Carbon Glossary

These are emissions that result from activities directly within the control or ownership of an organization.

Emissions that result from activities of an organization but are generated at sources owned or controlled by another organization.

Direct greenhouse gas emissions from sources that are owned or controlled by an organization, such as fuel combusted onsite, in company-owned vehicles, and in industrial processes.

Indirect greenhouse gas emissions associated with the generation of purchased electricity, steam, heating, and cooling consumed by the reporting entity. Scope 2 emissions physically occur at the facility where they are generated, but are a result of the organization’s energy procurement activity.

All indirect emissions (not included in Scope 2) that occur in the upstream and downstream value chain of an organization. This includes activities such as transportation, distribution, and use of the company’s products or services. Scope 3 emissions result from the activities of an organization, but occur from sources that are not owned or controlled by the organization.

Emissions associated with the extraction, production, and delivery of purchased materials and services from an organization’s suppliers.

• Purchased goods and services
• Capital goods and services
• Fuel and energy-related activities
• Transportation and distribution
• Operational waste
• Business travel
• Employee commuting
• Leased assets

Emissions related to an organization’s sold goods and services, distribution, and end-of-life treatment.

• Transportation and distribution
• Processing of sold products
• Use of sold products
• End-of-life of sold products
• Leased assets
• Franchises
• Investments

Refers collectively to the upstream (supply chain) and downstream (product use and disposal) activities associated with a company and its products. Frequently used to refer to Scope 3 Emissions.

Calculating an organization’s emissions using raw data from specific emission-generating sources, such as transport distances, fuel and energy consumption, production levels, and materials.

Calculating an organization’s emissions using  financial invoices and accounting data spent on various products or services.

A combination of Activity-Based and Spend-Based methods for calculating emissions, using primary activity data where available and supplementing with spend-based data to fill gaps.

A technique used for Scope 3 carbon accounting that involves gathering data directly from suppliers.

The primary gas responsible for global warming, largely due to human activities such as fossil fuel combustion and deforestation.

A unit for comparing different greenhouse gasses based on their global warming potential. Because carbon dioxide is the most prominent greenhouse gas, all other greenhouse gases are scaled to its impact.

A representation of the amount of a certain greenhouse gas released per unit of a specific activity, process, or fuel combustion.

The ability of a greenhouse gas to trap heat in the atmosphere compared to CO2, over a given period of time, typically 100 years. GWP allows for the comparison of impacts of different gases. CO2 has a GWP of 1. The higher the GWP of a given gas, the more it traps heat and warms the Earth.

Gasses that trap heat in the Earth’s atmosphere, causing the greenhouse effect. The concentrations of these gasses are rising due to human activities such as burning fossil fuels, deforestation, and industrial processes.

A potent greenhouse gas that has a much higher heat-trapping ability than CO2 but a shorter atmospheric lifetime. Methane is released during the production and transport of fossil fuels, as well as from agricultural practices and the decomposition of organic waste.

Another potent greenhouse gas, released from agricultural, industrial, and land use activities, as well as the combustion of fossil fuels, and wastewater treatment.

Synthetic greenhouse gasses used in refrigeration, air conditioning, and foam-blowing appliances, with a high global warming potential.

Synthetic gasses with an extremely high global warming potential used in various industrial processes, often in the manufacturing of semiconductors.

A potent synthetic greenhouse gas increasingly used in the production of electronics, such as photovoltaic (PV) cells and liquid crystal display (LCD) panels.

A significant synthetic greenhouse gas with a high global warming potential, primarily used in the electrical industry for insulation in high-voltage circuit breakers.

Metric tons of all GHGs. tCO2e is used to compare emissions from various GHGs on the basis of their global warming potential (GWP) by converting other amounts of GHGs to the equivalent of CO2. (Think of it as converting several different currencies into 1 euro. Because each currency is worth a different amount, you’d get a different equivalent in euros in return.)

The burning of fossil fuels in stationary sources, such as: boilers, furnaces, incinerators, and turbines, engines, and flares.

The burning of fossil fuels in transportation means, including automobiles, trains, ships, and aircraft.

Emissions directly resulting from a chemical or physical process, as in the case of a chemical reaction in an industrial furnace.

Intentional and accidental releases of emissions, such as equipment leaks and fugitive emissions from processing.

