Transforming Scope 3 Emissions Management with REALGREEN’s Innovative Solutions
Managing Scope 3 emissions—those indirect emissions occurring throughout a company’s value chain—poses significant challenges due to their complexity and the necessity for comprehensive data collection. Recent innovations in Real Variable’s emissions management software, REALGREEN, are addressing these challenges through several key developments:
- Integration of Life Cycle Assessment (LCA) Approaches
REALGREEN incorporates LCA methodologies to enhance the breadth of Scope 3 data collection. This approach enables companies to assess environmental impacts across a product’s entire life cycle, from raw material extraction to end-of-life disposal, providing a more comprehensive understanding of their emissions footprint.
- Application of Artificial Intelligence (AI) for Data Accuracy
AI-powered tools are being utilized to improve the precision and granularity of emissions data. By automating the allocation of emissions factors and analysing vast datasets, AI facilitates more accurate tracking and reporting of Scope 3 emissions, thereby enhancing the reliability of sustainability reporting.
- Development of Open Data Models for Standardization
The creation of neutral, open-data models, such as the Open Footprint Data Model Standard, aims to standardize emissions data across industries. This standardization allows for seamless integration and sharing of emissions information, akin to financial data, thereby reducing inconsistencies and facilitating more effective climate action.
- Enhanced Supplier Engagement Platforms
Recognizing that a significant portion of Scope 3 emissions originates from the supply chain, REALCOLLAB – Multi tier supplier collaboration solution is developed to improve supplier engagement. REALCOLLAB assist companies in collecting detailed emissions data from suppliers, enabling more accurate reporting and targeted decarbonization efforts.
- Utilization of Connectivity Technologies
The deployment of connectivity technologies along with REALWARE – Real Variable’s Low-Code Middleware platform, including Internet of Things (IoT) sensors and 5G networks, facilitates real-time data collection on emissions. For instance, on-board telematics in transportation fleets can monitor fuel consumption and emissions using REALTRACE, providing actionable insights to reduce Scope 3 emissions effectively.
REALGREEN, REALCOLLAB, REALTRACE AND REALWARE collectively contribute to more effective management of Scope 3 emissions, enabling organizations to meet regulatory requirements and advance toward their sustainability objectives.
RealGreen empowers businesses to achieve Net Zero targets through precision, transparency, and accountability, setting a new benchmark for sustainability solutions
RealGreen transforms how organizations forecast, measure, monitor, and reduce their environmental footprint by leveraging real-time data, machine learning and seamless multi-tier supplier collaboration
RealGreen enables data trust and auditability. Organizations can navigate complex value chains, make data-driven decisions that drive impactful changes.
A significant obstacle in effective emission management is the lack of accurate and comprehensive data, particularly concerning Scope 3 emissions. Many organizations lack the systems and expertise to track these emissions effectively, leading to inconsistent and incomplete reporting.
In 2023, Global Greenhouse Gas (GHG) emissions reached approximately 57.4 Giga tons of CO₂ equivalent (GtCO₂e), marking a 1.2% increase from the previous year.
| Industry | Potential GHG Emission Reduction |
Key Contributions of Emission Management Software |
| Energy & Utilities | 10–20% | Optimization of energy production, real-time emissions tracking, compliance. |
| Manufacturing | 15–30% | Process optimization, waste reduction, energy efficiency monitoring. |
| Transportation & Logistics | 10–25% | Route optimization, fleet management, fuel efficiency tracking. |
| Construction | 10–20% | Monitoring equipment efficiency, material waste reduction, energy management. |
| Agriculture | 10–15% | Tracking fertilizer use, water management, and soil carbon optimization. |
| Retail & Warehousing | 5–15% | Energy-efficient warehouse operations, logistics optimization, and waste tracking. |
| Healthcare | 5–10% | Optimization of building energy use, waste reduction, and supply chain emissions. |
| Technology | 5–10% | Data center energy optimization and carbon offset tracking. |
REALGREEN is not only solving existing challenges but also unlocking new opportunities for businesses. By providing accurate, actionable insights, REALGREEN and associated solutions empower companies to set realistic emissions reduction targets and track progress with confidence. Moreover, improved transparency and collaboration within supply chains can enhance relationships with stakeholders, from investors to consumers, who increasingly demand sustainability.
