GHG Protocol: Scope 2 Emissions
I. Definition
Scope 2 emissions are indirect greenhouse gas emissions from the generation of purchased energy that a company consumes, as defined by the GHG Protocol.
This energy is usually electricity, but it can also include purchased steam, heat, or cooling.
In simple terms: the emissions do not happen inside the company, but they are caused by the energy the company buys and uses.
II. Context
Under the GHG Protocol, emissions are classified into three scopes to clarify responsibility.
Scope 2 emissions focus on energy purchased from external suppliers.
When a company uses electricity, emissions are produced at the power plant, not at the office or factory.
Even if the company does not burn fuel itself, it is still responsible for these emissions because it creates the demand.
The GHG Protocol requires two calculation methods for Scope 2 emissions:
the location-based method, which uses average grid emissions, and the market-based method, which uses supplier-specific data such as renewable energy contracts.
Because electricity is used by almost all companies, Scope 2 emissions are a major part of many carbon footprints.
III. Why it matters
At Orizscore, we see Scope 2 emissions as a key test of transparency.
Energy claims are easy to make, but hard to prove.
The difference between location-based and market-based results must be clearly explained.
Renewable contracts must be documented.
Emission factors must be consistent.
Without clear proof, energy-related climate claims lose credibility.
Scope 2 emissions show whether a company truly understands its energy impact or only reports surface numbers.
Reliable energy data turns sustainability statements into verifiable facts.
IV. Related terms
- GHG Protocol: Corporate Standard
https://www.orizscore.com/blogs/ghg-protocol-corporate-standard - Scope 1 Emissions
https://www.orizscore.com/blogs/ghg-protocol-scope-1-emissions - Scope 3 Emissions
https://www.orizscore.com/blogs/ghg-protocol-scope-3-emissions
V. Example
A company operates several offices and buys electricity from the local grid.
The power plants that produce this electricity emit CO₂.
Under the GHG Protocol, these emissions are counted as Scope 2 emissions.
The company calculates them using grid emission factors (location-based) and energy supplier data (market-based).
If the company signs a renewable electricity contract, its market-based Scope 2 emissions decrease.
Clear documentation allows this reduction to be verified and trusted.
