Posted: 06 / 10 / 2023

Article by: Neil McAdam, Senior Graphic Designer and Sustainability Officer at Sedulo.

Conversations about climate change and carbon emissions have become increasingly important in our rapidly changing world. You might have heard terms like “Scope 1,” “Scope 2,” and “Scope 3” thrown around, but what do they mean? Don’t worry; we’re here to break it down for you in simple terms.

Scope 1: Direct Emissions

Let’s start with the basics: Scope 1 emissions. These are the emissions that come directly from activities or sources that are under a company’s control. These emissions are produced on-site or within a company’s operations.

Common examples of Scope 1 emissions include:

  1. Fuel combustion: This includes the use of petrol or diesel to power vehicles, machinery, and heating systems within a company.
  2. Industrial processes: Emissions generated during specific manufacturing processes, like chemical reactions or the release of greenhouse gases during production.
  3. Fugitive emissions: These are unintentional leaks of gases like methane, which can occur from pipelines, storage tanks, or other equipment.

In essence, Scope 1 emissions are the emissions a company is directly responsible for and has control over reducing.

From our perspective, our emissions are negligible as we do not own any vehicles or use gas. 

Scope 2: Indirect Emissions

These emissions are indirect and come from energy a company uses but doesn’t produce itself, instead purchased from an external source. 

Common sources of Scope 2 emissions include:

  1. Electricity consumption: If a company relies on electricity from the grid, the emissions associated with generating that electricity are considered Scope 2 emissions.
  2. Steam or heat purchase: If a company buys steam or heat from an external provider, the emissions from producing that steam or heat also fall under Scope 2.

Reducing Scope 2 emissions often involves transitioning to cleaner sources of energy or improving energy efficiency.

All of our offices use energy suppliers compliant with the GHG protocol, the regulatory body for standardising for measuring and managing greenhouse gas emissions. As such, our emissions are negligible. 

Scope 3: Other Indirect Emissions

Scope 3 emissions are more complex because they cover a wide range of indirect emissions resulting from a company’s activities but outside their direct control. These emissions are often associated with the entire supply chain, from raw material extraction to product disposal and even consumers’ use of the company’s products.

Scope 3 emissions can include:

  1. Upstream emissions: These are linked to the extraction, production, and transportation of raw materials and resources used by a company.
  2. Downstream emissions: These occur after a product leaves a company’s control, such as emissions from the use, maintenance, and disposal of products by customers.
  3. Business travel: Emissions from employees travelling for work, such as flying or driving for meetings and conferences.
  4. Waste management: The emissions associated with waste disposal methods, like landfilling or incineration.

Understanding and managing Scope 3 emissions can be challenging because they often involve collaboration with suppliers and customers. However, addressing Scope 3 emissions is crucial for a comprehensive approach to sustainability.

Step one of tackling scope 3 emissions is to accurately measure them. At Sedulo, we can use our expense data and an annual commute habits survey to record employee-related emissions. We do not produce products; however, recording our inbound supply chain is achieved through our purchase order system. All of our locations have full recycling facilities either through the landlord or external waste management provider. 

In a nutshell, Scope 1, 2, and 3 emissions represent different aspects of a our carbon footprint. By recognising and addressing these emissions, businesses can take meaningful steps towards reducing their environmental impact and contributing to a more sustainable future. So, the next time you hear these terms, you’ll know exactly what they mean and why they matter!

*We work alongside the sustainability platform Zellar to track and report our Carbon Emissions.