Time to Step Up Efforts on Scope 3

Time to Step Up Efforts on Scope 3 Updated 26 January 2024 US public companies are increasing disclosure of their scope 3 emissions, the indirect emissions coming from the upstream and downstream parts of their supply chain. [...] They should also prepare for assurance in their reporting: the EU Corporate Sustainability Reporting Directive ( CSRD) requires third-party assurance in relation to companies’ CSRD disclosures, including on scope 3, and the California Climate Corporate Data Accountability Act requires companies to obtain limited third-party assurance for their scope 3 emissions reporting by 2030. [...] There are opportunities for enhanced corporate disclosure on scope 3 emissions GHG scope 3 emissions disclosure rates 1 Time to Step Up Efforts on Scope 3 ConferenceBoard.org . [...] Given the inherent uncertainties in calculating scope 3 emissions, companies will need to have a rigorous process for collecting, analyzing, and reporting scope 3 data to help mitigate legal and reputational risk. [...] The growing legal requirements to disclose scope 3 emissions come at a time when senior executives are focused on the “greening” of supply chains.