Home - Annexure Quantification Methodologies: Energy and GHG Emissions

Quantification Methodologies: Energy and GHG Emissions

To set organisational boundaries for consolidated GHG emissions, ITC has utilised the operational control approach for the various entities covered under the Report. ITC's accounting of Scope 1, 2 & 3 GHG emissions is based on the 'GHG Protocol Corporate Accounting and Reporting Standard' and the 'GHG Protocol Corporate Value Chain (Scope 3) Accounting and Reporting Standard' issued by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD).

1. Stationary Combustion

Emission factors provided in the IPCC Guideline for National Greenhouse Gas Inventories of 2006 were used to calculate GHG emissions from stationary combustion sources.

Activity data (quantity of fuel consumed) is multiplied with the respective default energy factor or actual measured Net Calorific Value (NCVs) to arrive at the energy consumption values, which is in turn multiplied by the emission factor to quantify the direct emission from stationary combustion sources.

2. Purchased Energy

The quantification of indirect GHG emission due to purchased electricity is based on activity data (Electricity consumption in kWh) multiplied by emission factors specified in the 'CO2 Baseline Database for the Indian Power Sector User Guide', (version 11.0, April 2016) issued by Central Electricity Authority, Government of India.

Total steam purchased (Activity data) is multiplied with the specific enthalpy to arrive at total energy purchased, which in turn is multiplied by the applicable emission factors provided in the IPCC Guideline for National Greenhouse Gas Inventories of 2006.

3. Transportation

The energy consumption outside of the organisation due to road transportation is quantified by using energy conversion factors based on 'Road Transport Service Efficiency Study (India)-2005', conducted by the World Bank.

Transportation GHG emissions include, transportation of material, i.e. finished goods, raw materials and wastes, and guest travel at Hotels. Emissions from transportation of finished goods, raw materials and wastes from road, rail, air and ship are calculated as below:

Road-Activity data (tonne-km) is multiplied with the emission factors sourced from 'Road Transport Service Efficiency Study (India)-2005', conducted by the World Bank for each type of truck used.

Rail-Activity data (tonne-km) is multiplied with the calculated emission factor. Emission factor is calculated based on the information available from the Indian Railways Annual report 2013-14, Indian Railways Statistics 2013-14.

Air/Ship-Activity data (tonne-km) is multiplied with the emission factor sourced from 'Guidelines to DEFRA/ DECC's GHG Conversion Factors for Company Reporting - Freight Transport 2011' developed by the Department of Energy and Climate Change (DECC) and the Department for Environment, Food and Rural Affairs (DEFRA), U.K.

Emissions from guest pickup and drop is calculated by multiplying Activity data, i.e. distance travelled, with the emission factor based on 'Emission Factor development for Indian Vehicles', Revision 4, 2008 published by Automotive Research Association of India.

4. Minor Sources

The quantification of GHG emissions from minor* sources is based on a robust process of data collection at Unit/Division level and emission factors taken from recognised global sources, such as IPCC guidelines and assessment reports; GHG Protocol HFC Tool v10 developed by GHG Protocol initiative, WRI & WBCSD; Air transport emissions data published by DEFRA/DECC, Pulp and Paper Tool-2005; UNFCCC approved methodologies. These emissions are quantified once in three years and same value is replicated for the remaining two years. The sources that have a minor contribution to ITC's overall GHG emissions are listed below:

1. Air-conditioning
2. Process Emissions
3. Company owned vehicles
4. SF6 release from electrical circuit breakers
5. CO2 release from fire protection system
6. Gas cutting/welding
7. Waste water treatment
8. GHG emissions from composting of waste inside
the unit premises
9. GHG emissions from fertiliser application in
forestry project
10. GHG emissions due to employee air travel

5. GHG Removals

GHG removals from plantations have been calculated based on the approved methodology used in ITC's UNFCCC registered CDM project '2241: Reforestation of severely degraded landmass in Khammam District of Andhra Pradesh, India under ITC Social Forestry Project.'

*The Frequency of quantification of GHG emissions from minor sources is once in three years.