Supplier to Customer: End-to-End GHG Reporting Guidance

Smart Freight Centre and the World Business Council for Sustainable Development (WBCSD) are united in a mission to increase transparency on carbon emissions and work towards a net-zero logistics sector. In partnership with over 25 leading global organizations, supported by the World Economic Forum, with McKinsey & Company providing analytical insights and advisory guidance, this consortium takes the next steps in achieving net-zero logistics by co-developing an actionable and implementable guidance to quantify the impact of GHG logistics emissions from supplier to final customer; an End-to-End Guidance.

Enabling companies to better quantify GHG emissions

The overall goal of the End – to – End Guidance is to enable companies to better understand how to use data and calculation methods to quantify the GHG output of their supply chain from the supplier to their customer. We aim to get to a point where, with the right granularity of available data, we are able to communicate a guidance on the most effective methodology of GHG calculations.  

GLEC Framework 2.0

We co-develop a guidance to implement the GLEC Framework 2.0, providing a simple, consistent and actionable calculation methodology cross-transportation modes and cross-geography based on representative transportation use cases and user needs. In the end, the guidance will explain the calculation steps which are most appropriate when having access to primary data. Apart from clear calculation steps, data accountability and data sharing amongst shippers and carriers would allow for more impactful supply chain decarbonization.  

Improving guidance on GHG Reporting

Today the GLEC Framework 2.0 provides the international methodology framework for the quantification and associated reporting of GHG emissions from logistics operations within supply chains. The complexity of modern supply chains induces many possible interpretations of the GLEC Framework. With this guidance, our ambition is to propose a clear actionable methodology on how to calculate emissions and to report them end – to – end. Additionally, this guidance will introduce the concept of an input data quality indicator used to inform the total emissions and emission intensity of transport chains. Lastly, the process of assuring the results will be explained and a scoring of assurance indicator will be introduced too.
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What does the End-to-End Guidance bring you?

The guidance will be co-developed in 10 workshops and launched in January 2023. It delivers:

  • Advice on how to collect and organise data;
  • Preferred key performance indicators to evaluate the GHG emissions with;
  • A recommended assurance process;
  • Examples on how to apply the methodology based on realistic data.

Connecting the dots

It is important to underline that the project builds upon the following activities:

  • Extensive development and testing of the GLEC Framework undertaken by SFC and GLEC members between 2015 and 2018 as well as 10 user case studies undertaken within the EU-funded LEARN project 2016-2019

  • The Data Access and Exchange Guidance and Data Protocol developed by SFC within the ongoing Data Access and Exchange project. This provides guidance and defines a sdata model to facilitate data exchange across stakeholders in a supply chain for the calculation and reporting of GHG emissions.

  • The WBCSD Carbon Transparency Pathfinder and its Pathfinder Framework, which provides guidance for the calculation and technology exchange of product life cycle emissions, with a focus on increasing data granularity, consistency and comparability.

  • The AFNOR Spec X43-072 “GHG Performance of e-commerce deliveries” that provides a clear operational calculation methodology for road e-commerce deliveries CO2e emissions.

  • The EN CEN/TC 331 developments concerning Parcel Delivery Environmental Footprint: Methodology for calculation and declaration of GHG emissions and Air pollutants of parcel logistics delivery services.

  • ISO 14083

  • Clean Cargo methodology

Project Approach

The co-development of this guidance follows a collaborative approach on defining the main challenges that partners face and conceptualizes them. 10 workshops are providing insights and data as needed for the qualitative research. These challenges, act as a starting point to identify uncertainties in the calculation of emissions in supply chains. The diverse participant profiles and transport operations, covering multiple transport modes, cross-geography and cross-transportation modes ensure a good representative sample of business operation. After collecting and studying these challenges, the specific content of the workshops was set. At each workshop part of those challenges is debated and reflected upon. By participatory debates, new guidance can be formed which will be accepted and applicable to the industry practices.

Project Timeframe

The kick-off date for the project was on March 9th, 2022 and a soft launch on March 29. The intended delivery of the agreed guidelines is set to be delivered by end of 2022 and the formal launch is expected to be in January 2023. A draft of the Guidance is available upon request for organizations interested to provide their inputs.

Contact

If you want to find out more information about this project, please contact: Rik Arends: rik.arends@smartfreightcentre.org.
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