Decarbonization: what it is and why it matters
1 min
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What is decarbonization, and why is it urgent? Learn practical steps companies can take to support the global move toward net zero emissions.
What is the Greenhouse Gas Protocol (GHG Protocol)?
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By Kara Anderson, UK Copywriter, on 09/14/2026
Updated by Agnès Potier-Murphy
The Greenhouse Gas Protocol (GHG Protocol) is the accounting framework most US companies turn to when they need a way to measure greenhouse gas emissions that investors, regulators, and customers will actually trust. With no single federal reporting mandate in place, the GHG Protocol has become the de facto common language for corporate climate data, whether a company is responding to an investor questionnaire, a customer’s supply chain audit, or a state-level disclosure law.
That holds true whether you’re a Fortune 500 manufacturer or a mid-sized logistics company just getting started: the same categories and definitions apply either way, which is what lets one company’s numbers be compared against another’s, or against a regulator’s expectations, rather than everyone inventing their own method.
Co-created in the late 1990s by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD), the protocol emerged just as climate action was gaining international momentum. Today, it’s the foundation of most carbon reporting systems, underpinning CDP disclosures, ESG strategies, and national climate plans alike.
From tracking emissions from company vehicles to mapping the carbon footprint of global supply chains, the GHG Protocol gives organizations a way to turn complex climate impacts into actionable data.
In this article, we'll
Explain what the Greenhouse Gas Protocol is, why it was created, and why it matters
Break down the differences between Scope 1, Scope 2, and Scope 3 emissions
Outline the main GHG Protocol standards used by organizations
Show how businesses can apply the protocol to meet regulations and take meaningful steps toward reducing their environmental impact
What is the Greenhouse Gas Protocol? A quick overview
Often shortened to the GHG Protocol, the Greenhouse Gas Protocol is the world’s leading standard for measuring and managing greenhouse gas emissions. Companies, government agencies, and nonprofits all use it as a common framework for tracking emissions across their operations, supply chains, and climate programs.
It goes well beyond a reporting checkbox.
At its foundation, the GHG Protocol shows organizations exactly where their emissions originate and what levers exist to bring them down. It converts scattered, hard-to-compare climate data into standardized metrics that make targeted action possible.
So why does this matter so much? Because cutting greenhouse gas emissions is essential to slowing global warming and steering clear of the worst effects of climate change. But without a reliable way to measure those emissions in the first place, any reduction target is little more than a guess.
This is exactly the gap the GHG Protocol fills. It gives organizations a way to build a detailed carbon inventory and, just as importantly, to figure out which parts of that footprint are worth tackling first. And because the standards it sets are recognized internationally, the resulting numbers hold up across sectors and borders: transparent, credible, and comparable.
Consider the numbers: according to the GHG Protocol itself, 97% of disclosing S&P 500 companies reported to CDP using the Greenhouse Gas Protocol (2023 data, the most recent available) – a strong signal of just how central this framework has become to corporate emissions reporting.
What is the purpose of the GHG Protocol?
Measuring greenhouse gas emissions is only step one. The real value of the GHG Protocol lies in what companies do with that data: building climate strategies that hold up, driving real accountability, and turning stated ambition into real action.
Core purpose
A practical foundation for climate strategy
Rather than abstract principles, the protocol provides concrete standards organizations can apply directly, turning raw emissions data into decisions: which targets to set, how to report progress credibly, and how to keep stakeholders engaged along the way.
Evolving frameworks
Built to keep pace with new challenges
The GHG Protocol hasn’t stood still. Its frameworks now stretch from product-level value chain emissions to city and regional mitigation planning, making it as relevant to a manufacturing company as it is to a municipal government.
Broad impact
Reach across the full value chain
Because it spans both direct and indirect emissions (Scopes 1, 2, and 3), the framework pushes organizations to look past what they control on-site and toward the parts of their footprint, often the largest, that sit upstream or downstream.
Driving results
A data-first path to real reductions
By grounding climate action in consistent data rather than good intentions, the GHG Protocol helps organizations move from stated ambition to measurable, accountable progress toward global emissions goals.
A brief history of the GHG Protocol
The GHG Protocol didn’t appear overnight. It took shape gradually, evolving alongside decades of growing climate awareness and reporting demands. Here’s a look at the milestones that turned it into the global benchmark for greenhouse gas accounting:
1997
Kyoto Protocol sparks change – global attention on climate change grows, highlighting the need for a standardized way to track emissions.
