» Resources » What are scope 3 emissions and why do they matter? Glossary What are scope 3 emissions and why do they matter? What are scope 3 emissions? In order for organisations to reach their net zero targets, a carbon strategy should be at the forefront of their minds. As part of that carbon strategy, it’s crucial that organisations, both SMEs and global conglomerates, are accurately measuring and managing their carbon emissions. For organisations to be able to measure their carbon footprint, they need to be able to calculate the greenhouse gas emissions that they’re responsible for. To do this, organisations must collect their operational data and use official multipliers (known as conversion factors) to translate those into carbon emissions. There are three different types of carbon emissions: scope 1, 2 and 3. Scope 1 are defined ‘direct emissions’ that you have produced from your own controlled sources, i.e. vehicle emissions from your organisation’s vehicle fleet. Scope 2 are defined as ‘indirect emissions’ from the consumption of electricity, steam, heating and cooling. Scope 3 emissions are all other indirect emissions. This can range from the carbon embodied in the materials you purchase through to emissions associated with the processing of the waste you have generated. For most organisations, these will be the largest contributor to their footprint. Why do they matter? They are incredibly important as for most organisations, in particular larger organisations of over 250 employees, they will count for the majority of the greenhouse gas emissions they emit. For organisations to effectively reduce their carbon footprint and achieve their net zero targets by either 2030 or 2050, reducing scope 3 emissions is crucial. Depending on where you sit in the supply chain, they can account for between 80-99% of your overall emissions. This means it’s crucial to be able to accurately measure your scope 3 emissions as they’ll be responsible for the majority of your organisation’s entire carbon footprint. This also means that as long as they’re measured accurately, you’ll be able to identify carbon hotspots within your supply chain and create action plans to reduce these emissions. Discover our carbon & climate change consultancy services. Billy Wilkinson Growth Marketing Manager Aug 30, 2024 Share: Related Articles September 2025 COâ‚‚ Performance Ladder PAS 2080 vs CO2 Performance Ladder: Which Fits Procurement Best? Action Sustainability Staff September 2025 COâ‚‚ Performance Ladder PAS 2080 vs CO2 Performance Ladder: Which Fits Procurement Best? The CO2 Performance Ladder is a sustainable procurement tool that supports procurement decision makers with a clear way to assess the carbon maturity of suppliers, whilst offering unique commercial incentives to promote a low-carbon economy. PAS 2080 is a BSI framework, giving organisations or individual projects the opportunity to have their holistic whole-life carbon management […] Keagan Allin August 2025 Blog New TISC guidance: Raising the Bar for UK Modern Slavery Transparency EJ Allen August 2025 Blog New TISC guidance: Raising the Bar for UK Modern Slavery Transparency In March 2025, the Home Office updated its statutory guidance on Section 54 of the Modern Slavery Act 2015 – the Transparency in Supply Chains (TISC) provision. This applies to UK commercial organisations with a turnover of £36 million or more, requiring them to publish an annual modern slavery statement outlining the steps they took […] Keagan Allin August 2025 Blog EcoVadis Explained: A Simple Guide for Suppliers Stefania Chica-Jacome August 2025 Blog EcoVadis Explained: A Simple Guide for Suppliers If one of your clients has asked you to complete an EcoVadis assessment, you’re not alone. Many large organisations now require their suppliers to go through this process to demonstrate their commitment to sustainability. If this is your first time dealing with sustainability requirements, the process might feel overwhelming but it doesn’t have to be. […] Keagan Allin