Data that is collected or directly measured from specific sources of activities in a company’s value chain. This may include emissions data calculated by suppliers specific to their activities.

Specific data associated with manufacturing a product, including energy use, material use, and carbon emissions at each stage of production.

Data that is not directly measured or collected, but is sourced from a third-party database. Secondary data includes financial data, industry-average data, proxy data, and other generic data (from government statistics, published databases, studies, and industry associations).

A method of estimating energy use and/or GHG emissions that tracks the environmental impacts from upstream supply chain activities in different sectors and products within an economy. The analysis provides emission factors that can be used for estimating emissions for a specific industry or category of products. However, while EEIO data is often comprehensive, there is a low level of granularity compared to other data sources. 

Indirect or secondary data sources. When direct measurement is impractical (i.e. when primary data is unavailable or of poor quality), companies may use specific primary data from one activity to estimate emissions for another activity in their value chain. 

Resulting from, or produced by, human activities.

The process of measuring, managing, and reporting the amount of carbon emissions that an individual, business, or entity is responsible for.

A measure of the amount of greenhouse gasses resulting from the activities of a certain organization, person, or activity.

Business activities, or technologies that remove more carbon dioxide from the atmosphere than they emit, effectively reducing the overall atmospheric concentration of CO2.

When carbon dioxide released into the atmosphere by an activity or entity is balanced by an equivalent amount of CO2 removed or offset, resulting in no net addition of carbon dioxide released into the atmosphere..

A commitment to reduce a company’s greenhouse gas emissions by a specific amount, by a certain year.

 A reduction in emissions that reduces the concentration of GHGs and other pollutants in the atmosphere.

A comprehensive analysis of the environmental impacts of a product or service throughout its lifespan, from the extraction of raw materials, through production, use, and final disposal. LCA is often used to calculate an item’s carbon footprint as part of carbon accounting.

A standard method of calculating carbon emissions based on the average emissions intensity of the electricity grid/fuel mix within the specific geographic area of the site where emissions are attributed.

An alternative to the location-based method, it calculates carbon emissions based on the contractual instruments used to purchase electricity, such as renewable energy certificates (RECs). 

A term used to describe a lowering of the concentration of GHGs and other pollutants in the atmosphere.

A state in which the amount of greenhouse gasses emitted into the atmosphere is counterbalanced by removing an equivalent amount of greenhouse gasses. Net zero requires emissions to be reduced as close to zero as possible, with any remaining emissions being addressed by carbon dioxide removal technologies.

A carbon target consistent with the Paris Agreement’s commitment to limit global warming to well below 2°C greater than pre-Industrial levels and pursuing efforts to limit it to 1.5C.

An environmental integrity principle for assessing whether or not a project results in emission reductions or removals in addition to what would have occurred in the absence of the project.

The creation of a new forest in an area that was not previously forested

Burning organic matter (biomass) in a low-oxygen environment (a process called “pyrolysis”), which converts the biomass into a stable, carbon-rich charcoal. The charcoal can be applied to soils or buried.

Converting organic matter (biomass) into heat, electricity, or fuels and capturing and storing the CO2 released during the process.

The storage of CO2 in vegetation, soils and the oceans.

Sequestering CO2 through the restoration and sustainable management of coastal and marine ecosystems (e.g. tidal marshes, mangroves, and seagrasses).

A market-based approach to lowering GHG emissions, in which a central authority sets a fixed limit (cap) on total emissions ( declining each year) and allocates a limited number of permits that allow holders to emit a specific amount, within a certain time period. The permits are tradable, which when combined with the pricing of the permits, encourages market forces to drive investment in efficiency, process change, and emission reductions.

A process in which carbon dioxide (CO2) from industrial and energy-related point sources of pollution is captured, compressed and stored underground for long-term isolation from the atmosphere.

A process in which CO2 is captured from industrial and energy-related point sources of pollution and then used to produce a new product, rather than stored underground (as in CCS). The CO2 may be used in short-lived products (e.g., biodegradable plastics or synthetic fuel) or long-lived products (e.g., cement or building insulation). When the CO2 is captured directly from the atmosphere or biomass and used in long-lived products, CCU becomes CCUS, a form of carbon removal.

