What is Scope 3?
Scope 3 is one of three major categories set globally by Greenhouse Gas Protocol that an organisation must use to report progress on their journey to reducing greenhouse gas emissions and reaching net zero. The scopes are as follows:
Scope 1 emissions
Scope 1 includes emissions from sources that an organisation directly owns or controls.
Scope 2 emissions
Scope 2 includes indirect emissions that come from the company’s purchased and produced energy, such as electricity, heating and cooling.
Scope 3 emissions
Scope 3 emissions include those that a company is indirectly responsible for up and down its value chain, including those emitted getting to and from the firm itself. Employee commuting and business travel are critical elements of the Scope 3 challenge.
What are the Scope 3 categories?
Scope 3 is the widest scope, including both upstream and downstream activities as detailed here:
Employee commuting falls under the Scope 3 category, alongside the closely linked sub-categories of business travel and transportation and distribution. Other examples of Scope3 emissions include capital goods, waste generated in operations, and processing of sold products.
Who has to report on Scope 3 emissions?
From the start of 2023, organisations with an annual turnover of greater than £5m must report on their Scope 3 emissions, alongside 1 and 2.
Scope 3 emissions are tracked as part of a company's commitment to achieving net zero. A number of high-profile public and private sector organisations are aiming to reach net zero by 2040, with some, including B Corps, going further to a 2030 target. When you have to submit reports is also influenced by the timeline of the country your organisation is operating in, with the UK legislated to achieve net zero by 2050, alongside countries such as the US and France. For more guidance on global standards, visit Greenhouse Gas Protocol.
How shared transport solutions can help
The biggest polluter when it comes to employee commuting is single-occupancy vehicle use, with an average of 62% of journeys being made by a single driver without passengers. Driving alone is the second most carbon-intensive travel method after short-haul flights. However, adding just one more passenger to your car ends up cutting the emissions by 50%.
The private car is an easy and convenient transport mode for commuting. But, over and above its soaring carbon emissions, it can pose additional challenges such as congestion, parking constraints and facilities charges. The key to reducing Scope 3 emissions is encouraging and incentivising modal shift, through tried-and-tested shared transport initiatives such as demand-responsive transport solutions and sustainable carpooling.
Demand-responsive transport
Allows organisations to complement existing transport infrastructure, by deploying flexible services minimise their carbon offset, reduce parking congestion, and create a safe, convenient and environmentally conscious shared transport experience for users within the organisation.
- Shared shuttle services can cut carbon emissions by 45% compared to a single-occupancy vehicle
- Like the name suggests, vehicles respond to employee demand via an app - meaning no empty vehicles wasting fuel driving along fixed routes
- Optimal vehicle routing algorithms mean Liftango always calculates the most efficient, sustainable route to take
- Real-time reporting on Scope 3 CO2 reduction performance with API integrations to EMS reporting systems
Carpooling
A climate-positive carpooling program to completely offset vehicle emissions, without organisations needing to commit to a new transport infrastructure. This solution also reduces parking congestion as well as the number of cars travelling to and from sites.
- Exclusive carpool network ensures that only people you want are added to your carpool network
- Dynamic matching means fast results for employees and easy shared journeys
- All carbon emissions from carpool trips get offset through our partnership with Pachama
- Real-time reporting on Scope 3 CO2 reduction performance with API integrations to EMS reporting systems
How Liftango can help
By finding a shared transport solution that underpins current challenges faced by employees on an individual level, organisations can instil behaviour change and provide a new, more convenient, and ultimately, much more sustainable transport mode. Liftango works with you to research and design the best transport solution for your organisation - using a combination of smart TransitScan technology to identify key transport gaps in your employee’s existing commute and employee surveys to get a true grasp of each individual pain point.
Creating shared transport solutions is vital to reducing Scope 3 emissions, as the quickest and easiest way to cut CO2 emissions per employee commute. Using Liftango’s trusted technology, we can help you encourage and incentivise modal shift. We’re here to help minimise your organisation’s carbon footprint and reduce single-occupancy vehicle use for good.