In a world where regulatory pressures and public scrutiny around carbon emissions are intensifying, adopting advanced emission management solutions is no longer optional—it’s imperative. As the sustainable way of doing business continue to evolve, REALGREEN will play a crucial role in helping industries achieve their net-zero goals and build a more sustainable future for all.
Below is an overview of Scope 3 emissions across various industries, along with key reduction targets and strategies.
Industry-Specific Scope 3 Emissions Statistics
- Oil and Gas: Scope 3 emissions dominate this sector, accounting for approximately 89% of total emissions. For instance, Shell reported Scope 3 emissions nearing 800 million metric tons of CO₂ equivalent in 2023, primarily from the use of sold products.
- Financial Services: In this sector, Scope 3 emissions can represent up to 100% of a company’s total emissions, largely due to investments and financed activities.
- Food Manufacturing: Scope 3 emissions can constitute between 90% to 95% of total greenhouse gas emissions, stemming from agricultural production, processing, and distribution.
- Fashion Industry: The majority of emissions are Scope 3, originating from raw material production, manufacturing, and transportation. Despite existing technologies to reduce these emissions, the industry’s carbon footprint is increasing, indicating a need for systemic change.
Key Targets for Scope 3 Emission Reductions available in public domain
- Science-Based Targets Initiative (SBTi): This initiative recommends that companies with significant Scope 3 emissions set reduction targets covering at least 67% of these emissions in the near term and 95% by 2050 to align with global climate goals. PwC
- Oil and Gas Sector: Companies like Shell aim to reduce absolute emissions by 50% by 2030, focusing on both direct and indirect emissions.
- Manufacturing: 3M has set ambitious Scope 3 reduction targets for 2030, aiming to significantly lower emissions across its value chain.
- Retail: Nestlé plans to source 20% of its raw materials from regenerative agriculture by 2025, contributing to its net-zero emissions goal by 2050.
By deploying RealGreen, we aim to enable organizations to reduce GHG emissions up-to 100 Million MtCo2e by 2030.
REDUCTION of 100 MILLION MtCo2e results in saving of approximately € 10 Billion for companies across the Globe
Reducing 100 million metric tons of Co2e would lower global temperatures by approximately 0.000045°C to 0.00005°C.
REALGREEN CONTRIBUTION TO THE ACHIEVEMENT OF SDGs:
GOAL 12: RESPONSIBLE CONSUMPTION & PRODUCTION
GOAL 13: CLIMATE ACTION
GOAL 17: PARTNERSHIPS FOR THE GOALS
Did you Know? REASONABLE ESTIMATES ABOUT PERSONAL CARBON FOOTPRINT
- A short email can generate 0.2g of co2e if sent from phone to phone
- A short email can generate 0.4g of co2e if sent from laptop to laptop
- 29g of co2e can be generated by a long email that takes 10 minutes to write, sent to 100 people, 99 of whom take 3 seconds to realize they should ignore it and of one whom reads it.
- 12g of co2e for recycled and lightweight paper bag
- 80g of co2e for a paper bag from a clothing store from mainly virgin paper
- 20g of co2e per hour on a laptop of average efficiency for a ZOOM call
- 28kg of co2e for a 5-watt low-energy bulb for one year
- 570kg of co2e for a 100-watt incandescent bulb for one year
- 70kg of co2e a year if you use your smartphone for an hour daily
- 580 million tons of co2e for global cell phone usage
- 7 tons of co2e world average person annual carbon footprint (mike berners-lee, 2022)
- Netflix 2022 Scope 3 emission – 1,086,833 MT Co2e (Market Based Method)
- Powered by the current global average electricity mix, streaming a 30-minute show on Netflix would release 28-57 gCO2e
REALGREEN is a comprehensive solution that works with existing IT Investments. REALGREEN along with your Enterprise Resource Planning solutions will create the platform for Sustainable Enterprise Resource Planning. REALGREEN is the solution to Forecast, Set Goals, Track, Measure, Report and Verify scope 3 emissions management in most cost-effective manner.
