Scope 3 emissions “continue to be overlooked” with only 15% of businesses reporting climate data through non-profit CDP setting a target to reduce these emissions from their supply chains, new data shows.
An analysis of climate disclosures made by more than 23,000 companies through CDP in 2023 found that scope 3 emissions were, on average, 26 times higher than a company’s scope 1 and 2 emissions.
However, the analysis of the CDP data carried out with Boston Consulting Group (BCG) found that only 15% of corporates have set a target to rescue scope 3 emissions from their supply chains.
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The data show that corporations are twice as likely to measure scope 1 and 2 emissions than scope 3 emissions and corporates are 2.4 times more like to set targets for the former, compared to the latter.
BCG said scope 3 emissions “continue to be overlooked” by corporates.
Sonya Bhonsle, director of strategic accounts at CDP, said: “These figures highlight that the challenge of effectively measuring scope 3 emissions is widespread and spans industries.”
“Meaningful strides toward emissions reductions require corporates to evaluate their full supply chain, then raise ambition and take accountability. The first step to driving meaningful change toward a 1.5°C-aligned net zero future begins with disclosure.”
In January this year, Shell investors urged the oil and gas company to set “credible” scope 3 reduction targets in line the 2015 Paris agreement.
