Written by Aline Tavares and Daniela Costa

What is a greenhouse gas inventory?

Preparing greenhouse gas emission inventories is the first step for an institution or company to reduce its carbon footprint and, consequently, contribute to the fight against climate change. Based on the inventory diagnosis, the organization can know the emissions profile and establish plans and goals for reducing and managing greenhouse gas emissions, as well as generate opportunities for new sustainability businesses and investments1.

Carbon inventories play a fundamental role in the planning of emission offset strategies, enabling the mapping, quantification, and registration of GHG sources in specific activities, sectors, or locations. Although organizations use the inventory voluntarily, it strengthens their commitment to transparency and environmental responsibility2. In addition, verification of the GHG inventories provides greater reliability in inventory reports and, consequently, greater opportunities in the carbon market3.

Why is it important to verify the GHG Inventory?

A third-party verification of the GHG Inventory plays a strategic role in the carbon market. It helps to provide greater transparency and credibility to organizations that aim to declare their emissions and participate in the trade of carbon credits. A third-party verification process is an objective assessment of the accuracy and completeness of GHG information in a systematic, independent, and documented manner based on agreed verification criteria1, 3.

Organizations have different reasons for managing the quality of their GHG emission inventories, from identifying opportunities for improvement to meeting stakeholder requirements, including preparing the organization to comply with voluntary or mandatory standards3. To verify a greenhouse gas inventory, the verifier must be accredited according to the ISO 14065 Standard through the accrediting body of the local country. This standard presents the specific requirements related to groups that validate and/or verify environmental information and provides a statement of compliance from the organization’s GHG report3. Its requirements cover processes of impartiality, competence, communication, validation and verification, appeals, complaints and the management system of the validation and verification bodies4.

The history behind GHG Inventory Verification: the beginning of a regulated carbon market

Due to the many negative effects caused by the large accumulation of greenhouse gases (GHG) in the atmosphere, the implementation of public policies to reduce or mitigate these emissions has increased. The Kyoto Protocol, which has been in force since 2005, sets mandatory emission reduction targets for signatory countries. Thus, the carbon market represents an economic mechanism that seeks to address environmental problems without adopting fiscal measures5.

In the late 1990s, global debates on the topic encouraged the implementation of greenhouse gas emissions trading. The European Union and Norway created their national emissions trading systems in 2005, while Japan established a voluntary program in the same year. In 2015, the Paris Agreement signaled the acceleration and expansion of emissions trading systems, paving the way for structuring this market6.

Companies that exceed their GHG emission limits must “pay” through carbon offset projects based on the calculation of emissions associated with their operations. The offset can then be traded on the market between countries5.

Worldwide, about 58 carbon pricing policies are in operation or planned for implementation, as shown in Figure 1. In terms of coverage, they represent 12 gigatons of carbon dioxide equivalent (GtCO2e) or about a quarter of global greenhouse gas emissions7.

Figure 1. Carbon pricing policies in the world

Amspec CarbonPricingPolicies

GHG Inventory Verification: Brazilian Scenario

Brazil is estimated to be responsible for 20% of the global potential supply of natural climate solutions, positioning itself as a major global player exporting carbon credits6. To consolidate this forecast, Law 15,042 was sanctioned in December 2024, which regulates the carbon credit market in the country and creates the Brazilian Greenhouse Gas Emissions Trading System (SBCE). The regulatory framework intends to encourage the reduction of polluting emissions and mitigate climate change through the trading of carbon credits linked to environmental preservation initiatives8. The SBCE, as part of the Brazilian climate policy, aims to control and reduce greenhouse gas emissions in Brazil, which is in line with the commitments of the United Nations Framework Convention on Climate Change (UNFCCC)6.

Although the estimated operational implementation time of the new Brazilian legislation is between 5-6 years9, the law’s approval places Brazil in a competitive position in the global carbon market. Thus, it is of paramount importance that organizations are at the forefront of this new market, preparing themselves by publishing inventories that prove their emissions and their respective offset projects.

