1. GHG Management for Small Businesses
Manhattan Chamber of Commerce, Green Business Initiative
April 6, 2010

2. Overview Climate Leaders: Who we are and what we do
Basics: How to develop
a GHG inventory
Climate Leaders online tools
and resources for small businesses
Benefits:
Save Costs: lower energy bills, increase fuel efficiencies
Risk management
Anticipate consumer demands
Become a more competitive and preferred supplier
Demonstrate leadership
Internally for employees
Externally in local communities and among industry peers
Developing a comprehensive GHG inventory of direct emissions and indirect emissions is becoming a more common practice among large and small companies.
More companies are taking steps to measure and reduce emissions in their value chains such as business travel, employee commuting and product transport.Suppliers, especially SMEs, in all sectors are beginning to measure and reduce their emissions in response to customer requests.
The Climate Leaders Small Business Network:
Reduces emissions among small businesses in the U.S. on an absolute basis.
Helps small businesses promote accuracy and transparency in measuring and reducing emissions.
Takes GHG emissions management into the mainstream of small business practices.
Climate Leaders Offers small businesses:
Free GHG calculator and GHG inventory management tools
Training and online technical assistance to help small businesses with specific questions as they develop their GHG inventories.
Public recognition for setting and achieving GHG reduction goals (EPA website, press release, sharing best practices with broader business community).

3. Participating in Climate Leaders is easy
Submit Online Application Form at
(no cost to join)
Submit company-wide base year GHG inventory within one year of joining.
Set a GHG reduction goal within one year of joining
Goal must be to reduce total emissions by a minimum of 5% achieved in 5 years or less.
Companies that set carbon neutral (net zero) goals must sustain carbon neutrality for a minimum of 3 years after setting a base year.
4. Receive recognition from EPA for goal achievements. Special recognition for top class of goal achievers (20% emissions reductions in 5 years and carbon neutral goals)
- Additional program details available on the Climate Leaders Small Business Network website:
In addition to providing a company with recognition for achieving its goal, EPA will provide a Small Business Network Member with an additional special award if:
• The company achieves a minimum 20% reduction in absolute emissions in 5 years or less.
The company sustains carbon neutrality for a minimum of 3 years after setting a base year (for carbon-neutral goals).

4. Basics of Developing a GHG inventory
Access EPA’s Tools and Resources for
Developing a GHG Inventory

5. Basics of developing a GHG Inventory
A GHG inventory lists all emissions sources and associated emissions quantified using the standardized methods:
Required Sources
Corporate-wide (all U.S. operations)
6 major GHGs: CO2, CH4, N2O, HFC, PFC, SF6
Direct emissions (Scope 1)
Indirect emissions from electricity, heat, and steam (Scope 2)
Optional Sources (Scope 3)
International operations
Offset projects
Employee travel and commuting
Business Transport
Product transport

6. Developing a GHG Inventory: Define Organizational Boundaries
Which facilities should you include?
Equity Share Approach- by ownership OR
Control Approach- by control
Financial control versus operational control
Approach matters most for treatment of partially owned or operated facilities (joint ventures, subsidiaries) and for lease agreements.

7. Developing a GHG Inventory: Definitions of Scope 1, 2 and 3 Emissions

8. Developing a GHG Inventory: Define Operational Boundaries
Which sources of emissions should you include?
Stationary Combustion of fossil fuel
Process emissions (if applicable)
Mobile Sources
Refrigeration/AC
Purchased electricity or steam
Other Sources: backup generators, fuel for heating, corporate aircraft, anaerobic wastewater treatment
Optional Sources (e.g., business travel)

9. Developing a GHG Inventory: Choose a Base Year
What should be the base year?
Typically the most recent year for which comprehensive data is available
Companies interested in joining Climate Leaders should first consult with EPA before setting a base year.
Base year Adjustments:
Acquisitions/divestitures: Adjust your base year data when these occur
Organic growth/decline: Do not adjust your base year data

10. Access Climate Leaders tools: www. epa
Access Climate Leaders tools:

11. Step 1: Developing your GHG Inventory
Consult EPA’s Guide to GHG Management
for Small Businesses & Low Emitters to get started:

12. Step 1: Additional guidance for developing your GHG inventory
Guidance available for assessing the emissions from:
Employee Commuting, Business Travel, Product Transport
Purchased Electricity
Mobile Combustion (vehicles)
Offsets and green power purchases
Municipal solid waste landfilling
Forthcoming: Meetings and Events

13. Step 1: Online support

14. Step 2: Calculate Emissions
How to calculate emissions:
Businesses can use the EPA Climate Leaders Simplified GHG Emissions Calculator.
Excel-based
Free download
Automatically calculates overall
carbon footprint from all GHG emissions sources
Access the Calculator at

15. Step 3: Develop an Inventory Management Plan
Document your company’s process standard operating procedures.
An Inventory Management Plan:
Institutionalizes inventory process
Lowers costs by centralizing processes
Increases accuracy and transparency
Documentation of capital savings
Captures continuous improvement
Access the IMP at

16. For more information Small Business tools and Small Business Network:
General Program:
Verena Radulovic
Program Manager
Climate Leaders Small Business Network
(202)