1998
Development begins – WRI and WBCSD launch a joint initiative to create a global GHG accounting framework.
2001
First Corporate Standard released – providing businesses with a consistent methodology to measure and report emissions.
2004
Revised Corporate Standard published – expanding corporate emissions accounting guidance and strengthening the framework for organizational reporting.
2011
Scope 3 Standard introduced – enabling companies to account for indirect emissions across suppliers, logistics, and product lifecycles.
2014–2019
Expansion to sectors and cities – new standards for product life cycle accounting and city-wide emissions planning, the 2015 Scope 2 Guidance introducing location-based and market-based electricity accounting methods, mitigation goal standards, and PCAF partnerships.
2015
Scope 2 Guidance released – introducing location-based and market-based electricity accounting methods.
2026
Land Sector and Removals (LSR) Standard introduced – providing guidance for accounting for land-use emissions and carbon removals.
Today
The global gold standard – used by thousands of organizations, forming the backbone of ESG frameworks and climate policies worldwide.
How does the GHG Protocol work?
The Greenhouse Gas Protocol is best known for its system of categorizing GHG emissions into Scope 1, 2, and 3 - a framework now used around the world to help organizations structure their carbon reporting.
That’s really just the entry point, though. Over the years, the Protocol has built out a much wider toolkit of standards designed to guide climate action across very different sectors and use cases.
Beyond the scopes:
🏢
Beyond Scope 1, 2, and 3, the Protocol has grown into a wider family of standards, covering everything from product life cycles to national policy.
🔄
And it keeps evolving: standards get revised regularly to keep pace with new climate science, policy shifts, and industry practice.
Example of evolution
One example: in 2019, the GHG Protocol partnered with the Partnership for Carbon Accounting Financials (PCAF) to build a methodology that helps banks and investors measure the emissions tied to their lending and investment portfolios, a critical step in getting the finance sector aligned with climate goals.
It’s also mid-update right now: the Corporate Standard, Scope 2 Guidance, and Scope 3 Standard are all going through a multi-year revision process aimed at keeping pace with newer climate disclosure frameworks and tackling thorny issues like electricity accounting and value-chain emissions reporting. Draft versions started rolling out in 2024–2025, with final updates expected later in the decade.
Supporting tools and guidance
To make reporting easier and more accurate, the protocol also provides:
- Practical guidance documents
- Calculation tools
- Training programs for organizations of all sizes
Since the Paris Agreement was signed in 2015, the GHG Protocol has expanded to help not only businesses but also governments, cities, and public sector bodies track their progress toward climate goals.
Understanding the GHG Protocol Scopes: Scope 1, 2, and 3 emissions
Before a company can build a reliable greenhouse gas inventory, it needs a clear way to sort emissions into categories, which is exactly what the GHG Protocol’s scope system is designed to do.
Scope 1, 2, and 3 each capture a different slice of an organization’s emissions footprint, spanning direct operations all the way through the value chain. Together, they’ve become a global benchmark for carbon accounting, used in most emissions reporting frameworks today.
Getting a handle on these scopes is what makes it possible to set science-based targets, decide where to focus reduction efforts, and track progress accurately over time.
🏭 Scope 1: Direct emissions
These are GHG emissions that come directly from sources a company owns or controls.
Think company-owned vehicles burning fuel, on-site manufacturing equipment, or a facility’s heating system.
If your company is burning fuel or releasing gases on-site, that’s Scope 1.
💡 Scope 2: Indirect emissions from energy use
Scope 2 refers to emissions that occur off-site but are tied to the energy a company purchases and consumes.
In practice, this usually means the electricity, steam, heat, or cooling a company purchases to run its offices, factories, or data centers.
📍 Location-based method: reflects the average emissions intensity of the electricity grid emission factors.
📑 Market-based method: reflects contractual instruments such as renewable energy certificates (RECs), guarantees of origin, or supplier-specific electricity contracts.
🌍 Scope 3: Indirect emissions across the value chain
Scope 3 emissions are the most wide-ranging and often the most significant.
This catch-all category covers every other indirect emission tied to a company’s activities but produced by sources it doesn’t own or control directly.