A carbon removal process in which CO2 is captured directly from the atmosphere or biomass, and then either reused or stored underground for long-term isolation from the atmosphere.

A process in which CO2 is removed from the atmosphere and durably stored for long periods of time.

A tradeable instrument that represents a unit of CO2-equivalent emissions.. 

A unit of CO2-equivalent emissions that is reduced, avoided, or sequestered to compensate for emissions occurring elsewhere.

The mitigation or abatement of GHGs and other pollutants in the atmosphere.

The process of capturing and storing carbon dioxide from the atmosphere. There are two types of sequestration: geologic and biologic.

The location in which captured carbon is stored.

Capturing CO2 from ambient air and compressing it for underground storage or use in long-lived products.

A situation in which two different entities claim the same emission generation, reduction, or removal in their emissions inventories or mitigation targets and/or pledges.

The lifetime of a given carbon offset or carbon removal project, referring to the amount of time it will take to achieve its predicted / calculated benefit (e.g., total number of tCO2 removed).

Accelerating the natural process by which minerals (e.g. olivine and basalt) absorb CO2 from the atmosphere. The minerals are ground up and spread over soils, where they react with atmospheric CO2 to form durable carbonate minerals, effectively sequestering the CO2.

The process of storing CO2 in underground geologic formations. The CO2 is usually pressurized until it becomes a liquid, and then it is injected into porous rock formations in geologic basins.

When efforts to reduce emissions in one location instead shift the emissions to another location, where they remain uncontrolled or uncounted.

Cultivating macroalgae and sinking it in the deep ocean, effectively sequestering the embodied CO2.

A method of carbon removal in which atmospheric CO2 is transformed into a solid mineral. See also “Enhanced Weathering”.

Solutions that use the ocean’s functions as a natural carbon sink and enhance the carbon sequestration capabilities of critical marine ecosystems.

Adding alkaline substances (e.g. olivine) to ocean water, which results in the conversion of dissolved CO2 into stable bicarbonate and carbonate molecules. As a result, the ocean can take up more CO2 to restore equilibrium.

A measure of the durability of carbon sequestration. The amount of time that carbon will remain sequestered rather than released back into the atmosphere.

Increasing the carbon content of soil through improved land management practices (e.g. agroforestry, cover crops, or no-till farming).

Engineered solutions that remove and sequester carbon from the atmosphere; these include fully engineered solutions as well as solutions that enhance natural carbon removal and sequestration processes with the assistance of engineered components.

Solutions that use the natural processes and capabilities of plants, soil, and microorganisms to sequester and store carbon out of the atmosphere.

An assessment of a project’s design and its potential to generate significant climate, community, and biodiversity benefits. This assessment is conducted prior to a project’s implementation, whereas a verification is conducted once the project is in-place.

A rigorous assessment of a project’s implementation and confirmation of the delivery of multiple benefits (such as removals) during a specific time period.

Harvesting and storing organic matter (biomass) underground in a way that prevents decomposition and the release of embodied CO2 back into the atmosphere.

Calculating an organization’s emissions using raw data from specific emission-generating sources, such as transport distances, fuel and energy consumption, production levels, and materials.

An environmental integrity principle for assessing whether or not a project results in emission reductions or removals in addition to what would have occurred in the absence of the project.

The creation of a new forest in an area that was not previously forested

Resulting from, or produced by, human activities.

Burning organic matter (biomass) in a low-oxygen environment (a process called “pyrolysis”), which converts the biomass into a stable, carbon-rich charcoal. The charcoal can be applied to soils or buried.

Converting organic matter (biomass) into heat, electricity, or fuels and capturing and storing the CO₂ released during the process.

The storage of CO₂ in vegetation, soils and the oceans.

Sequestering CO₂ through the restoration and sustainable management of coastal and marine ecosystems (e.g. tidal marshes, mangroves, and seagrasses).

A market-based approach to lowering GHG emissions, in which a central authority sets a fixed limit (cap) on total emissions ( declining each year) and allocates a limited number of permits that allow holders to emit a specific amount, within a certain time period. The permits are tradable, which when combined with the pricing of the permits, encourages market forces to drive investment in efficiency, process change, and emission reductions.

The process of measuring, managing, and reporting the amount of carbon emissions that an individual, business, or entity is responsible for.

