Here at Drumbeat, we are firm believers in prior planning! As news of the forthcoming mandatory Greenhouse Gas (GHG) Emissions reporting for all listed companies hits the business press, we thought we would compile a handy checklist for those that need to comply.
Determine your reporting period.
GHG mandatory reporting starts on 1st Oct 2013. You need to know when your organisation’s financial year end is to determine your reporting period, although a different period can be used with majority of the emissions falling within the period in directors’ report.
- If your usual financial year is from01 January to 31 December, your first reporting year under the regulation will be01 January 2013 to 31 December 2013.
- If your usual financial year is from01 April to 30 March, your first reporting year under the regulation will be01 April 2013 to 30 March 2014.
- If your usual financial year is from01 October to 30 September, your first reporting year under the regulation will be01 October 2012 to 30 September 2013.
Establish your GHG Reporting boundaries.
Do you know your organisation’s annual reporting boundaries (National and International)?
Your group financial director or company secretary will have this information. It will be essentially all groups of companies/subsidiaries.
Identify your emissions streams early
Within the boundaries covered by – scopes 1(Direct) & scopes 2(Indirect),that your organisation is responsible for.
You will be required to identify the 6 Kyoto Green House Gases
- Carbon Dioxide (CO2)
- Methane (CH4)
- Hydrofluorocarbons (HFCs)
- Perfluorocarbons (PFCs)
- Nitrous Oxide (N2O)
- Sulphur Hexafluoride(SF6)
Set up a system to collate all the required emissions information
The responsible person(s) or team in your organisation will be required to set up a system (such as using a spreadsheet and naming key contacts) to collect raw emissions data from all your group companies and subsidiaries within the boundary.
Quantify and calculate the emissions stating the GHG emissions in tonnes of Carbon Dioxide equivalent (CO2e)
It is essential that the correct data is collected, so that the appropriate conversion factors can be applied to give the correct amount of emissions. There is no prescribed method of calculations under the regulations, but for effective emissions management and transparency in reporting, it is important that robust and accepted methods are used.
Be prepared to state the methodology used, explain reasons and justify actions taken when reporting.
If you are doing this in advance, make sure you state this at the beginning of the process. In some cases where the data is not available in the suggested format, estimations/justification for the emissions will be required. In summary, failing to comply with any of the reporting requirements will require an explanation.
Process collected data and report the organisation’s emissions
Once all data has been collected, processed, explained and calculated, it will have to be published. You will be required to report your total emissions. You may also report emissions intensity or other key performance indicators that may show the emissions of the organisation in a different light.
REMEMBER:If you are unsure where to start to comply with the mandatory GHG reporting regulations, we can help you. The first step is the easiest – talk to us on 020 7078 4103 or email us at email@example.com