It spans a huge range: raw material production, shipping and logistics, employees commuting to work, how customers use the product, and what happens to it once it’s thrown away.
What this scope-based structure really does is give organizations clear boundaries for their reporting, while also making it possible to compare progress consistently across industries, so it’s easier to see where reduction efforts will actually move the needle.
What are the different GHG Protocol Standards?
It helps to think of the GHG Protocol less as a single rulebook and more as a growing family of standards, each built to serve a different need as organizations measure and manage their emissions.
While the Scope 1, 2, and 3 framework offers a high-level view of emissions sources, these standards provide the technical guidance needed to apply that framework in practice. They support everything from corporate carbon reporting and product-level assessments to national climate policies and city-wide decarbonization plans.
Each one is built to solve a specific problem, whether that’s gauging the impact of a climate policy, mapping a supply chain’s carbon footprint, or designing a lower-emissions product.
Let’s take a look at the key standards and how they’re used:
🏢 Corporate Accounting and Reporting Standard
📊 The foundation for measuring GHG emissions at the organizational level
🧭 Explains how to define organizational and operational boundaries, categorize emissions sources, and maintain data quality over time
🌍 Used not only by companies, but also by government agencies, non-profits, and academic institutions for transparent carbon reporting
⚠️ Especially relevant in high-emissions sectors such as manufacturing, transport, and fossil fuel-dependent industries
🔗 Corporate Value Chain (Scope 3) Standard
🌍 Helps organizations measure indirect value chain emissions, which are often the largest and hardest to quantify
📦 Covers 15 categories, from purchased goods and employee commuting to product disposal and end-of-life impacts
🔍 Helps companies identify emissions hotspots and choose more effective reduction strategies
📈 Increasingly important as disclosure frameworks push for more transparent Scope 3 reporting
📦 Product Life Cycle Standard
🧮 Designed for businesses that want to understand the full climate impact of individual products
♻️ Provides a methodology for calculating emissions from raw material extraction through to end-of-life disposal
🛠️ Helps embed carbon analysis into product design and development decisions
💡 Can help reduce both emissions and costs while meeting demand for more sustainable products
🌱 Project Protocol
⚙️ Used when organizations want to quantify emissions reductions from specific climate mitigation projects
🔋 Relevant for initiatives such as renewable energy installations, energy efficiency upgrades, and reforestation
📉 Compares project results against a baseline or “business as usual” scenario
✅ Helps public and private sector actors demonstrate climate impact credibly
🏙️ Global Protocol for Community-Scale GHG Emission Inventories (GPC)
🌆 Helps cities, states, and regions measure emissions across buildings, transport, waste, and industry
📍 Particularly important because cities are responsible for a large share of global emissions
📊 Enables consistent and comparable emissions data across local jurisdictions
🤝 Supports urban climate planning, progress tracking, and collaboration between governments
🎯 Mitigation Goal Standard
🗺️ Helps governments track progress towards long-term emissions reduction targets
📜 Relevant for commitments such as Nationally Determined Contributions under the Paris Agreement
📈 Provides a structured way to assess whether policies and actions are delivering expected results
🔍 Supports transparent reporting to national and international stakeholders
🏛️ Policy and Action Standard
⚖️ Helps decision-makers evaluate the likely emissions impact of climate policies and programs
🏗️ Useful for comparing interventions such as renewable energy subsidies, building codes, or carbon pricing
📐 Provides a consistent methodology to estimate and compare policy effectiveness
📣 Helps policymakers improve planning and communicate expected outcomes to the public and investors
🌿 Land Sector and Removals Standard (LSR)
🌱 Version 1.0 provides guidance for accounting for emissions and carbon removals linked to agriculture and CO2 removal technologies; forestry is expected to be addressed in a future version
🌍 Helps organizations report land sector emissions alongside broader corporate climate data
🧮 Supports more consistent accounting for removals, sequestration, and land-related emissions sources
📈 Increasingly relevant for companies and institutions in agriculture and carbon removal, with forestry expected to be addressed in a future version
GHG Protocol standards at a glance
| Standard | Purpose | Scope / Focus | Who uses it | Key features |
|---|---|---|---|---|
|
🏢 Corporate Standard
|
