GHG Assessment Explained

What is a GHG Assessment?

A Greenhouse Gas (GHG) Assessment is the process of measuring the emissions your business produces, both directly and indirectly. It follows the GHG Protocol, the global standard used by the vast majority of companies reporting to CDP. By mapping emissions across your operations and supply chain, a GHG assessment provides the evidence base for credible climate action.

The Three Scopes

  • Scope 1: Direct emissions from sources you own or control, such as fuel use and company vehicles.
  • Scope 2: Indirect emissions from purchased energy, like electricity or heating.
  • Scope 3: All other indirect emissions across your value chain, from suppliers to product use and disposal.

Why It Matters

A GHG assessment is more than a compliance exercise. It’s the foundation for credible climate action, giving businesses the evidence they need to demonstrate transparency to clients, investors, and regulators. By measuring emissions across scopes 1, 2, and 3, companies can show they understand their footprint and are serious about reducing it.

Beyond credibility, assessments highlight where reductions will deliver the biggest impact. For SMEs, this often means identifying practical, cost‑effective changes—like energy efficiency or supply chain engagement—that not only cut emissions but also improve competitiveness. In short, a GHG assessment turns sustainability from an abstract goal into a measurable, actionable plan.

The Business Case

Investing in a GHG assessment is not just about meeting regulatory requirements—it’s about unlocking competitive advantage. Companies that understand and manage their emissions can reduce operating costs, strengthen supply chain resilience, and win new contracts where sustainability credentials are a deciding factor. Increasingly, clients and investors expect transparent reporting, and businesses that can demonstrate credible action are better positioned to secure funding, partnerships, and long‑term growth. In short, a GHG assessment pays for itself by opening doors to new opportunities while reducing risks.

Benefits for SMEs

  • Clear breakdown of emissions.
  • Practical recommendations tailored to your size.
  • Reports designed to be understood and actioned, not filed away