Path to Carbon Reduction Future: Enterprise GHG Emission Accounting and Management

Key Takeaways: Path to Carbon Reduction Future: Enterprise GHG Emission Accounting and Management

Executive Summary

The webinar "Path to Carbon Reduction, Future Enterprise GHD, Emission Accounting and Management," hosted by Envana and PETRONAS, focused on real-world experiences in managing greenhouse gas (GHG) emissions. The session featured a case study on PETRONAS' implementation of best practices in carbon accounting, highlighting key success factors and challenges. Experts Kelvin Egbor from Envana and Balqis M Noh from PETRONAS shared insights on data accuracy, compliance with reporting frameworks, and the role of digital tools in emissions tracking. PETRONAS aims to achieve net-zero carbon emissions by 2050, leveragingEnvana's software to automate data collection and reporting. The collaboration has improved data accuracy, streamlined reporting processes, and supported PETRONAS' strategic goals. The webinar concluded with a Q&A session addressing various topics, including Scope 3 emissions and the deployment of Envana on AWS.

Speakers

Kelvin Egbor, Senior Climate Solutions SME, Envana
Balqis M Noh, Manager- Development & Decarbonisation, PETRONAS
Moderator: Ivy Diaz, Digital Editor, World Oil

Key Takeaways

1. PETRONAS Net-Zero Goals: aims to achieve net-zero carbon emissions by 2050, with interim goals including capping emissions at 49.5 metric tons by 2024 and a 50% reduction in methane emissions by 2025.

2. Envana Emissions Software: emissions management software automates data collection, provides centralized emissions data, and offers custom dashboards for role-based insights and decision-making.

3. Automated Data Transition: is transitioning from manual data handling to an automated system to improve efficiency, reduce errors, and enhance data accuracy and reliability.

4. Unified Data Repository: collaboration between PETRONAS and Envana involves integrating various data sources into a unified data repository (UDP) to ensure consistency and avoid double counting of emissions.

5. Training and Adoption: training and user acceptance testing have been crucial in overcoming organizational change management challenges and encouraging adoption of new digital workflows.

6. Emissions Monitoring Platform: can now monitor emissions based on equity share, operational control, and yearly targets using Envana's centralized platform, improving data accuracy and making it audit-ready.

Key Quote

PETRONAS has set a clear and ambitious target to achieve net zero carbon emissions by 2050, demonstrating a strong commitment to addressing climate change.

Webinar

Watch Full Webinar here.

Optimizing GHG Data Collection and Management for Enhanced Compliance and Efficiency

Effective greenhouse gas (GHG) emissions management is essential for both regulatory compliance and strategic business initiatives. Companies are recognizing the critical need to accurately collect and manage GHG data to mitigate climate risks and improve their environmental impact. This involves integrating digital solutions to streamline emissions tracking, reporting, and compliance processes. Leveraging automated workflows and centralized data platforms enhances data accuracy and operational efficiency, helping organizations achieve their sustainability goals. This blog delves into the key components of a successful emissions management strategy, featuring real-world applications and best practices to guide businesses in optimizing their GHG data collection and management.

Efficient GHG Data Collection and Management

Accurate GHG data collection is essential for any emissions management strategy. Companies need precise and validated data directly from the source to make informed decisions. The quantification process should aim to minimize uncertainty and provide a comprehensive understanding of the organization's emissions profile. This includes detailed monitoring of emissions across asset groups and subsidiaries, covering Scope 1, Scope 2, and limited Scope 3 emissions. A rigorous GHG inventory allows organizations to identify potential liabilities and lays the groundwork for effective emissions reduction initiatives.

Automation significantly enhances the efficiency and accuracy of GHG emissions management. Manual data handling, often involving multiple templates and spreadsheets, is error-prone and time-consuming. Automated systems streamline data collection, reduce human intervention, and improve overall data reliability. Integrating various data sources through automated ETL processes and storing them in a centralized data platform provides a single point of truth for emissions data. This approach ensures data consistency and facilitates seamless reporting and auditing.

Digital Solutions for Effective Emissions Management

Digital tools and platforms play a crucial role in visualizing emissions data and providing actionable insights. Comprehensive emissions modeling software offers detailed dashboards, allowing users to review emissions by category, location, and source. These tools enable organizations to track performance against targets, identify areas for improvement, and make data-driven decisions. Digital solutions must also be adaptable to dynamic regulatory requirements and standards, ensuring compliance and alignment with long-term strategic goals.

The success of any emissions management initiative depends on collaboration and stakeholder engagement. Developing a digital solution for GHG reporting requires input from various stakeholders, including digital teams, carbon management experts, and operational teams across the value chain. Transparent communication and consistent definitions of emissions sources are essential to ensure deliverables meet objectives. Co-developed projects with service providers and technology partners can accelerate knowledge transfer, enhance digital skills, and drive innovation in emissions management.

Digital Emissions Management: Enhancing Accuracy and Compliance

Transitioning to digital emissions management systems offers significant advantages, such as enhanced data accuracy and consistency. Utilizing API connections allows companies to integrate various data sources into a centralized platform, consolidating all emissions data into one repository. This method eliminates the inconsistencies and errors associated with manual data collection and reporting processes. Automated workflows facilitate real-time data ingestion and calculation, providing companies with up-to-date insights into their emissions performance, which is essential for meeting regulatory requirements and achieving sustainability targets.

The journey to digital transformation presents challenges, particularly in business process management for companies with diverse assets and legacy processes. Establishing an integrated emissions management system requires consolidating data from various regions and business units, each with unique reporting and compliance requirements. Overcoming these challenges involves collaborating with internal teams to standardize naming conventions, methodologies, and data tagging practices. This ensures the consistency and reliability of the data ingested into the centralized platform, preventing issues such as double counting of emissions.

Organizational change management is a critical aspect of transitioning to digital emissions management systems. Employees accustomed to manual workflows may be resistant to adopting new digital processes. Addressing this requires investing in regular training and upskilling sessions, as well as interactive user acceptance testing (UAT) at various stages of the project. These initiatives help alleviate concerns and ensure buy-in from users, facilitating a smoother transition to digital workflows. Establishing a single source of truth for emissions data, such as a unified data repository, further enhances data consistency and reliability.

The benefits of digital emissions management systems extend beyond data accuracy and organizational efficiency. Centralizing emissions data and providing customizable dashboards enables companies to visualize their emissions performance in various formats, such as yearly, monthly, and real-time views. This capability allows them to identify trends, pinpoint areas for improvement, and track progress against sustainability targets. Automated workflows and robust data accuracy make the data audit-ready, simplifying the process of proving emissions calculations to auditors and ensuring compliance with regulatory standards.

Effective GHG emissions management requires accurate data collection, automation, digital tools, and stakeholder collaboration. By adopting best practices and leveraging advanced technologies, companies can significantly reduce their carbon footprint and contribute to global sustainability efforts. Transitioning to digital emissions management systems is essential for optimizing operations and achieving sustainability goals. Despite challenges related to business process management and organizational change, improved data accuracy, consistency, and visualization offer substantial benefits. Embracing technology and investing in training and upskilling are crucial for successfully navigating the digital transformation and positioning companies for long-term success. Staying competitive and meeting the growing demands for sustainability and regulatory compliance will depend on the adoption of digital solutions.