By systematically collecting and evaluating all relevant sources of emissions, the company creates a transparent basis for its corporate carbon footprint
The carbon footprint measures the greenhouse gas emissions of all activities of an organization (Corporate Carbon Footprint, CCF), a product (Product Carbon Footprint, PCF) or a service (Event Carbon Footprint, ECF). It therefore enables the precise recording of the emissions emitted as a prerequisite for reducing and offsetting them. The materiality analysis is a decisive step in the creation of a carbon footprint. It forms the basis for collecting and evaluating a company's greenhouse gas emissions.
1. Definition of the organizational balance boundaries:
Determining which parts of the company are included in the balance sheet. This includes, for example, subsidiaries, joint ventures or operating sites. The GHG Protocol proposes three possible approaches to determine the organizational system boundaries: equity share, operational control and financial control, which are explained in the following table.
| Consolidation approach | Description |
| Equity share | Accounting for the emissions resulting from the activities of the individual companies with the share of its equity. |
| Operational control | Accounting for 100% of all emissions from companies over which operational control exists. |
| Financial control | Accounting for 100% of all emissions from companies over which financial control exists. |
2. Definition of the location hierarchy:
Determining how the various locations of the company are represented in the balance sheet. A decision is made as to whether the balance sheet relates to individual locations or to the entire corporate structure.
3. Definition of the operational balance sheet boundaries:
Determining which activities and processes within the company are included in the balance sheet. This can include production, transportation, energy consumption and other operational processes.
- Determination of the balance sheet year and base year:
Determination of the period for which the balance sheet is prepared (balance sheet year).
Definition of a base year, which serves as a reference point for measuring emission reductions. - Determination of responsibilities:
Assignment of responsibilities for the various tasks and processes within the project. This ensures that all relevant data is collected and processed correctly.
Conclusion
The materiality analysis is an integral part of preparing a carbon footprint. By systematically collecting and evaluating all relevant sources of emissions, the company can develop and implement targeted measures to reduce its greenhouse gas emissions. The onboarding process forms the basis for a transparent and comprehensive carbon footprint.