Develops a complete GHG inventory | Scope 1 & 2 | Companies, NGOs, and public institutions | Defines boundaries, classifies emissions, sets base year, and tracks performance |
|
🔗 Scope 3 Standard
|
Measures emissions across supply chains and product lifecycles | Scope 3 | Corporations and large organisations | Covers 15 categories; focuses on indirect emissions across value chains |
|
📦 Product Standard
|
Assesses emissions of individual products | Product lifecycle | Manufacturers, retailers, and design teams | Informs product development and emissions reduction strategies |
|
🌱 Project Protocol
|
Calculates emissions reductions from specific initiatives | Project-level | Corporations, local authorities, developers | Applies to renewable energy, reforestation, efficiency upgrades, and more |
|
🏙️ GPC for Cities
|
Tracks emissions at the city or regional scale | Community-level | Cities, states, and national governments | Supports local climate planning and benchmarking |
|
🎯 Mitigation Goal Standard
|
Evaluates progress against climate targets | National/regional goals | National and sub-national governments | Designed to align with the Paris Agreement and NDCs |
|
🏛️ Policy and Action Standard
|
Estimates the GHG impact of policy decisions | Government action | Policymakers and regulators | Helps compare options and improve accountability |
|
🌿 Land Sector and Removals (LSR) Standard
|
Accounts for emissions and removals linked to agriculture and CO2 removal technologies | Agriculture / removals (v1.0) | Companies in agriculture and carbon removal (forestry expected in a future version) | Supports consistent accounting for removals, sequestration, and land-related sources |
Why do businesses rely on the GHG Protocol for carbon reporting?
Climate targets are quickly becoming a necessity for businesses. Investors want transparency, customers expect climate action, and regulators are introducing tougher disclosure rules.
Companies trying to future-proof their operations in a low-carbon economy need something practical and credible to build on, and that’s exactly what the GHG Protocol provides: a consistent framework for measuring and reporting emissions that turns good intentions into decisions backed by real data.
Here’s how the GHG Protocol helps businesses stay ahead:
Turns Scope 1, 2, and 3 data into a prioritized action list
Because the GHG Protocol breaks emissions into specific Scope 1, 2, and 3 categories, companies can see exactly which parts of their footprint (a fleet of trucks, a single facility, a category of purchased goods) are worth tackling first, instead of spreading limited budget across everything at once.
Builds trust with investors, customers, and stakeholders
Transparent reporting backed by a globally recognized standard helps companies demonstrate accountability, especially as investor enthusiasm for ESG faces real headwinds. EY’s 2024 Institutional Investor Survey found that 92% of investors weren’t willing to sacrifice short-term performance for longer-term ESG gains, even though 88% said their firms were using more ESG data than the year before.
Aligns with ESG frameworks and global standards
You’ll find the GHG Protocol baked into a long list of major sustainability initiatives and disclosure frameworks, among them:
- Science Based Targets initiative (SBTi) – requiring Scope 1–3 reporting
- Global Reporting Initiative (GRI) and SASB – using GHG Protocol principles
- International Sustainability Standards Board (ISSB) climate disclosures under IFRS S2
- European Sustainability Reporting Standards (ESRS) under the EU’s Corporate Sustainability Reporting Directive (CSRD), now scoped by the 2026 Omnibus I reform to companies with more than 1,000 employees and over €450 million in turnover
- State climate disclosure laws such as California’s SB 253 and SB 261
Frameworks like CDP and the Science Based Targets initiative are essentially built on top of GHG Protocol principles, though nothing stops a company from applying the GHG Protocol directly to build its own emissions inventory and set science-based targets.
Prepares companies for compliance and climate risk disclosure
With governments rolling out stricter reporting requirements, including new rules on climate-related financial disclosures, companies need an emissions reporting method that’s both consistent and auditable. That’s precisely what the GHG Protocol delivers.
Drives product innovation and market opportunities
Once a company can see the full emissions footprint of a product or service, it can make smarter calls on design, sourcing, and production, often cutting both emissions and costs in the process. That same product-level visibility also helps brands keep up with rising consumer demand for sustainability.
How can companies implement GHG Protocol Standards?
The GHG Protocol gives companies a genuine tool for cutting greenhouse gas emissions, but figuring out where to start and how to put the standards into practice can still be a challenge.