The Brazilian GHG Protocol Program

The Brazilian GHG Protocol Program, launched in 2008, is a tool for accounting for Brazil’s greenhouse gas (GHG) emissions. It promotes the calculation and reporting of GHG inventories based on the ISO 14064 series of standards. The program aims to encourage the voluntary management of greenhouse gases (GHG) through technical and institutional training for GHG accounting and the preparation of inventories at the organizational level. This is a partnership between the Getulio Vargas Foundation (FGV) and the World Resources Institute (WRI), supported by the Ministry of the Environment (MMA), the Brazilian Business Council for Sustainable Development (CEBDS) and the World Business Council for Sustainable Development (WBCSD)3.

The program has a platform, the Public Emissions Registry (RPE), which promotes the disclosure of corporate greenhouse gas emission inventories. This registry allows any interested party to access information, thus promoting the trust and credibility of the data presented2.

The Brazilian GHG Protocol Program classifies the inventory reports published on its platform into three seal categories: 1) gold: complete and verified inventories; 2) silver: complete and unverified inventories; and 3) bronze: partial inventories. Since 2008, there has been a growing interest from organizations in complete and verified inventories, totaling 1,550 publications with a gold seal. This represents a difference of almost 14% in relation to publications with a silver seal and 47% in relation to publications with a bronze seal10. By sector of activity, the mining and manufacturing industries, including oil, gas, and chemical companies, are well represented, with 143 companies already publishing their inventories, representing about 36% of the companies that have published GHG emissions reports on the platform11.

AmSpec, an expert in the TIC market, expands sustainability businesses

AmSpec Group has a nearly forty-year track record of success in the testing, inspection, and certification (TIC) market for chemicals and fuels. For over two decades, AmSpec has strategically expanded its portfolio of services in renewables, including biofuels, feedstocks, and alternative fuels.

In line with market trends promoted by global public policies, the company has been expanding its portfolio of services in the sustainability sector. AmSpec is preparing to offer the Greenhouse Gas Inventory Verification service globally, which can be used by the verified organization to raise credit lines and green bonds, among other means of financing, giving greater credibility to its processes in the market.

References

  1. Campos, J., Barretto, R. & Alves, J. W. S. Guia para a elaboração de inventários corporativos de emissões de Gases do Efeito Estufa (GEE). https://cetesb.sp.gov.br/proclima/wp-content/uploads/sites/36/2014/05/cartilha_ghg_online.pdf (2009).
  2. Pereira, B. M. et al. Inventário de carbono como instrumento de controle das emissões dos gases do efeito estufa no polo industrial de Manaus: uma revisão. Obs. Econ. Latinoam. 22, e5908–e5908 (2024).
  3. Fundação Getúlio Vargas. Especificações de Verificação do Programa Brasileiro GHG Protocol. (2011).
  4. Associação Brasileira de Normas Técnicas. ABNT NBR ISO 14064-1 – Gases de efeito estufa. (Abnt, Rio de Janeiro, RJ, 2022).
  5. Da Silveira, C. S. & De Oliveira, L. Análise do mercado de carbono no Brasil: histórico e desenvolvimento. Novos Cad. NAEA 24, (2021).
  6. Lacerda, G. UMA AVALIAÇÃO EX ANTE DO MERCADO DE CARBONO REGULADO NO BRASIL. (FUNDAÇÃO GETULIO VARGAS, 2024).
  7. Welcome to the ICAP ETS Map | International Carbon Action Partnership. https://icapcarbonaction.com/en/ets.
  8. Sancionada lei que regula mercado de carbono no Brasil. Senado Federal https://www12.senado.leg.br/noticias/materias/2024/12/12/sancionada-lei-que-regula-mercado-de-carbono-no-brasil.
  9. Brazil adopts cap-and-trade system | International Carbon Action Partnership. https://icapcarbonaction.com/en/news/brazil-adopts-cap-and-trade-system (2024).
  10. Registropublicodeemissoes. https://registropublicodeemissoes.fgv.br/estatistica/inventario-por-qualificacao.
  11. Registropublicodeemissoes. https://registropublicodeemissoes.fgv.br/participantes.