What is Downstream Emissions?
Scope 3 emissions that occur after a product or service leaves an organisation. This includes transportation and distribution, processing of sold products, use of sold products, end-of-life treatment, leased assets, franchises, and investments.
Why it matters
For product companies, downstream emissions can be substantial. If your product requires energy during use or generates waste at end of life, these emissions are part of your reported footprint. Designing for lower downstream impact can be a competitive advantage.
Example
An appliance manufacturer finds that the energy consumed by its products during their 10-year lifespan accounts for 40% of total Scope 3. Improving energy efficiency ratings directly reduces the company's reported footprint.
Related terms
Scope 3 Emissions
All other indirect emissions occurring in an organisation's value chain, both upstream and downstream. Scope 3 typically represents 70-90% of a company's total carbon footprint and includes emissions from suppliers, business travel, employee commuting, and product use.
Upstream Emissions
Scope 3 emissions that occur in the supply chain before a product or service reaches an organisation. This includes emissions from purchased goods and services, capital goods, fuel and energy activities, transportation, waste, business travel, and employee commuting.
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