When it comes to corporate sustainability, Scope 3 emissions are the elephant in the room. Unlike Scope 1 (direct emissions from owned assets) or Scope 2 (indirect emissions from purchased energy), Scope 3 emissions encompass all indirect emissions from the production of raw materials to the disposal of products by consumers. This complexity, coupled with the fact that you’re not in direct control, makes them challenging to measure and even harder to reduce.
However, tackling Scope 3 emissions is essential for businesses aiming to achieve net-zero goals and maintain credibility in their sustainability efforts. Here are some actionable steps your company can take to start making a meaningful impact.
Measure and Map Your Emissions
You can’t reduce what you can’t measure. The first step in tackling Scope 3 emissions is to conduct a thorough assessment of your supply chain, if you’d prefer. This includes:
Identifying emission sources: Break down your activities into categories such as upstream emissions (purchased goods, transportation, etc.) and downstream emissions (product use, disposal, etc.).
Collecting data: Work with suppliers and partners to gather data on raw materials, manufacturing processes, and logistics. Where exact data isn’t available, use industry averages or estimation tools.
Prioritising hotspots: Focus your efforts on the largest contributors to your Scope 3 emissions, as these will yield the greatest impact when addressed.
Engage Suppliers and Build Partnerships
A significant portion of Scope 3 emissions comes from suppliers, so of course collaboration is key.
Set expectations: Clearly communicate your sustainability goals and establish requirements for lower-carbon materials and processes.
Offer support: Provide resources, training, or financial incentives to help suppliers adopt sustainable practices.
Collaborate on innovations: Work together on new technologies, such as using recycled materials or more energy-efficient manufacturing methods.
Building a sustainable supply chain requires transparency and trust, so maintaining an open dialogue with suppliers is crucial.
Optimise Product Design
Reevaluating the design and lifecycle of your products can significantly reduce downstream emissions.
Use sustainable materials: Opt for recycled, renewable, or lower-impact materials where possible.
Improve energy efficiency: Design products that require less energy during their use phase.
Extend product lifespan: Encourage repairability and durability to minimise waste and the need for replacements.
Plan for circularity: Design with end-of-life in mind, ensuring products can be recycled, reused, or remanufactured.
Reduce Business Travel and Employee Commuting
While Scope 3 emissions from employee activities may seem minor, they’re an easy target for reductions.
Adopt remote work policies: Reduce emissions from commuting by offering hybrid or fully remote work options.
Promote sustainable transport: Incentivise public transport, carpooling, or the use of electric vehicles for commuting.
Use virtual meetings: Minimise business travel by embracing video conferencing and other digital collaboration tools.
Shift to Sustainable Logistics
Transportation and distribution are another major source of Scope 3 emissions. To address these:
Optimise routes: Use data and analytics to plan more efficient shipping routes.
Partner with green carriers: Work with logistics companies that prioritise fuel efficiency or use electric and hybrid fleets.
Consolidate shipments: Reduce the number of trips by shipping in bulk or maximising truckloads.
Explore low-carbon options: Investigate alternative transportation methods such as rail or sea freight, which often have lower emissions than air transport.
Empower Consumers
Reducing emissions doesn’t stop at the point of sale. You can influence the way your customers use, maintain, and dispose of your products.
Educate users: Provide guidance on how to use your products more efficiently, reducing energy consumption and emissions.
Facilitate recycling: Make it easy for customers to recycle products by offering take-back schemes or clear disposal instructions.
Promote low-impact choices: Highlight sustainable product lines and incentivise customers to choose them.
Leverage Technology and Innovation
Investing in technology can help you better understand and reduce your Scope 3 emissions.
Carbon tracking tools: Use software to measure and monitor emissions across your value chain.
Lifecycle analysis (LCA): Assess the full environmental impact of your products from cradle to grave.
Innovative solutions: Stay informed about new technologies like carbon capture, sustainable fuels, and advanced recycling methods.
Having clear targets keeps your company accountable and motivated. Set science-based targets that align your reduction goals with global climate targets, such as limiting warming to 1.5 degrees Celsius – something which as a planet we seem to be struggling with, given that it’s recently been confirmed that most days in 2024 were more than 1.5 degrees Celsius above the pre-industrial average. (BBC - https://www.bbc.co.uk/news/articles/cd7575x8yq5o)
It's vital that organisations that are serious about sustainability, and particularly scope 3 emissions, regularly assess progress and publish transparent sustainability reports. Continuously refine your approach as new data, technologies, and opportunities arise.
Reducing Scope 3 emissions may be challenging, but it’s also an opportunity to create lasting value for your business, the environment, and society. By working collaboratively with suppliers, innovating in product design, and empowering customers, your company can make significant progress towards a more sustainable future.
Compliance is one thing, but drawing attention to and reducing scope 3 emissions is an important part of a wider societal shift to looking at sustainability more holistically. Planting a tree or using paper packaging is meaningless if you’re not scrutinising the rest of your supply chain.
Traffi are continually making improvements throughout our supply chain, because our responsibility goes beyond protecting the hands of operatives around the world. As part of a global community, looking after the planet is everyone’s job, so let’s work together.
If you have any questions on this topic (or any other topic), send it across to [email protected] or, alternatively, you can pick up the phone and ask us on +44 1344 207090!