09/01/2023
Tracking, managing and reporting emissions has never been simpler and more accurate
In the current scenario, transparency regarding emissions has become crucial for industries. Achieving established goals and targets is a complex and challenging task. Viridis Carbon emerges as a key player in empowering industries to tackle these challenges with transparency and agility.
Control Mechanisms: ETS and CBAM
Industries face increasing pressure to comply with environmental control mechanisms and commitments. The Emission Trade System (ETS) and the Carbon Border Adjustment Mechanism (CBAM) are examples of mechanisms that industries need to adapt to.
• Emission Trade System (ETS) - Each European industry will receive an annual emissions quota. Each year, the quota will decrease. Reducing the annual allocation of emissions is a way to encourage continuous emissions reduction. Companies emitting less than their allowed quota can sell the surplus to another company emitting more than their allowed quota.
• Carbon Border Adjustment Mechanism (CBAM) - CBAM aims to balance emissions from imported goods, avoiding "Carbon Leakage." The goal is to establish a fair price for emissions related to imports into the European Union. This ensures that the carbon price for imports is equivalent to the carbon price of domestic production, thereby preventing "Carbon Leakage." The calculation of the payments will take into account not only the carbon footprint but also the exporter's decarbonization efforts.
What do industries need?
Industries need to track, report, and manage their emissions. In this process, the common need is for transparency, accuracy, and agility.
MANAGING + TRACKING + REPORTING TRANSPARENCY / ACCURACY / AGILITY
How is the "tracking, managing & reporting" process currently done?
According to Energy Efficiency Engineer Paula Pomaro, metallurgical industries consist of a large number of complex processes. Tracking and managing all emission streams is a challenging task. In the current monitoring format, emission information is scattered throughout different production areas and collected periodically for emissions inventory.
And what are the problems faced?
• The process becomes time-consuming and complex: there are hundreds of direct and indirect emission streams, with information scattered throughout the industry.
• Information may have low reliability: conflicting information and calculation methodologies are encountered.
• Management and continuous improvement are limited: inventory is conducted late, providing few insights into necessary improvements. Management is limited to reactive rather than preventive activities.
How can the process be improved? Redefining the "Tracking, Managing & Reporting" process with the Vetta solution: Viridis Carbon
Viridis Carbon is a digital solution for tracking, reporting, and managing industrial emissions. Through continuous data acquisition, it employs artificial intelligence resources to provide emissions management insights. Among its functionalities, we find:
• Real-time tracking of Scope 1 and 2 emissions;
• Use of a robust methodology for calculating Scope 3 emissions;
• Generation of Product Carbon Footprint (PCF) reports according to different standards and regulations for selected periods;
• Generation of fully transparent and auditable information;
• PCF generation per finished product.
Measurable Benefits
• Data Transparency - Viridis will function as a reliable single source of data, centralizing information that is typically stored in different databases. The methodology used aligns with recognized standards and regulations, and the calculations are fully auditable.
• Traceability - With the tool, it will be possible to track hundreds of emission streams and the points in the process where actions are most needed in real time. The approach used enables the evaluation of emissions performance over time in different production processes within the industry, providing insights into necessary improvements.
• Flexibility - Various reporting standards can be configured in Viridis Carbon, providing high flexibility in reports according to different norms and regulations.
• Agility - All necessary information is readily available in the system. The process of obtaining permits and certificates, such as those issued by CBAM, ETS, or a certifying entity, can be facilitated due to the availability, readiness, and auditability of information.
• Governance - Transparency and improved emissions management promote operational efficiency, enhance corporate reputation, align the company with global goals, and attract sustainable investors.
Learn more about the Viridis Energy & Sustainability suite
The Viridis Energy & Sustainability suite is an ecosystem of applications designed to address specific challenges. The applications work together, powered by a common database and cutting-edge technology. Combining efficiency and innovation, the suite collaborates to help industries prepare for a more sustainable future.
Be part of this transformation as well. Discover Viridis Carbon and the Viridis Energy & Sustainability Suite to lead the way toward transparency and efficiency in industrial emissions. Get in touch.