FAQ: How Can I Calculate the Carbon Impact of my Supply Chain?

2024-04-24T22:31:49+00:00August 25th, 2020|FAQs|

Calculating the impact of supply chain carbon emissions has become a popular topic for industry leaders to bring to the board room, but has the perceived complexity of meeting international compliance standards, such as EN 16258 and GHG Protocol, stalled businesses desperately looking for a solution?

Here are the basic steps to calculation the carbon emissions of a supply chain:

  1. Define the transportation & transfer points along your routing plan, such as origins, destinations, port, airport, and other waypoints.
  2. Identify modes of transport types, descriptions, and parameters such as fuel type, axles, emissions factors.
  3. Determine and sum emissions calculation based on freight, base emissions factor, routing, freight allocation, load factors, and empty returns.
  4. Factor in Well-to-Tank (WTT) and Tank-to-Wheel (TTW) activity to get the complete Well-to-Wheel sum.
CARBON EMISSION CALCULATION FORMULA

Well-to-Wheel (WTW) Emissions per Transport = Transport Distance x Mass of Freight Transported (Tank-to-Wheel (TTW) Vehicle Emissions per Net Ton km + Well-to-Tank (WTT) emissions per Net Ton km)

EMTi = Di* M* (EMVtkm,i + EMUtkm,i)

Seems simple, right? 

Except that the sources used to calculate emission factors, such as energy consumption, greenhouse gases and air pollutants, are continuously being updated…

And, because factors like greenhouse gases are based on fuel consumption, and different types of fuel can have country-specific mixtures.

Not to mention, businesses also need to include all Well-to-Tank and Tank-to-Wheel factors for a complete Well-to-Wheel calculation.

Well-to-Tank (WTT) = Processes before a mode of transport can consume fuel or electricity – extraction, production, refining, and distribution of fuel.

Tank-to-Wheel (TTW) = Energy consumption by modes of transport.

Is there a simpler way?  Where do I get all of the information to plug into that formula?

Luckily, most of the information needed to calculate supply chain carbon emissions is usually readily available in most transportation, warehouse and inventory management systems.  The trick is matching it up, usually across multiple large Excel spreadsheets, and considering all of the Well-to-Wheel factors.

At Green, the process goes like this:

  1. Green sends the business a list of data points
  2. The business then locates where these data points in internal systems & sends all reports back to Green in whatever format they have available
  3. Green collects Well-to-Wheel and emissions factors
  4. Green performs magic to provide business with compliant carbon emission metrics

You can find plenty of “calculators” when looking to Google for a simple solution, but these are akin to estimates, at best. It’s important to invest in a reputable calculation that can be brought to stakeholders to make corporate decisions, used in sustainability reporting or to support carbon offset initiatives.

Can Green Worldwide Shipping help me with the calculation?  What if I’m not already a customer?

Of course, or we wouldn’t be writing this article.  And yes, Green freight experts are able to guide existing customer and inquiring minds, alike, through even the most complex of supply chain carbon calculus.

Read more about Green’s Carbon Offset program: https://www.greenworldwide.com/sustainability/green-carbon-mission/

Or Contact us anytime at greenworlwide.com

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