A process in which carbon dioxide (CO₂) from industrial and energy-related point sources of pollution is captured, compressed and stored underground for long-term isolation from the atmosphere.

A process in which CO₂ is captured from industrial and energy-related point sources of pollution and then used to produce a new product, rather than stored underground (as in CCS). The CO₂ may be used in short-lived products (e.g., biodegradable plastics or synthetic fuel) or long-lived products (e.g., cement or building insulation). When the CO₂ is captured directly from the atmosphere or biomass and used in long-lived products, CCU becomes CCUS, a form of carbon removal.

A carbon removal process in which CO₂ is captured directly from the atmosphere or biomass, and then either reused or stored underground for long-term isolation from the atmosphere.

A tradeable instrument that represents a unit of CO₂-equivalent emissions..

The primary gas responsible for global warming, largely due to human activities such as fossil fuel combustion and deforestation.

A unit for comparing different greenhouse gasses based on their global warming potential. Because carbon dioxide is the most prominent greenhouse gas, all other greenhouse gases are scaled to its impact.

A process in which CO₂ is removed from the atmosphere and durably stored for long periods of time.

A measure of the amount of greenhouse gasses resulting from the activities of a certain organization, person, or activity.

Business activities, or technologies that remove more carbon dioxide from the atmosphere than they emit, effectively reducing the overall atmospheric concentration of CO₂.

When carbon dioxide released into the atmosphere by an activity or entity is balanced by an equivalent amount of CO₂ removed or offset, resulting in no net addition of carbon dioxide released into the atmosphere.

A unit of CO₂-equivalent emissions that is reduced, avoided, or sequestered to compensate for emissions occurring elsewhere.

The process of capturing and storing carbon dioxide from the atmosphere. There are two types of sequestration: geologic and biologic.

The location in which captured carbon is stored.

A commitment to reduce a company’s greenhouse gas emissions by a specific amount, by a certain year.

Also known as California’s SB 261, the Climate-Related Financial Risk Act requires U.S. companies doing business in California with revenues in excess of $500 million to disclose climate-related risks to their businesses and plans to mitigate those risks.

Also known as California’s SB 261, the Climate-Related Financial Risk Act requires U.S. companies doing business in California with revenues in excess of $500 million to disclose climate-related risks to their businesses and plans to mitigate those risks.

The Corporate Sustainability Reporting Directive is the European Union’s law requiring approximately 50,000 European companies to provide detailed reporting on companies’ climate and environmental impacts.

Capturing CO₂ from ambient air and compressing it for underground storage or use in long-lived products.

These are emissions that result from activities directly within the control or ownership of an organization

A situation in which two different entities claim the same emission generation, reduction, or removal in their emissions inventories or mitigation targets and/or pledges.

The lifetime of a given carbon offset or carbon removal project, referring to the amount of time it will take to achieve its predicted / calculated benefit (e.g., total number of tCO₂ removed).

A reduction in emissions that reduces the concentration of GHGs and other pollutants in the atmosphere.

A representation of the amount of a certain greenhouse gas released per unit of a specific activity, process, or fuel combustion.

The mitigation or abatement of GHGs and other pollutants in the atmosphere.

Accelerating the natural process by which minerals (e.g. olivine and basalt) absorb CO₂ from the atmosphere. The minerals are ground up and spread over soils, where they react with atmospheric CO₂ to form durable carbonate minerals, effectively sequestering the CO₂.

A method of estimating energy use and/or GHG emissions that tracks the environmental impacts from upstream supply chain activities in different sectors and products within an economy. The analysis provides emission factors that can be used for estimating emissions for a specific industry or category of products. However, while EEIO data is often comprehensive, there is a low level of granularity compared to other data sources. 

Intentional and accidental releases of emissions, such as equipment leaks and fugitive emissions from processing.

The process of storing CO₂ in underground geologic formations. The CO₂ is usually pressurized until it becomes a liquid, and then it is injected into porous rock formations in geologic basins.

Refers to the methodologies used to calculate greenhouse gas emissions.

The Global Reporting Initiative is an nongovernmental standards organization that has created the most widely adopted voluntary sustainability reporting framework to help businesses, governments, and other organizations understand and communicate their non-financial impacts on issues such as climate change, human rights, and corruption. GRI is  also a collaborator with many standards organizations, such as ISSB, to complement  reporting on sustainability-related financial information.