Here’s a practical roadmap to help companies embed the GHG Protocol into their climate strategy:
1. Choose the right standard for your business
The first move is figuring out which standard, or combination of standards, actually fits your company’s goals, size, and emissions profile.
| If your company needs to... | Use this standard |
|---|---|
|
Build a foundational emissions inventory
|
🏢 Corporate Standard |
|
Measure and manage supply chain emissions
|
🔗 Value Chain (Scope 3) Standard |
|
Understand the full carbon footprint of a product
|
📦 Product Standard |
|
Quantify emissions reductions from a specific project
|
🌱 Project Protocol |
|
Track progress against long-term climate targets
|
🎯 Mitigation Goal Standard |
Example: Unilever uses the Value Chain Standard to evaluate emissions across its supply chain, identifying hotspots like raw material sourcing and logistics.
2. Build a tailored emissions inventory
With the right standard in hand, the next step is building out a solid GHG inventory, the foundation everything else in a climate strategy rests on.
This involves:
🏢
Defining organizational and operational boundaries (e.g., subsidiaries, joint ventures, leased assets)
🗂️
Mapping and categorizing emissions sources across Scopes 1, 2, and 3
📝
Establishing an inventory management plan to track actual emissions with consistent data collection, quality control, and documentation
Example: Microsoft applies the Corporate Standard to measure Scope 1 and 2 emissions from its offices and data centers, using this data as a baseline for the reduction initiatives outlined in its 2025 Environmental Sustainability Report.
3. Set science-aligned targets to reduce greenhouse gas emissions
Once baseline data is in place, companies can use their emissions inventory to set both short- and long-term reduction targets, ideally aligned with recognized frameworks like the Science Based Targets initiative (SBTi), which pushes for climate goals that are both credible and ambitious.
Because the GHG Protocol’s structure keeps emissions data consistent and transparent, targets built on it tend to earn buy-in internally and credibility externally.
Example: Apple has an SBTi-validated target to cut its combined Scope 1, 2, and 3 emissions 62% by FY2030 against a FY2019 baseline. Separately, under its Apple 2030 initiative, the company aims to cut product life-cycle emissions 75% versus FY2015 and offset the remainder with carbon removals, targeting full carbon neutrality across its supply chain and product life cycle. Using GHG Protocol methodologies, Apple sets transparent short- and long-term goals that align with the 1.5°C pathway.
4. Act on the insights: reduce what you can
With emissions hotspots identified, companies can shift gears from measuring the problem to actually solving it. Strategies might include:
- Improving energy efficiency in buildings or production facilities
- Switching to renewable electricity and low-carbon fuels
- Redesigning products or packaging to lower life cycle emissions
- Engaging suppliers to reduce upstream emissions
- Exploring circular models or low-impact materials
Example: IKEA relies on the Corporate Value Chain (Scope 3) Standard to track emissions across its furniture supply chain, spanning raw materials, manufacturing, and transport, which has driven initiatives such as sustainable sourcing and circular design.
5. Monitor progress and communicate clearly
None of this works without tracking progress and reporting results, which is what keeps a company accountable, both to itself and to the outside world.
Companies should:
Continuous updates
Continuously update their GHG inventory to reflect operational changes.
Transparent reporting
Publish emissions data through sustainability reports and ESG disclosures.
Framework alignment
Align reporting with frameworks like CDP, GRI, or ISSB.
Third-party verification
Consider third-party verification to build credibility.
Frequent, transparent updates are what show stakeholders that climate commitments aren’t just talk, they’re backed by follow-through.
Example: Unilever continues to update its GHG inventory each year, publishing progress through its Annual Report and Accounts rather than the discontinued Sustainable Living Report. Its disclosures align with CDP and GRI and draw on third-party verification to support credibility.
The Greenhouse Gas Protocol has been instrumental in establishing GHG accounting standards to aid corporate accounting and reporting, thereby enabling organizations to accurately track and mitigate emissions.
Software that supports GHG Protocol reporting
Putting GHG Protocol standards into practice can get complicated fast, juggling data collection across multiple sites, wrangling Scope 3 emissions, and more. That’s why so many companies turn to carbon management software to keep reporting manageable and stay compliant with the frameworks that matter.
