Understanding What the Greenhouse Gas (GHG) Protocol Is

Why Many Global Companies Refer to the GHG Protocol

Did you know that more than 92% of Fortune 500 companies use the Greenhouse Gas (GHG) Protocol to measure and report their emissions? ^[Ref] This standard has become a universal language for calculating and managing carbon emissions across sectors such as energy, transportation, and services. Without uniform standards, efforts to reduce emissions would be difficult to compare and impossible to measure.

The GHG Protocol exists to meet this need: a global framework that is transparent and trustworthy.

What Is the Greenhouse Gas (GHG) Protocol?

The Greenhouse Gas Protocol, or GHG Protocol, is an international standard developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD). Its function is simple yet fundamental: to provide clear guidance for measuring and reporting greenhouse gas emissions from organizational activities..

The GHG Protocol divides emissions into three major categories (scope):

• Scope 1  Direct emissions from sources owned by the company, such as fuel combustion in factories or operational vehicles.
• Scope 2  Indirect emissions from purchased electricity, heat, or steam.
• Scope 3  Other indirect emissions across the entire value chain, including suppliers, transportation logistics, and customer use of products.

This categorization helps companies identify the most significant emission areas and determine effective reduction priorities..

Why the GHG Protocol Is Important for Sustainability

A report shows that human activities have increased greenhouse gas concentrations in the atmosphere to their highest levels in 800,000 years (epa.gov). Without clear measurement standards, it is difficult for companies to understand their contribution to climate change and develop effective mitigation strategies.

The GHG Protocol helps turn data into real action. With standardized measurement methods, the results can be trusted by investors, regulators, and the public. This forms the foundation of many global sustainability initiatives such as the Science Based Targets initiative (SBTi) and the Carbon Disclosure Project (CDP).

The standard also helps companies comply with national and international regulations and maintain competitiveness in an increasingly environmentally conscious global supply chain..

How Companies Apply the GHG Protocol

Here are the implementation steps:

1. Define operational and organizational boundaries
   Companies must determine which activities are included in emission calculations, whether all facilities, subsidiaries, or only certain parts.
2. Identify emission sources
   Track all direct and indirect emission sources, such as energy use, fuel, waste, and logistics.
3. Collect data and perform calculations
   Activity data is converted into emissions data using relevant emission factors, usually based on guidelines from the IPCC or national institutions such as KLHK.
4. Verification and reporting
   Emission reports can be verified by independent parties to ensure accuracy and transparency.

With these steps, companies can identify their largest emission areas and set measurable, science-based reduction targets.

GHG Protocol and Jejakin: A Step Toward Low-Carbon Transition

Jejakin helps companies measure and reduce their carbon footprint using methods aligned with the GHG Protocol.

Through digital platforms and data-driven analysis, Jejakin enables organizations to conduct:

• Accurate emission calculations,
• Continuous monitoring,
• and reporting aligned with international standards.

This approach ensures that every mitigation action is scientifically grounded and accountable.

Conclusion

The GHG Protocol is more than an emissions calculation tool. It is a crucial foundation for global climate action, helping companies understand their impact, set accurate reduction targets, and transition toward a low-carbon future.

The more organizations become transparent about their carbon footprint, the greater our collective opportunity to build a healthier planet. Let's drive real action together.

‍