Scope 4 is not an officially recognized category under the widely accepted Greenhouse Gas Protocol, which defines Scope 1, 2, and 3 emissions. However, Scope 4 is an emerging concept used in some discussions around carbon markets to refer to the carbon emissions avoided due to a company’s actions or the use of their products and services. Essentially, it covers avoided emissions rather than direct emissions.
Here’s a breakdown of the idea:
– *Scope 1*: Direct emissions from a company’s operations (e.g., fuel combustion on-site).
– *Scope 2*: Indirect emissions from the generation of purchased electricity, steam, or heat.
– *Scope 3*: Indirect emissions from the entire value chain, including supply chain activities and the use of sold products.
*Scope 4, as conceptualized, refers to the positive impact of a company’s efforts to **reduce emissions elsewhere*—for example:
– *Renewable energy products* that displace fossil fuel-based energy.
– *Energy-efficient technologies* that help other organizations or individuals reduce their carbon footprints.
– Carbon-offset projects like afforestation or technological carbon capture.
In essence, *Scope 4* is about quantifying and reporting on emissions that *would have occurred but didn’t* because of certain innovations or actions, which is particularly relevant in discussions on climate-positive business models and the voluntary carbon markets.