, with less on other indirect emissions.
The GHG Protocol, on the other hand, requires organizations to consider emissions in all three areas, specifically Scope 3, which is the biggest difference between the GHG Protocol and ISO 14064-1. Scope 3 covers emissions from supply chains, product use, and other external activities, requiring organizations to conduct more extensive data collection and more complex calculations.
3. Calculation and Reporting Requirements
ISO 14064-1 has strict guidelines for the calculation and reporting of greenhouse gas inventories, emphasizing the need for regular recalculations to ensure data consistency. It also provides detailed guides on how to conduct uncertainty analysis and how to deal with bio-sourced emissions and geographically stored CO2.
The GHG Protocol provides a variety of calculation tools and guidelines to assist organizations in calculating and reporting emissions across various areas. Additionally, it encourages organizations to disclose their greenhouse gas reduction goals and effectiveness, further promoting corporate transparency and external accountability.
4. Verification and Audit
ISO 14064-1 emphasizes the importance of third-party audits to increase the credibility of greenhouse gas reports. It provides a detailed set of third-party audit criteria, including auditor qualifications, audit process, and audit report requirements.
GHG Protocol provides flexible verification options, allowing organizations to choose the appropriate verification method based on their specific circumstances. While the GHG Protocol encourages organizations to conduct third-party verification, it is not mandatory, providing greater flexibility in its applications.
The choice between ISO 14064-1 or GHG Protocol depends on the specific needs of the organization, the scope of the greenhouse gas inventory, and the regulatory requirements in the region. ISO 14064-1 is more suitable for organizations that require strict adherence to international standards and regulations, while GHG Protocol is suitable for businesses looking to fully understand their greenhouse gas impact and actively participate in climate action.
By understanding the differences and characteristics of these two sets of standards, organizations can more effectively formulate and implement their climate strategies and drive continuous environmental improvement and sustainable development on a global scale.
ISO 14064-1 and GHG Protocol Difference Table/Data Source/Bu-Jhen Low Carbon Strategy
ISO 14064-1 standard and GHG Protocol Differences and choices apply
I. What is the difference between ISO14064-1 and GHG Protocol?
ISO 14064-1 and the GHG Protocol share conceptual similarities, such as the division of direct and indirect emissions, but the GHG Protocol provides a broader breakdown of indirect emissions from the supply chain, making it more suitable for detailed and comprehensive greenhouse gas management by global enterprises. ISO 14064-1 places more emphasis on meeting regulatory requirements and the need for external verification.
1. Global Climate Challenges and Corporate Responsibility
As global climate change has increasingly severe impacts on the environment, society, and economy, companies and organizations are under increasing pressure to quantify, manage, and report their greenhouse gas (GHG) emissions. To address these challenges, several international standards have emerged to help businesses determine their carbon footprint and implement effective emission reduction strategies.
2. Development of both greenhouse gas inventory standards
2.1 Overview of the ISO 14064-1 standard
ISO 14064-1 is developed by the International Organization for Standardization (ISO) and is specifically used for greenhouse gas emission inventory and reporting at the organizational level. The standard is designed with diverse regulatory requirements in mind, emphasizing the rigor of verification and verification processes to ensure accuracy and transparency in reporting. It is particularly suitable for businesses that need to comply with country-specific regulations and is especially important for those organizations that need to conduct external audits and regulatory reporting.
2.2 Overview of GHG Protocol Standards
The GHG Protocol was jointly developed by the World Resources Institute (WRI) and the World Business Council Sustainability Project (WBCSD), providing a more comprehensive and flexible framework. It covers direct emissions (Scope 1), indirect energy emissions (Scope 2) and other indirect emissions (Scope 3), which are divided into 15 different categories, ranging from purchased goods and services to employee commuting and investment.
3. Differences in the scope of application of standards and verification and verification requirements
3.1 ISO 14064-1 Regulatory Compliance and Verification Requirements
ISO 14064-1 is generally used in situations that require strict compliance with regulations, mandating independent third-party verification to ensure accuracy and compliance with relevant regulations.
3.2 Flexibility and Global Consistency of the GHG Protocol
The GHG Protocol offers greater flexibility for businesses looking to report greenhouse gas emissions uniformly on a global scale. Encourage voluntary verification or third-party verification, enhancing transparency and global consistency in reporting.
