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Measuring greenhouse gas (GHG) emissions is no longer optional, it is a strategic imperative. A GHG inventory allows organizations to understand their carbon footprint, guide decision-making, demonstrate credibility in environmental, social, and governance (ESG) commitments, and facilitate access to markets, financing, and support programs. In a context where IFRS standards are redefining disclosure obligations in Canada, the GHG inventory becomes a key tool for long-term performance and resilience.
A GHG inventory, also known as a GHG assessment, is the tool that allows an organization to measure and compile its greenhouse gas emissions over a given period. Just as a financial statement informs stakeholders about a company’s economic health, a GHG inventory provides a clear view of environmental performance.
It typically covers a 12-month period aligned with the fiscal or calendar year and serves as a strategic indicator for the organization. The reasons for conducting a GHG inventory include:
Internationally recognized standards guide this process, including the GHG Protocol and ISO 14064.
In a context of climate change, growing adoption of ESG strategies, and increased integration of non-financial data into strategic decision-making, a GHG inventory becomes an essential tool to guide organizational choices.
Far from being a simple compliance exercise, it allows organizations to measure, understand, and manage their carbon impact. Today, it is increasingly difficult to effectively manage a business without a clear understanding of its emissions, whether to:
Conducting a GHG inventory involves collecting and quantifying the organization’s greenhouse gas emissions, which primarily come from energy consumption:
In some industrial sectors, specific processes can also generate significant emissions. These amounts are multiplied by emission factors, published by governments, reference organizations, or energy suppliers. This approach converts energy consumption and industrial processes into CO₂-equivalent tons, providing a solid foundation for the organization’s carbon strategy.
A GHG inventory is generally organized into threescopes (1, 2, and 3), classifying emissions by origin and level of control bythe organization.
Scope 1 – Direct emissions
Emissions from sources owned or controlled by theorganization, such as on-site combustion or company vehicle fleets.
Scope 2 – Indirect emissions from energy
Emissions associated with the production of purchasedenergy consumed by the organization, such as electricity, steam, heating, orcooling.
Scope 3 – Other indirect emissions
Covers all other emissions across the value chain,upstream and downstream, including purchases of goods and services, businesstravel, freight transport, product use, and end-of-life.
This classification allows organizations to prioritizeaction levers and focus their efforts on the most impactful areas to reducetheir carbon footprint.
To begin a GHG inventory, it is generally recommended to start with scopes 1 and 2, and then gradually incorporate scope 3.
Direct emissions (Scope 1) and purchased energy-related emissions (Scope 2) are typically easier to identify, measure and control. This progressive approach helps establish a robust baseline, structure data collection processes, and focus on levers over which the organization has direct control.
Gradually integrating Scope 3, depending on data availability and quality, completes the overall emissions picture and enables the development of a more coherent and effective reduction strategy.
Scope 3, covering indirect emissions across the value chain, can be more complex to quantify, but several methods exist depending onthe desired accuracy and level of organizational influence.
Initially, organizations can estimate emissions usingaverage data, such as spend-based emission factors.
When available, it is also possible to collect data directly from suppliers, improving the inventory’s accuracy and helping identify targeted reduction levers.
As organizational maturity grows, this approach can evolve to use product- or service-specific data, providing finer comparability and supporting more strategic decision-making.
A GHG inventory can be conducted internally if the organization has the skills, time, and strong understanding of recognized methodological standards. However, for a first assessment or to ensure rigorand compliance, it is strongly recommended to engage a specialized consultant, such as the experts at TST.
Professional support allows you to:
Once the expertise is established, some organizations choose to internalize all or part of the process, while continuing to benefit from TST’s strategic guidance to optimize decisions and environmental performance.
Do you want to measure and understand your organization’s carbon footprint to better guide decisions, meet ESG commitments, and enhance environmental performance?
Trust Nicolas Vincent and the TST team of experts, who support you at every stage: from data collection to accurate emissions quantification and defining strategic action levers to reduce your GHG impact.
Contact us today to plan your GHG inventory and turn your data into concrete, sustainable decisions.
Nicolas Vincent
ESG Impact Strategist
+1 (514) 805-1148