Below are ten popular platforms that help organizations measure, track, and report greenhouse gas emissions.
| Software | Details |
|---|---|
|
1️⃣ Greenly
|
Full carbon management suite, GHG Protocol-aligned reporting, Scope 1–3 tracking, supplier engagement, and lifecycle analysis. Best for: SMEs to large enterprises. |
|
2️⃣ Persefoni
|
Climate management & accounting platform, audit-ready reporting, and ESG data tools. Best for: Large corporations. |
|
3️⃣ Watershed
|
Real-time carbon tracking, science-based targets support, and supply chain decarbonization tools. Best for: Enterprises and financial institutions. |
|
4️⃣ Emitwise
|
Automated emissions calculations with a focus on Scope 3 and supply chain data integration. Best for: Manufacturers and logistics. |
|
5️⃣ Plan A
|
ESG and carbon management platform with automated data collection and sustainability KPIs. Best for: SMEs and corporates. |
|
6️⃣ Normative
|
GHG accounting with spend-based analysis, compliance dashboards, and ESG reporting support. Best for: Mid to large companies. |
|
7️⃣ Carbon Analytics
|
Simplified carbon footprinting with SME-friendly, sector-based reporting templates. Best for: Small businesses. |
|
8️⃣ Enablon (Wolters Kluwer)
|
Enterprise-scale EHS and sustainability reporting, GHG Protocol-aligned. Best for: Large, multinational firms. |
|
9️⃣ FigBytes
|
ESG and sustainability data management platform with GHG reporting and net-zero roadmap tools. Best for: Medium to large companies. |
|
🔟 Sustain.Life
|
Easy-to-use emissions tracking, climate disclosures, and employee engagement features. Best for: SMEs and start-ups. |
The GHG Protocol in the US
The Greenhouse Gas Protocol is widely recognized as the leading framework used by US companies to measure and report emissions in line with federal regulations, voluntary climate disclosures, and corporate net-zero commitments.
The GHG Protocol is widely recognized as the leading framework used by US companies to measure and report emissions in line with federal regulations, voluntary climate disclosures, and corporate net-zero commitments.
📜
Federal & state reporting
Widely used in EPA reporting programs and corporate emissions inventories. It’s also the named methodology behind California’s Climate Corporate Data Accountability Act (SB 253).
📊
Supports ESG frameworks
Underpins reporting standards like CDP and ISSB (which absorbed the former TCFD recommendations into IFRS S1 and S2 in 2023), aligning US companies’ emissions data with global sustainability expectations.
🌱
Supports US climate goals
Helps businesses build carbon inventories and benchmark against past and current climate commitments. The federal government’s Paris Agreement pledge was withdrawn, but a number of states still pursue the same targets.
What is the Greenhouse Gas Protocol?
The Greenhouse Gas Protocol (GHG Protocol) is the world’s most widely used standard for greenhouse gas reporting. It provides a framework for companies, governments, and organizations to measure and manage emissions consistently across operations and supply chains.
When did the GHG Protocol get its start?
WRI and WBCSD began developing the GHG Protocol in the late 1990s, releasing the first Corporate Standard in 2001. Since then, it’s been updated and expanded repeatedly, with the Land Sector and Removals Standard, published in January 2026, the most recent addition.
What are Scope 1, Scope 2, and Scope 3 emissions?
Scope 1 emissions come directly from sources a company owns or controls, such as vehicles or boilers. Scope 2 emissions are indirect, tied to purchased energy like electricity or heating. Scope 3 captures everything else across the value chain, from supplier activities and business travel to how customers use and eventually dispose of a product.
Do companies need to adopt every GHG Protocol standard?
What tools help with GHG Protocol reporting?
No. Most start with the Corporate Standard to build a baseline inventory, then add the Scope 3 Standard once supply chain emissions become a priority. The remaining standards, Product, Project Protocol, GPC, Mitigation Goal, Policy and Action, and Land Sector and Removals, address more specific situations such as individual products, one-off projects, city-level planning, government policy, or agricultural and removal-related emissions, and companies typically adopt only the ones relevant to their footprint.
How is the GHG Protocol different from ISO 14064?
Both support carbon accounting, but the GHG Protocol is the more widely used framework worldwide and feeds into major ESG programs such as CDP, SBTi, and CSRD. ISO 14064, by contrast, is typically used for verification and audits.
What tools help with GHG Protocol reporting?
Software platforms such as Greenly can automate Scope 1–3 calculations, simplify data collection, and generate audit-ready reports aligned with the GHG Protocol.
