GREENHOUSE GAS REPORT

Mandatory carbon footprint

Greenhouse Gas Emissions Report

It is mandatory for a category of companies, local authorities, public establishments and State services to carry out their greenhouse gas (GHG) emissions report, within the framework of the Grenelle II Law from the 12th of July 2010.

The objective of this GHG Emissions Report is to establish a diagnosis for the direct and indirect emissions. It concerns public and private players in all types of sectors of activity. It helps them to identify actions to reduce these emissions.

What is

the carbon footprint?

The carbon report makes it possible to identify and then calculate the total amount and distribution of greenhouse gas emissions in one’s organization.

It must be carried out in accordance with the rules and methods approved (in France by the Ademe) and allows companies :

  • To know the distribution of their greenhouse gas emissions sources, in order to establish a specific action plan to reduce them, particularly the energy consumption.
  • Anticipate fluctuations in the price of fossil fuels and carbon-sensitive raw materials,
  • To reduce the company’s energy expenses : by being aware of its main emission factors, the company will be able to reduce them and anticipate the payment of a too high carbon tax.
  • To show initiatives have already been taken to measure its emissions and reduce them. This is often an advantage in call of tenders selection.

What is

the GHG Emissions Report?

The regulatory greenhouse gas emissions balance (GHG carbon footprint), also known as the mandatory carbon balance, stems from Article 75 of Act No. 2010-788 from the 12th of July 2010, known as the Grenelle II Act.

In the decree of the regulatory GHG report implementation, the contained obligations concern emissions from :

  • Scope 1: direct emissions
  • Scope 2: Indirect emissions (electricity/heat)

It is recommended but not mandatory to take into account the scope 3 of the Carbon Footprint :

  • Scope 3: other indirect emissions

However, it is strongly recommended to draw up a complete carbon balance covering all 3 scopes, i.e. all direct and indirect emissions, as for a single organisation, approximately 75% of the emissions are represented by scope 3.

It should also be added that reduction actions must be included in this assessment.

Better understanding of direct and indirect emissions

Discover the mapping of scopes 1, 2 and 3 according to the GHG protocol

In France

Regulations and penalties

Since June 2011, in the framework of the Grenelle II Law from the 12th of July 2010, a method has been required for those eligible to draw up their report:

  • Every 4 years for companies with more than 500 employees
  • Every 3 years for communities with more than 50,000 inhabitants and public institutions with more than 250 employees.

This is the regulatory method supported by Article 75 of the Grenelle II Law, which covers, beyond scopes 1 and 2, the company’s upstream and downstream related activities (Scope 3) since Decree no. 2016-1138 of 19 August 2016. Environmental information have to be included in the management report of companies.

PENALTIES: Since the law n° 2019-1147 of November 8, 2019 related to energy and climate, failure to produce or publish the GHG emissions report may be punished by a fine of up to €10,000 with a maximum of €20,000 if the offence is repeated.

Let us also remind the framework of systematic calculations of a carbon balance in the ordering procedures :

  • under the environmental aspects that can be retained among the criteria evaluated, a buyer is perfectly authorized to require, in its consultation rules, the production, by the candidates, of the carbon footprint report (reference: Question AN published in the Official Newspaper on: 28th of May 2019 / Answer published in the Official Newspaper on: 27th of August 2019  at page: 7760)

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Calculate your company's carbon footprint in full compliance

Calculate your company's carbon footprint in full compliance

GCI offers a set of proven calculators in usage since 2012 allowing the company to perform its own calculations and reports usable enforceable for each of the scopes concerned.

Reduce your GHG emissions through positive climate action

Reduce your GHG emissions through positive climate action

GCI’s digital platform offers everyone, from small businesses to large corporations, a set of online recommendations and tools to share best practices in order to reduce their carbon footprint.

Offset by committing to projects that integrate Sustainable Development Objectives

Offset by committing to projects that integrate SDO

As an international stakeholder, Global Climate Initiatives offers carbon offset projects, linked to SDOs, selected and (co-)developed by our experts directly on site.