4. Choosing the right standards to address global climate action
Companies should consider their own business needs, regulatory compliance requirements, and climate action goals when choosing these two standards. Both ISO 14064-1 and the GHG Protocol provide powerful tools to support companies in taking an active role in global climate governance, but their respective characteristics and focuses identify specific scenarios that apply. Through these tools, businesses can better quantify and manage their carbon footprint, driving sustained climate action on a global scale.
ISO 14064-1 and GHG Protocol Detailed Comparison Summary Table/Data Source/Summary of Bu-Jhen Low-Carbon Strategy
II .How to subdivide the actual differences between 64-1 & GHG Protocol?
Globally, climate change and greenhouse gas (GHG) emission management have become a major challenge and responsibility faced by enterprises. With the growing international call for climate action, two major international standards – GHG Protocol and ISO 14064-1 – have become essential tools for companies to conduct greenhouse gas inventories and reports. This article will delve into the key differences between these two standards and the factors that businesses should consider when choosing one.
1. Standard Overview and Scope Category
1.1 ISO 14064-1 (International Standard)
ISO 14064-1 is a greenhouse gas inventory and reporting standard developed by the International Organization for Standardization (ISO), focusing on greenhouse gas inventory at the organizational level, including the calculation, reporting, inventory and verification of emissions. This standard helps organizations establish internal mechanisms to quantify, monitor, report, and verify or confirm their greenhouse gas emissions and removals. ISO 14064-1 provides a framework for organisational greenhouse gas inventory and reporting, focusing primarily on direct and energy indirect emissions, without specifically breaking down other indirect emissions categories like the GHG Protocol. However, the main categories included in ISO 14064-1 include:
Category 1 - Direct Emissions: Facilities and equipment owned or controlled by the organization.
Category 2 - Category Energy Indirect Emissions: Purchased electricity, heat, or cooling energy consumed from consumption.
Other Indirect Emissions: ISO classifies other indirect emissions into categories 3~6 (Category 3~6) covering the sources of emissions indirectly controlled by enterprises, and these categories provide a framework to help organizations inventory and report greenhouse gas emissions that are not directly controlled by their own operations
Category 3-Category: Transportation Emissions
covers transportation activities that are not directly controlled by an organization's activities, including employee commuting, business travel, and transportation of products.
Category 4-Category: Upstream Activities Emissions
includes emissions generated by all upstream supply chain activities, such as raw material procurement, production process emissions, etc.
Category 5 - Category: Downstream Activities Emissions
refers to the emissions generated by an organization's products or services after they are sold to consumers during use and disposal.
Category 6-Category: Other
includes indirect emissions outside all other categories, such as leased asset emissions, investment emissions, etc., which may vary depending on the specific business model or industry characteristics of the organization. These categories mainly focus on emissions within the direct control of enterprises, and provide a general description of indirect emissions, without specifically subdividing them into diverse categories such as the 15 value chains in Scope 3 in the GHG Protocol. This approach focuses on providing a framework for organizations that require specific regulatory compliance and detailed reporting on both direct and partially indirect emissions.
1.2 GHG Protocol
The GHG Protocol is a comprehensive set of international standards jointly developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD) to help companies quantify, manage and report their greenhouse gas emissions.
The standard includes three main areas:
Scope 1 (Direct Emissions): Direct emissions, which come from facilities and activities controlled by the company.
Scope 2 (Indirect Energy Emissions): Indirect energy emissions, mainly referring to the emissions of purchased electricity, heat or cooling water.
Scope 3 (Other Indirect Emissions): Other Indirect Emissions, Scope 3 in the GHG Protocol covers other indirect emissions in an organization's supply chain, which do not originate from direct operational activities but have a significant impact on the organization's overall carbon footprint. Scope 3 is subdivided into the following 15 categories (Category1~15):
Purchased Goods and Services,
Capital Goods,
Fuel- and Energy-Related Activities Not Included in Scope 1 or Scope 2,
Upstream Transportation and Distribution,
Waste Generated in Operations,
Business Travel,
Employee Commuting)
Leased Assets (Upstream)
Downstream Transportation and Distribution
Processing of Sold Products
Use of Sold Products
End-of-Life Treatment of Sold Products
Leased Assets (Downstream)
Franchises
Investments
2. Core Differences and Applications
2.1 Scope of Application and Methodology
ISO 14064-1 provides rigorous guidance for voluntary disclosures, focusing on improving the accuracy and transparency of reporting, and is suitable for organizations that require public verification of reports. The GHG Protocol provides a framework that encompasses all possible emissions from the supply chain, making it ideal for large enterprises that require comprehensive greenhouse gas responsibility management and international advocacy organizations involved in the international supply chain.
