Why does scope 3 matter and what is the definition of scope 3 emissions

Scope 3 emissions are indirect emissions that are a result of an organization's activities, but which are not produced by the organization itself. These emissions occur in the value chain of the organization, and may be associated with the use of the organization's products or services by customers, or with the upstream or downstream transportation and handling of the organization's products.

Scope 3 emissions are part of an organization's greenhouse gas (GHG) inventory, and are typically reported in addition to an organization's direct (Scope 1) and indirect (Scope 2) emissions. The goal of reporting and tracking Scope 3 emissions is to provide a more complete picture of an organization's GHG emissions and to identify opportunities for reducing these emissions.

Scope 3 emissions refer to all indirect emissions from a company's activities that occur outside of its own operations. These emissions come from sources such as the production of purchased goods and services, employee commuting, and waste disposal. The criteria for determining a company's Scope 3 emissions include:

• The identification of all significant indirect greenhouse gas (GHG) emissions sources

• The quantification of those emissions

• The reporting of the emissions in a transparent and consistent manner.