The ability of a greenhouse gas to trap heat in the atmosphere compared to CO₂, over a given period of time, typically 100 years. GWP allows for the comparison of impacts of different gases. CO₂ has a GWP of 1. The higher the GWP of a given gas, the more it traps heat and warms the Earth.

Gasses that trap heat in the Earth’s atmosphere, causing the greenhouse effect. The concentrations of these gasses are rising due to human activities such as burning fossil fuels, deforestation, and industrial processes.

The GHG Protocol is the most widely used international accounting tool for government and business leaders to understand, quantify, and manage greenhouse gas emissions. It sets the global standard for how to measure, manage, and report greenhouse gas emissions, providing companies and organizations with a clear framework to make emission reduction strategies.

 A combination of Activity-Based and Spend-Based methods for calculating emissions, using primary activity data where available and supplementing with spend-based data to fill gaps.

Synthetic greenhouse gasses used in refrigeration, air conditioning, and foam-blowing appliances, with a high global warming potential.

Emissions that result from activities of an organization but are generated at sources owned or controlled by another organization.

The International Sustainability Standards Board was created by the International Financial Reporting Standards (IFRS) Foundation to develop a global baseline of reporting guidance to streamline capital market-focused disclosures. The ISSB created 2 standards (IFRS S1 and S2) that came into effect in January 2024.

When efforts to reduce emissions in one location instead shift the emissions to another location, where they remain uncontrolled or uncounted.

 A comprehensive analysis of the environmental impacts of a product or service throughout its lifespan, from the extraction of raw materials, through production, use, and final disposal. LCA is often used to calculate an item’s carbon footprint as part of carbon accounting.

A standard method of calculating carbon emissions based on the average emissions intensity of the electricity grid/fuel mix within the specific geographic area of the site where emissions are attributed.

Cultivating macroalgae and sinking it in the deep ocean, effectively sequestering the embodied CO₂.

An alternative to the location-based method, it calculates carbon emissions based on the contractual instruments used to purchase electricity, such as renewable energy certificates (RECs). 

A potent greenhouse gas that has a much higher heat-trapping ability than CO₂ but a shorter atmospheric lifetime. Methane is released during the production and transport of fossil fuels, as well as from agricultural practices and the decomposition of organic waste.

A method of carbon removal in which atmospheric CO₂ is transformed into a solid mineral. See also “Enhanced Weathering”.

A term used to describe a lowering of the concentration of GHGs and other pollutants in the atmosphere.

The burning of fossil fuels in transportation means, including automobiles, trains, ships, and aircraft.

A state in which the amount of greenhouse gasses emitted into the atmosphere is counterbalanced by removing an equivalent amount of greenhouse gasses. Net zero requires emissions to be reduced as close to zero as possible, with any remaining emissions being addressed by carbon dioxide removal technologies.

Another potent greenhouse gas, released from agricultural, industrial, and land use activities, as well as the combustion of fossil fuels, and wastewater treatment. 

A potent synthetic greenhouse gas increasingly used in the production of electronics, such as photovoltaic (PV) cells and liquid crystal display (LCD) panels.

Adding alkaline substances (e.g. olivine) to ocean water, which results in the conversion of dissolved CO2 into stable bicarbonate and carbonate molecules. As a result, the ocean can take up more CO2 to restore equilibrium.

Solutions that use the ocean’s functions as a natural carbon sink and enhance the carbon sequestration capabilities of critical marine ecosystems.

A carbon target consistent with the Paris Agreement’s commitment to limit global warming to well below 2°C greater than pre-Industrial levels and pursuing efforts to limit it to 1.5°C.

Synthetic gasses with an extremely high global warming potential used in various industrial processes, often in the manufacturing of semiconductors.

A measure of the durability of carbon sequestration. The amount of time that carbon will remain sequestered rather than released back into the atmosphere.

Data that is collected or directly measured from specific sources of activities in a company’s value chain. This may include emissions data calculated by suppliers specific to their activities.

Emissions directly resulting from a chemical or physical process, as in the case of a chemical reaction in an industrial furnace.

Specific data associated with manufacturing a product, including energy use, material use, and carbon emissions at each stage of production.

