How to Prepare Your Business for GHG Emissions Assurance

Companies focus more on sustainability, GHG emissions assurance has become important for proving accountability. Accurate and verified emissions data builds trust and makes your ESG reporting perfect.

Effective carbon accounting and strong internal controls help businesses align with regulatory expectations and investor demands. But before the verification starts, companies must assess their ESG audit readiness, from organizing data systems and documentation to assigning clear roles and responsibilities. 

This article provides a simple guide to help your business get ready for the GHG assurance and verification process, covering a pre-audit checklist, common data issues, and tips for working smoothly with third-party verifiers. 

Common Challenges in GHG Emissions Data Collection

Collecting accurate GHG emissions data can be difficult, especially for large or supply chain organizations. Here are some main challenges that businesses face:

Lack of Data Infrastructure: Many organizations do not have a single system to track energy, fuel, and transport emissions. When data is stored in different places or spreadsheets, it becomes difficult to gather, increasing mistakes and delays in reporting.

Lack of Standardization: Different clients and regulators ask for emissions data in various formats and frameworks such as the GHG Protocol, ISO 14064, or industry-specific methods. This leads to confusion and wasted time because teams keep redoing the same data.

Limited Carbon Accounting Knowledge: Carbon accounting requires understanding Scopes 1, 2, and 3 emissions, calculation methods, and reporting rules. Many organizations lack trained staff or up-to-date knowledge, which can lead to inaccurate reporting or the need to hire expensive external experts.

Methodology Differences Across the Value Chain: For Scope 3 emissions, companies often rely on average industry data instead of real supplier data. This approach overlooks key differences like location, energy mix, and production methods, leading to less accurate results and missed opportunities for emission reductions.

Data Verification and Accuracy: Even when data is collected, verifying it can be tough. Self-reported data may be unreliable, and third-party verification takes time and resources. 

Maintaining detailed records and clear calculation methods is essential, but many organizations struggle to organize this information efficiently.

Overall, these challenges make carbon accounting time-consuming and complex. Without reliable and standardized data, companies risk inaccurate reporting, reduced credibility, and ineffective emission reduction strategies. 

Internal Roles and Responsibilities

Internal GHG assurance roles include the management and sustainability teams who create and manage the emissions inventory, and an internal audit team that checks and verifies the data. Their main tasks are setting boundaries, collecting accurate data, ensuring compliance with GHG reporting standards, and conducting internal reviews for accuracy. 

Ensure data accuracy: Every employee involved in GHG Emissions Assurance plays a vital role in maintaining the accuracy and completeness of the emissions data they provide. Reliable data forms the foundation for a credible inventory and ensures that the verification process runs smoothly.

Follow company policies: All employees must adhere to internal policies, procedures, and guidelines related to GHG emissions management and reporting. Following these standards ensures consistency across departments and compliance with recognized reporting frameworks such as the GHG Protocol and ISO 14064, which are key to effective GHG Emissions Assurance.

Validate information: The internal audit or assurance team should independently validate and verify the emissions data to confirm its accuracy and completeness. This verification process strengthens confidence in the organization’s sustainability reporting and demonstrates transparency to stakeholders. 

Review ESG governance:Assess the organization’s ESG maturity and governance framework to ensure a strong foundation for GHG Emissions Assurance. A well-defined governance structure supports better oversight, accountability, and continuous improvement in emissions reporting.

Identify and assess risks: Conduct comprehensive risk assessments related to ESG and emissions data management. Identifying potential gaps in systems, processes, and reporting mechanisms helps minimize errors and ensures a more reliable verification process. 

Conduct internal audits: Regular internal audits are essential for effective GHG Emissions Assurance. They ensure that controls and processes for emissions data collection, management, and reporting are functioning as intended and comply with established standards.

Improve systems and processes: Continuously review and enhance the organization’s GHG management systems and reporting processes. Improving data collection methods, training teams, and integrating digital tools helps streamline the verification process and ensures long-term accuracy and reliability in GHG Emissions Assurance.

Timeline of the GHG Emissions Assurance Process

The GHG Emissions Assurance process typically takes around 12 weeks and includes three main phases: planning, fieldwork, and reporting. 

The exact timeline depends on the type of engagement, reasonable assurance requires more detailed checks, while limited assurance is less intensive.

1. Planning and Defining the Scope (Weeks 1–4)

• Understand the purpose of the assurance engagement.
• Define the emissions data and processes to be included in the verification process.

2. Fieldwork and Data Analysis (Weeks 5–8)

• Collect and test emissions data from all relevant sources.
• For reasonable assurance, extensive procedures are performed, including detailed checks and control assessments.
• For limited assurance, procedures are simpler but still ensure data reliability.

3. Report Compilation (Weeks 9–12)

• Compile the results of the verification process into a clear report.
• The report provides a conclusion on the accuracy and completeness of your GHG emissions data.

Why Choose Sustrack for GHG Emissions Assurance?

Nowadays, accurate GHG emissions data is important for transparency, compliance, and credible ESG reporting.

Sustrack helps companies simplify the entire GHG Emissions Assurance process, from organizing data, systems, and documentation to guiding internal teams on roles and responsibilities.

Our team makes carbon accounting easy and handles the verification process so your emissions data is accurate and ready for audits. 

With Sustrack, you can solve data challenges, work smoothly with third-party verifiers, and show stakeholders that your business is accountable. Choose Sustrack to make your GHG Emissions Assurance simple, reliable, and trustworthy.