In July (2025), the Greenhouse Gas Protocol (GHG Protocol) Independent Standards Board (ISB) approved key revision pathways for Scope 2 Accounting, which will now move to a 60-day public consultation this fall.
Key Revision Pathways Proposed:
🔹 New emission factor hierarchies for more accurate data
🔹 Geographic Matching of production, consumption, and redemption
🔹 Hourly Matching of production, consumption, and redemption
🔹 (Many exemptions still being discussed)
🔹 A Marginal Impact Method (MIM) which will move from strictly Attributional Accounting to a method that incorporates Consequential Accounting methods
🚨 Timeline:
• Public Consultation: Fall / October 2025
• Draft Finalized: Mid-2026
• Full Revised Scope 2 Standard: (No Sooner Than The) End of 2027
• Roll-Out: Phased Implementation
🔮Ultimately, the message seems to be that both Location and Market-Based Accounting will stay for Scope 2 Emissions Reporting. However, the requirements, particularly for Market-Based Accounting will have more stringent requirements, which will require the entire marketplace to adapt (i.e. Reporting Companies, Data Providers, Software Solutions, and the like).
More information can be found at the GHG Protocol's Website: https://lnkd.in/e9GB4gXy