2.2 Regulatory Basis and Compliance
The GHG Protocol is often regarded as the industry standard for international commercial greenhouse gas reporting, particularly in the supply chain and product life cycle assessment. In contrast, ISO 14064-1 is often used to meet the regulatory requirements of specific countries or regions, and its verification and confirmation process complies with international standards, and it is recommended to conduct verification and assurance through third-party verification bodies.
2.3 Verification and Credibility
ISO 14064-1 requires independent third-party verification to meet internationally recognized standards for accuracy and completeness, which is particularly important for government reporting or regulatory compliance. The GHG Protocol encourages businesses to conduct voluntary verification to enhance the credibility of their reporting.
3. Selection of Applicable Recommendations
Selecting appropriate greenhouse gas inventory standards should be based on the specific needs of the organization, including: Business scope:
Multinational corporations may prefer GHG Protocol due to its global versatility; Local companies may prefer ISO 14064-1 if they need to comply with local regulations.
Purpose of the report: If the goal is to increase transparency and participate in international initiatives, GHG Protocol may be more suitable; For compliance with regulations or government projects, ISO 14064-1 is more appropriate.
Stakeholder Requirements: The specific requirements of clients, investors, or regulatory bodies can also influence the choice of criteria.
In the context of global climate change, the greenhouse gas management strategies of enterprises and organizations need to be flexible and forward-looking. GHG Protocol and ISO 14064-1, as two major international standards, each have their own unique advantages and application scenarios. When choosing the right criteria for themselves, organizations should comprehensively consider the nature of their business, regulatory requirements, and future development strategies to ensure the effectiveness and sustainability of their greenhouse gas management and reporting efforts.
The concepts of scope and category in the GHG Protocol and ISO 14064-1 standards are confusing:
1.GHG Protocol divides greenhouse gas emissions into 3 categories:
Scope 1: Direct emissions
Scope 2: Energy indirect emissions
Scope 3: Other indirect emissions, and subdivides them into 15 categories (1-15)
2.ISOs 14064-1 divides emissions into six categories:
Category 1: Direct emissions (corresponding to Scope 1)
Category 2: Indirect energy emissions (corresponding to Scope 2)
Category 3-6: Other indirect emissions, including transportation, upstream/downstream, etc. (generally corresponding to Scope 3)
3.The two have different degrees of subdivision of indirect emissions (Scope 3/Category 3-6), and the GHG Protocol is more detailed.
4.The choice of which standard to use depends on the specific needs of the organization and applicable specifications.
In general, the two standards are similar in basic concepts, but the GHG Protocol has a more nuanced division of indirect emissions such as supply chains.
ISO 14064-1 and the GHG Protocol, while both designed to guide organizations in conducting greenhouse gas inventories and reporting, differ significantly in terms of implementation details, purpose, and regulatory adaptability. The GHG Protocol is more suitable for global businesses seeking to manage their carbon footprint holistically, while ISO 14064-1 is suitable for organizations that require strict compliance with specific regulations. The selection of suitable criteria should be based on the specific needs of the organization, the nature of the business, and regulatory requirements to ensure the effectiveness and sustainability of greenhouse gas management and reporting efforts.
ISO 14064-1 and GHG Protocol Difference Analysis/Data Sources/Summary of Bu-Jhen Low-Carbon Strategy
III .64-1& GHG Protocol
ISO 14064-1 and the GHG Protocol share conceptual similarities, such as the division of direct and indirect emissions, but the GHG Protocol provides a broader breakdown of indirect emissions from the supply chain, making it more suitable for detailed and comprehensive greenhouse gas management by global enterprises. ISO 14064-1 places more emphasis on meeting regulatory requirements and the need for external verification.
ISO 14064-1 and GHG Protocol Scope and Category Differences Table/Data Source/Summary of Bu-Jhen Low-Carbon Strategy
ISO 14064-1 Greenhouse Gas Classification/Data Source/Summary of Bu-Jhen Low Carbon Strategy
GHG Protocol Emission Scope and Category/Data Source/Bu-Jhen Low-Carbon Strategy Summary
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