Strategic Focus: Strategies For Measuring Financed Emissions
Gus Brewer
Access this research
Access all Corporate Energy Leaders content with a strategic subscription or buy this single report
Need help or have a question about this report? Contact us for assistance
Executive Summary
Financial institutions’ financed emissions (Category 15 under the GHG Protocol) are 700 times larger than their direct emissions; it is therefore paramount that they accurately measure and report these. Institutions struggle to do so, however, due to the complexity of value chains, poor-quality data and complications surrounding calculation methodologies. Sustainability leaders should read this report to understand best practices – such as mapping emissions to sectors and setting sector-specific targets, identifying incentives based on financing relationships, and adapting calculation methodologies to suit firms’ specific needs.Issues with data collection and inaccuracies plague financed emissions reporting
Best practices in measuring financed emissions
Figure 2. PCAF data quality scores hierarchy
Figure 3. Core portfolio-level metrics for reporting Category 15 emissions
About the Authors
Gus Brewer
Analyst
Gus is an Analyst in the Verdantix Net Zero & Climate Risk practice. Prior to joining Verdantix, Gus worked at Rio ESG, where he gained experience as a sustainability cons...
Ryan Skinner
Research Director
Ryan is a Research Director at Verdantix, where he leads a team of analysts delivering research, data and advisory services that help clients navigate the fast-evolving landsc...
View ProfileOther related content
Critical minerals are becoming the defining pressure point of the energy transition: demand is set to surge in the next 15 years, yet supply chains remain heavily concentrated, and...
27 August, 2025
Dutch pension giant APG Asset Management has pledged over AUS$1 billion (around 650 million USD) to Octopus Australia’s OASIS platform – one of the largest foreign-backed investm...
18 August, 2025
Nuclear fusion has long been the holy grail of clean energy: carbon-free, virtually limitless and more compact than renewables. While commercial viability is still several years aw...
06 August, 2025
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, marks a continued shift in US climate and energy policy. Since his first day in office, President Trump has...
06 August, 2025
As attention shifts away from net zero target setting to asset level decarbonization, many firms are discovering critical disconnect between their energy management efforts and cor...
Upcoming / 24 September, 2025
As firms seek measurable emissions reductions and cost savings, energy resilience is becoming a core pillar of sustainability strategy. Decarbonization initiatives, once driven pri...
Upcoming / 17 September, 2025