Indirect or secondary data sources. When direct measurement is impractical (i.e. when primary data is unavailable or of poor quality), companies may use specific primary data from one activity to estimate emissions for another activity in their value chain. 

The Science-Based Targets Initiative is a collaboration among CDP, the United Nations Global Compact, World Resources Institute, and the World Wide Fund for Nature. SBTi develops standards, tools, and guidance to assist companies in setting and validating near- and long-term targets in line with the 2015 Paris Agreement goals of limiting global temperature increase and achieving net zero emissions by no later than 2050.

Direct greenhouse gas emissions from sources that are owned or controlled by an organization, such as fuel combusted onsite, in company-owned vehicles, and in industrial processes.

Indirect greenhouse gas emissions associated with the generation of purchased electricity, steam, heating, and cooling consumed by the reporting entity. Scope 2 emissions physically occur at the facility where they are generated, but are a result of the organization’s energy procurement activity.

All indirect emissions (not included in Scope 2) that occur in the upstream and downstream value chain of an organization. This includes activities such as transportation, distribution, and use of the company’s products or services. Scope 3 emissions result from the activities of an organization, but occur from sources that are not owned or controlled by the organization.

Emissions associated with the extraction, production, and delivery of purchased materials and services from an organization’s suppliers.

• Purchased goods and services
• Capital goods and services
• Fuel and energy-related activities
• Transportation and distribution
• Operational waste
• Business travel
• Employee commuting
• Leased assets

Emissions related to an organization’s sold goods and services, distribution, and end-of-life treatment.

• Transportation and distribution
• Processing of sold products
• Use of sold products
• End-of-life of sold products
• Leased assets
• Franchises
• Investments

Data that is not directly measured or collected, but is sourced from a third-party database. Secondary data includes financial data, industry-average data, proxy data, and other generic data (from government statistics, published databases, studies, and industry associations).

Calculating an organization’s emissions using  financial invoices and accounting data spent on various products or services.

A technique used for Scope 3 carbon accounting that involves gathering data directly from suppliers. 

Increasing the carbon content of soil through improved land management practices (e.g. agroforestry, cover crops, or no-till farming).

The burning of fossil fuels in stationary sources, such as: boilers, furnaces, incinerators, and turbines, engines, and flares. 

A significant synthetic greenhouse gas with a high global warming potential, primarily used in the electrical industry for insulation in high-voltage circuit breakers.

The Sustainability Accounting Standards Board was established to provide guidance for reporting industry-specific, financially material ESG information. These standards identify the sustainability-related risks that may impact financial performance and enterprise value. For each industry, SASB includes an average of six disclosure topics and 13 accounting metrics across five dimensions: environment, social capital, human capital, business model and innovation, and leadership and governance.

The Task Force on Climate Related Financial Disclosures establishes a set of recommendations for disclosing information on the risks and opportunities associated with climate change to inform financial decision-making. TCFD provides 11 disclosure recommendations organized through 4 themes that reflect how organizations operate: Governance, Strategy, Risk Management, and Metrics and Targets. TCFD is a voluntary framework, but also serves as the basis for many statutory climate reporting requirements, such as those put in place by California, the EU, and the UK.

Metric tons of all GHGs. tCO₂e is used to compare emissions from various GHGs on the basis of their global warming potential (GWP) by converting other amounts of GHGs to the equivalent of CO₂. (Think of it as converting several different currencies into 1 euro. Because each currency is worth a different amount, you’d get a different equivalent in euros in return.)

Engineered solutions that remove and sequester carbon from the atmosphere; these include fully engineered solutions as well as solutions that enhance natural carbon removal and sequestration processes with the assistance of engineered components.

Solutions that use the natural processes and capabilities of plants, soil, and microorganisms to sequester and store carbon out of the atmosphere.

An assessment of a project’s design and its potential to generate significant climate, community, and biodiversity benefits. This assessment is conducted prior to a project’s implementation, whereas a verification is conducted once the project is in-place.

Refers collectively to the upstream (supply chain) and downstream (product use and disposal) activities associated with a company and its products. Frequently used to refer to Scope 3 Emissions.

A rigorous assessment of a project’s implementation and confirmation of the delivery of multiple benefits (such as removals) during a specific time period.

Harvesting and storing organic matter (biomass) underground in a way that prevents decomposition and the release of embodied CO₂ back into the atmosphere.