Strategic Focus: The Contingent Use of Scope 4 Avoided Emissions For Low-Carbon Storytelling
Adam Barnard
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Executive Summary
Scope 4, or avoided emissions, quantify the theoretical GHG reductions from using less carbon-intensive products or services. However, accurately measuring these emissions is challenging, due to reliance on speculative assumptions and the difficulty of proving direct emission reductions. Despite these issues, avoided emissions narratives help organizations quantify contributions towards low-carbon product design and supply chains, as well as towards climate-positive solutions. Transition risk assessments incorporating avoided emissions offer strategic insights for aligning with a low-carbon economy, albeit with acknowledged estimation limitations.Scope 4 avoided emissions measurement has significant limitations
Firms should apply Scope 4 emissions calculations for well-vetted, low-carbon strategy decisions
Figure 2. Avoided emissions and assumptions that can reverse them
Figure 3. Choice of base case for comparison can lead to huge differences in avoided emissions
Figure 4. WBCSD’s three gates and nine reporting principles for avoided emissions claims
About the Authors
Adam Barnard
Principal Analyst
Adam is a Principal Analyst in the Verdantix Net Zero & Climate Risk practise. Prior to joining Verdantix, Adam was a Director at an environmentally focused US investment ...
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...
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