What is Procurement Emissions?
Carbon emissions associated with the purchase of goods and services. Procurement decisions significantly impact Scope 3 emissions and offer opportunities to reduce carbon footprint through sustainable sourcing.
Why it matters
Every purchasing decision has a carbon consequence. Integrating carbon criteria into procurement processes helps businesses reduce Scope 3 emissions while building a more resilient and sustainable supply chain.
Example
A university procurement team adds a 10% carbon weighting to its tender evaluation criteria. Suppliers who can demonstrate lower-carbon products or services score higher, shifting £2m of annual spend towards lower-emission alternatives.
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.
Spend-based Data
A method that estimates carbon emissions based on financial expenditure in different categories. Spend-based calculations apply average emission factors to spending data, providing useful estimates when detailed activity data is unavailable.
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