Managing Source Data

Objective

After completing this lesson, you will be able to setup operational boundaries, value chain steps and calculation variants, which you need to prepare for actual calculation.

Overview

You have learned to calculate corporate carbon footprints for scope 1, 2, and 3 emissions, using manual business activity generalized form in the beginner learning journey.

In this intermediate learning journey, we show you a more advanced calculation using the energy flow model.

Note

In this learning journey, we will demonstrate the calculation of selected Greenhouse Gas (GHG) scope categories. Please note that these serve as illustrative examples and do not constitute an exhaustive list of all GHG scope categories that you can calculate. With SAP Sustainability Footprint Management we cover all scope categories according to the Green House Gas Protocol.

In this lesson, you'll learn to set up organizational boundaries and configure calculation variants to calculate GHG emissions for scope 1, scope 2, and scope 3.3 with energy flow models.

Calculating GHG Scope 1, Scope 2, and Scope 3.3 Emissions with Energy Flow Model: Process Flow

For calculating GHG emissions for scope 1, scope 2 and scope 3.3 with energy flow model, you begin the process with uploading the necessary master data to define the organizational boundaries of the companies and plants involved. The purpose of the step is to establish a clear and structured organization of the entities whose emissions will be tracked.

Next, you define the scope of the analysis by setting organizational boundaries and selecting the relevant steps in the value chain, focusing specifically on direct emissions and energy consumption. By doing so, you can clarify which emission sources are to be included, ensuring that all relevant direct emissions and energy consumption activities are covered. We'll see the detailed system steps for footprint inventory scope later in the lesson.

Note

When setting footprint inventory scope definition for scope 2 categories, you also need to create calculation variant for Location-based and Market-based calculation, respectively. We'll also cover the system steps to create calculation variants in this lesson.

After defining the footprint inventory scope, you manage the emission factors to calculate the GHG emissions. You can either upload new packages or reuse existing ones, such as the United States Environmental Protection Agency (EPA) emission factor package.

Then, create energy carriers, energy sources, meters, and facilities for the respective plant to model the energy flow for the plants. Connect the energy sources to facility via meters and release the energy flow model of the plant.

Note

In Energy Source, choose energy type as fuel and map the right emission factor based on the Energy Carrier using the emission factor packages. Choose the 3.3 upstream emission factor as well based on supplier specific or average values.

After that, initiate the periodic inventory calculation based on the defined scope, and select the energy flow for the plants in scope.

Note

When initiating the periodic inventory calculation for scope 2 categories, also choose the calculation variant.

Then record the energy bills consumed quantity by energy source. Also, record the previous and current meter readings of the energy carrier.

Before proceeding with calculations, perform a data readiness check to ensure all required input data is available. Once confirmed, start the periodic inventory calculation.

Finally, review the results of the calculation in CO2 equivalents.

This process enables comprehensive tracking and evaluation of your company's greenhouse gas emissions if meter data is available and manual input of energy consumption is feasible.

In this lesson, you will focus on the first two steps of the overall process flow.

A flowchart illustrates a process with nine key steps. These steps guide the user through setting organizational boundaries, defining scope, creating calculation variants, uploading or reusing emission factors, creating energy flow model, calculating footprints, recording energy bills, checking data readiness and reviewing results in CO2 equivalents. The first and second steps which are setting organizational boundaries and defining scope and creating calculation variants are highlighted by a dotted line.

Footprint Inventory Scope

The footprint inventory scope defines the scope of the footprint calculation for the reporting organization.

When setting the footprint inventory scope, our model company, AlmikaSoft, focuses on Product Acquisition and Direct Emissions and Energy Consumption. Additionally, GHG forms are used to track waste generated in operations. Since AlmikaSoft is a service company without production, other value steps are not relevant in this context.

Let's look at the system steps to define the scope for footprint calculation.

  1. Select Manage Footprint Inventory Scopes application to change the Footprint Inventory Scope.A screenshot showcasing a digital interface with several modules. The Manage Footprint Inventory Scopes module is highlighted. Each module features a title, an icon, and some display additional information like pending reviews.
  2. Select the details by selecting '>'.A screenshot displaying a single Footprint Inventory Scope. This scope, named ASO_GROUP_MONTHLY, is set with a validity period ending on December 31st, 9999, suggesting a long-term configuration. The interface suggests editing functionalities for managing these scopes.
  3. Select the Edit button.The image shows a screenshot of SAP software's Footprint Inventory Scope section. The main subject is the ASO Group FI Scope, for which general information, company assignments (AlmikaSoft SE), and value chain steps are displayed. The user is currently configuring the scope, with a note indicating the interdependency of some value chain steps.
  4. Select the Value Chain Steps: Product Acquisition and Direct Emissions and Energy Consumption.A screenshot shows the Assigned Companies section of a footprint analysis tool. The image highlights two selected value chain steps: Product Acquisition and Direct Emissions And Energy Consumption, indicating the user's focus on these areas for their footprint calculation.
  5. Click Save. Ensure that "Waste Generated in Operations" is not activated.A screenshot showing a footprint inventory scope configuration for ASO Group. The image highlights the Assigned Companies and GHG Data Forms sections. Key elements include selecting value chain steps and activating business activities for data collection.

You've defined the footprint inventory scope.

Create Calculation Variants

A calculation variant determines how the footprint inventory is calculated. It's formed by combining two or more calculation methods.

The video shows the detailed steps to create calculation variants.

Note

You can opt between Location-based and Market-based calculations. This distinction is crucial for energy emissions accounting, aligning with the GHG Protocol Scope 2 Guidance, which mandates the use of both methods.

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