Proof’s GHG 360 Tool adheres to the Greenhouse Gas Protocol, the leading global standard for carbon accounting. It offers flexible input options, including both spend-based and usage-based data, and relies on information from verified sources such as government and environmental agency databases, academic studies, company reports, and regulatory disclosures. The data is regularly updated in partnership with industry experts to ensure accuracy.
Calculation Methodology
The GHG 360 Tool collects data across Scopes 1, 2, and 3 emissions by asking targeted questions about your business activities.
Learn more about each scope with Proof’s explainer or visit the GHG Protocol FAQ.
Data Collection and Calculation
For each business activity, the tool applies corresponding emissions factors to your data inputs to compute your overall carbon footprint in metric tons of CO2 equivalent (tCO2e):
(Business activity × Emission factor) = Organization's Carbon Footprint.
Business Activity Input: Data such as fuel consumption, energy usage, distance traveled, or expenditures.
Emission Factor: The amount of CO2e emitted per unit of activity, matched to specific fuels, activities, and regions.
When emissions factors for a specific region are unavailable, the tool uses the closest regional data or U.S.-based factors, adjusting spend-based inputs for taxes, trade margins, currency, and inflation.
Scope 1: Direct Emissions
Scope 1 emissions include three categories: Stationary Combustion, Mobile Combustion, and Refrigerants (i.e., Fugitive Emissions).
Stationary Combustion
Inputs: Fuel consumption or spend.
Calculation: Multiplies known fuel consumption by emissions factors; converts expenditure data using EXIOBASE3 factors if fuel consumption is unknown.
Mobile Combustion
Inputs: Fuel consumption, distance traveled, or spend.
Calculation: Multiples known fuel consumption by emissions factors; converts distance traveled to fuel volume using economy factors, or converts expenditure data using EXIOBASE3 factors, if fuel consumption is unknown.
Refrigerants (Fugitive Emissions)
Inputs: Refrigerant type, amount installed, used, or recycled.
Calculation: Uses the Simplified Material Balance Method to estimate installation, operation, and disposal emissions based on the Global Warming Potential (GWP) of each refrigerant.
Scope 2: Indirect Emissions from Energy
Scope 2 emissions are divided into two categories: Purchased Electricity and Purchased Heating. Purchased Electricity is calculated using both a “Market-Based” approach and a “Location-Based” approach.
Location-based accounting reflects emissions based on the average grid electricity mix in the region, while market-based accounting reflects emissions based on specific energy purchases, such as renewable energy consumption, highlighting a company's energy sourcing choices.
Purchased Electricity
Inputs: Electricity consumption or expenditure.
Calculation: Multiplies known electricity consumption (total and renewable) by emissions factors; converts expenditure data using EXIOBASE3 factors if electricity consumption is unknown.
Purchased Heating
Inputs: Heating consumption or expenditure.
Calculation: Multiplies known heating consumption by emissions factors; converts expenditure data using EXIOBASE3 factors if electricity consumption is unknown. Cooling and steam emissions are not included.
Scope 3: Value Chain Emissions
The GHG 360 Tool calculates Scope 3 emissions for six categories, as defined by the GHG Protocol: Purchased Goods and Services (Category 1), Capital Goods (Category 2), Upstream Transportation and Distribution (Category 4), Waste Generated in Operations (Category 5), Business Travel (Category 6), and Downstream Transportation and Distribution (Category 9).
Calculation: The tool uses 'cradle-to-gate' emission factors from the EXIOBASE3 Multi-Regional Environmentally Extended Input Output (EEIO) Model, multiplying these factors by submitted expenditure data to calculate emissions in tCO2e. It adjusts for tax, trade, and transport margins by using EXIOBASE3’s sector and country-specific data, with additional adjustments for currency exchange rates and inflation from sources like the UN Treasury, IRS, World Bank, and Eurostat.
Exclusions: Emissions from categories not derived from expenditure data, such as employee commuting, investments, and other downstream activities not directly paid for by the reporting organization, are excluded.
Limitations
Calculations are based on reported data and industry averages, which may introduce some uncertainty. Results are not independently verified by Proof and should be considered as estimates guiding action.
Conclusion
Proof’s GHG 360 Tool provides a rigorous and transparent approach to carbon accounting, enabling companies to measure and manage their emissions effectively according to global standards.