Objectives
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- Cost of carbon footprinting - We're free.
- Creating incentives for suppliers - Customers, either big ones or a group of small ones, could set up their own "cap and trade" scheme: Declare their supply chain emissions targets which decline over time, aligning with the Paris Agreement (-50% by 2030, zero by 2050.) Allocate tokens to suppliers based on those targets. Suppliers can trade their emissions with each other but over time must reduce them as a whole.
Providing turnkey solutions - Again using tokens, major customers could either invest in emissions projects directly and provide them to their customers (like Apple and "Enabling carbon neutrality across the value chain" in this article) or provide financing or guarantees for financing for suppliers.
- Verification - Could be done through this ledger.
- Going deep - Suppliers could get their suppliers on the ledger, and tokens could be transferred further up the supply chain.
- Address the pain points, needs and interests of emerging regulations like the CBAM on the international stage
- Communicate the importance of corporate carbon reduction efforts
Sample Supply Chains
Fruit and Produce: Fruit and produce is harvested at a farm, transported by truck, processed at a distributor facility, shipped by freight (air, truck, or rail) with refrigeration, and delivered to a grocery store or supermarket. Optionally we can consider storage at the grocery store or supermarket as an additional step in the supply chain to the final consumer.
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- GHG Protocol Emissions Calculator
- EPA Emisisons Factors
- Searates distance and time calculator for transport or similar
- Ecoinvent database or similar
- Reformation RefScale methodology contains information about textile supply chain emissions calculations
- UK Government Greenhouse Gas Reporting Factors: 2020 and 2019
- VFU Kennzahlen Tool
- Melio Data SourcesGHG Protocol Emissions Calculator Tool