Carbon Accounting: Turning Emissions Data into Business Value

What Is Carbon Accounting?

Carbon accounting is the process of measuring and tracking a company’s greenhouse gas emissions across three categories:

• Scope 1: direct emissions from owned assets (e.g., company vehicles, on-site fuel use)
• Scope 2: indirect emissions from purchased energy such as electricity and heating
• Scope 3: all other indirect emissions in the value chain (not yet covered by ESG-X)

It turns invisible emissions into clear numbers. Without it, businesses cannot set credible reduction targets or prove progress toward net zero.

Why It Matters for Business

Carbon accounting is no longer optional. Under frameworks like the CSRD and ESRS E1, companies must disclose climate-related impacts and demonstrate measurable reductions. Beyond compliance, investors and customers now expect transparent data as a marker of trust.

It also delivers business value:

• Identifies inefficiencies in energy use and operations
• Highlights cost-saving opportunities in procurement and logistics
• Strengthens resilience and reputation with regulators, investors, and customers

How ESG-X Helps

Collecting and organizing emissions data can be one of the toughest parts of reporting. ESG-X simplifies this by:

• Automating the collection of Scope 1 and Scope 2 emissions data
• Mapping emissions across operations and subsidiaries
• Aligning reporting with standards such as CSRD, GRI, and SBTi
• Producing audit-ready reports with transparent, credible data

With tailored KPIs, companies can track energy intensity, reduction progress, and efficiency improvements in a way that supports both compliance and strategic decision-making.