Difference between revisions of "Portfolio Carbon Footprint"
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* Methodologies for assessing carbon footprints of individual portfolio components may vary significantly thereby potentially limiting the comparability of measures. | * Methodologies for assessing carbon footprints of individual portfolio components may vary significantly thereby potentially limiting the comparability of measures. | ||
* The footprint terminology might be somewhat ambiguous as to the precise scope of emissions that is being included. In some contexts the term aims to indicate that it includes the upstream (Scope 3) emissions in the supply chain of the entity being financed whereas in other contexts the most important emissions might be downstream Scope 3 emissions. | * The footprint terminology might be somewhat ambiguous as to the precise scope of emissions that is being included. In some contexts the term aims to indicate that it includes the upstream (Scope 3) emissions in the supply chain of the entity being financed whereas in other contexts the most important emissions might be downstream Scope 3 emissions. | ||
| + | |||
| + | == See Also == | ||
| + | * [[Sustainable Portfolio Management]] | ||
[[Category:PCAF]] | [[Category:PCAF]] | ||
Revision as of 17:43, 5 February 2024
Definition
Portfolio Carbon Footprint is the total Carbon Footprint of a Portfolio owned or managed by an Entity. The portfolio might composed e.g., of financial contracts of various types, procurement contracts or other economic contract or asset.
Methodology
Carbon footprinting of a portfolio is related to the corporate / project carbon footprinting approach of the GHG Protocol under the assumption that the portfolio consists of individual contracts and all these have an individually defined carbon footprint. The carbon footprint of a portfolio then corresponds to the sum of all individual carbon footprints.
Issues and Challenges
- Methodologies for assessing carbon footprints of individual portfolio components may vary significantly thereby potentially limiting the comparability of measures.
- The footprint terminology might be somewhat ambiguous as to the precise scope of emissions that is being included. In some contexts the term aims to indicate that it includes the upstream (Scope 3) emissions in the supply chain of the entity being financed whereas in other contexts the most important emissions might be downstream Scope 3 emissions.
