Scope 3, Category 11 is defined in the GHG Protocol and covers emissions from the use of goods and services sold by the reporting company.
It comprises the scope 1 and 2 emissions of consumers and business customers that use the final products.
As an example explanation, we've broken down how these emissions would be worked out specifically for an oil and gas company.
For an oil and gas company, Scope 3 Category 11 emissions will include combustion of sold crude oil and gas, as well as any derived products after refining.
So, how can this be calculated for an oil and gas company?
Identify or estimate the proportion of different 'sold products'. This can be either:
the actual or estimated refinery products
an industry average of product combustion versus other uses (easier for gas than oil!)
Calculate the volumes - companies are good at knowing how much they have produced and sold, and for future developments we can look at production forecasts.
Decide on the most appropriate emissions factors to use to calculate the GHG emissions from the use of each of the products.
Calculate and add up the emissions. For oil and gas companies, Scope 3 Category 11 emissions are usually more than 80% of their total emissions.
For more on how we approach this fast-evolving topic, take a look at our case study: https://www.esgable.com/scope-3-category-11-emissions
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