How can a company start using the GHG Protocol?
Companies typically start by choosing the right standard, building out a Scope 1–3 emissions inventory, setting science-based targets, and rolling out reduction initiatives. Many rely on software to make data tracking and reporting more manageable along the way.
Is the GHG Protocol mandatory in the US?
Not at the federal level, though California is a notable exception: its SB 253 law requires large companies doing business in the state to report emissions using GHG Protocol methodology. Beyond that, the framework is widely used voluntarily, including for ESG reporting through CDP and ISSB. The SEC adopted a climate disclosure rule in 2024, but the rule was stayed pending litigation, and in 2025 the SEC withdrew its own defense of it. In May 2026, the SEC proposed to rescind the rule entirely; the public comment period has closed and a final vote is still pending.
How can Greenly help your company reduce greenhouse gas emissions?
Streamlined ESG Data Management & Compliance
Greenly streamlines the complex process of ESG data collection, consolidation, and management all in 1 platform.
📥 Import qualitative & quantitative data — platform processes & flags errors
🤖 AI-powered data processing & auto-filling of answers
🔗 Integrated connectivity: map & connect data points across indicators, eliminate redundancy
📂 Centralised platform for all ESG data & supporting docs
⏱️ Track collaborator progress, set reminders & deadlines for compliance
🛡️ Audit-ready traceability: instantly track every change
📊 ESG dashboards to track all key KPIs
🏢 Multi-entity task management & data ingestion at all levels
🧠 AI-powered pre-filling from documentation saves weeks of manual work
🧮 Automatic calculations handle dependencies & speed up consolidation
📈 Multi-entity data collection simplified by mirroring company structure
Strategic ESG Impact & Risk Mitigation
Greenly empowers companies to move beyond reporting to develop strategy, identify risks, and unlock opportunities.
📋 Automated Double Materiality Assessment (DMA) built with CSRD experts
🤖 AI-powered climate risk forecasting integrated into DMA with site-level detail
💰 Translate climate risk into quantified financial opportunities
📍 Location-specific financial risk breakdowns with IPCC-backed data
🔎 Data gap analysis from DMA to improve future reporting
📈 Automated Climate KPI integration
📊 Advanced Materiality Module: benchmarks & specialized add-ons (e.g., CSA)
Tailored & Future-Ready Reporting
Flexible reporting with interoperability across 15+ frameworks.
📝 Custom framework creation with tailored reports
🔀 Interoperability across 10+ frameworks with harmonized database
⚡ Accelerated report creation with AI-powered generation and pre-filling
📄 Auto-generation of complete ESG reports (qualitative & quantitative data)
🛡️ Audit-ready guaranteed reports
💻 Automated ESG report gen incl. XHTML & XBRL for CSRD
📂 Centralized audit trails & attachments per indicator
🤝 Collaborative workflows managing full indicator lifecycle
Expert Guidance & Continuous Support
Comprehensive support & training to empower ESG teams and ensure successful, autonomous reporting.
🧑💼 Dedicated Project Managers & ESG Experts for each framework
📚 Extensive training & resources available on the platform
🤖 AI-powered in-app chatbot (24/7) for instant answers
Greenly, Carbon Emissions: What You Need to Know
World Business Council for Sustainable Development (WBCSD), Homepage
Greenly, Climate Change in 2026: Where Do We Stand?
GHG Protocol, About Us
Greenly, Paris Agreement: All You Need to Know
Greenly, Greenhouse Gas Emissions: Scopes 1, 2 and 3
Greenly, What Are Scope 1 Emissions?
Greenly, What Are Scope 2 Emissions?
Greenly, What Are Scope 3 Emissions?
UN Environment Programme, Cities and Climate Change
EY, Investors Shun Long-Term ESG Rewards in Quest for Short-Term Gains
Unilever, Annual Report and Accounts 2025
Greenly, What is the Science-Based Targets Initiative (SBTi)?
IKEA, Climate Report FY23
GHG Protocol, Frequently Asked Questions: Land Sector and Removals (LSR) Standard
Council of the European Union, Council Signs Off Simplification of Sustainability Reporting and Due Diligence Requirements
UNFCCC, The Paris Agreement
Microsoft, 2025 Environmental Sustainability Report
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