How to prepare a carbon report for electricity use
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Short answer
Emissions from generating the electricity an organisation buys are reported as Scope 2 under the Greenhouse Gas Protocol. The calculation is consumption multiplied by an emission factor. The Protocol defines two methods; the location-based method uses the grid’s average factor, and the market-based method uses contractual instruments such as Turkish YEK-G certificates.
What is Scope 2?
The Greenhouse Gas Protocol splits an organisation’s emissions into three scopes. Scope 2 is the indirect emissions from generating the electricity, heat and steam the organisation buys. For almost any organisation that uses electricity it is the easiest item in the carbon report to measure, because the data is already on the meter and the bill.
The calculation
Scope 2 emissions = consumption × emission factor
- Consumption: the active energy drawn in the period, usually in kWh or MWh.
- Emission factor: greenhouse gas emitted per unit of electricity generated, for example tCO₂e/MWh.
Example: a site uses 500 MWh of electricity a year and the factor used is 0.5 tCO₂e/MWh. Scope 2 emissions are 500 × 0.5 = 250 tCO₂e. These figures only illustrate the method; this is not a real factor.
Two methods: location-based and market-based
The Protocol’s Scope 2 guidance defines two methods. Organisations operating in markets where contractual instruments exist are expected to report the result under both.
| Method | Which factor | What it shows |
|---|---|---|
| Location-based | The grid’s average emission factor | Emissions based on the average of the grid where the organisation operates |
| Market-based | The contractually documented source of the electricity bought | The effect of the organisation’s electricity purchasing choices |
Market-based method in Türkiye: YEK-G
In Türkiye, the source of electricity generated from renewables is documented with YEK-G certificates (in Turkish). EPİAŞ launched the YEK-G system on 1 June 2021; each certificate represents 1 MWh of renewable electricity fed into the grid. Participation is voluntary. In the market-based calculation, consumption matched to certificates uses the factor of the source named on the certificate.
Choosing an emission factor
Türkiye’s Ministry of Energy and Natural Resources publishes an emission factor information form (in Turkish) for the national grid. The factors in the form are prepared for calculating emission reductions achieved by electricity generated from renewable sources. Confirm which factor to use in your corporate inventory against the framework you report under, and state the source and year of the factor in the report.
Data checklist for the report
- Where does consumption come from: the bill or the meter? Do the two agree for the same period?
- Do the reporting period and the billing periods line up?
- Are any meters or periods missing data? If so, is it written down how the gap was filled?
- Are all sites and supply points in scope?
- Are the source and year of the emission factor stated?
- In the market-based calculation, is consumption covered by YEK-G or similar certificates shown separately?
Frequently asked questions
What is the difference between Scope 1, 2 and 3?
Scope 1 covers direct emissions from an organisation’s own sources (e.g. gas burned in a boiler). Scope 2 comes from generating the electricity, heat and steam it buys. Scope 3 covers other indirect emissions in the value chain.
Why do location-based and market-based results differ?
The location-based method uses the grid average. The market-based method looks at the contractually documented source of the electricity the organisation buys; if a renewable source is documented, the result is lower.
What is a YEK-G certificate?
It is the Turkish certificate that documents the source of electricity generated from renewables. EPİAŞ launched the system on 1 June 2021; each certificate represents 1 MWh.
Which emission factor should I use?
It depends on the framework you report under. The grid emission factor form published by the Turkish Ministry of Energy is prepared for calculating emission reductions from renewable generation projects; confirm the factor for your corporate inventory against your reporting framework.
Sources
How you do this in GenieBlocks
In GenieBlocks, Scope 2 emissions are calculated on a location-based and market-based basis from the same data as measured consumption; bills and ready-made reports are on the same platform.
How the platform helps
- Carbon & SustainabilityScope 2 location-based and market-based emissions.
- ReportsReady-made energy reports.
- Invoice TrackingTracking and checking the invoices issued to the site.