Outlook 2022: IOCs face scope three emissions challenges

Quantifying CO₂ emissions from processes outside of a firm’s control—never mind influencing and reducing them—represents a hugely complex new undertaking

Institutional stakeholders are increasingly calling for companies to comprehensively report and tackle their emissions, and the trend will likely only amplify in 2022. Whereas scope one and two emissions involve making direct interventions in how your company operates, the approach to managing scope three emissions is far less certain. Some companies are making good progress in managing these emissions. But, for others, identifying or quantifying emissions can be ambiguous or challenging. What are scope three emissions, and why are they important? Scope three emissions are those associated with the company’s value chain. The company is therefore indirectly responsible for these through condu