There are six main greenhouse gases (GHGs), the most common of which are carbon dioxide (C02), methane (CH4) and nitrous oxide (N20). These are all produced from human activity - C02 from transport and energy; CH4 mainly from animals burping out the gas as they digest their food; N20 mainly from agriculture such as the use of fertiliser and when animals urinate.

Major industrial sectors, including electricity produced by combustion, oil and gas, base metal smelters, iron and steel, some mining sectors, cement, forest products, and chemicals production contribute about half of Canada's greenhouse gas emissions - emissions that cause climate change. There are plans in North America to set mandatory targets for them to reduce these emissions.  Legislation is already in place in Europe and other countries such as Australia.  The question is not a matter of if legislation will be enacted in North America, but rather when!  One day soon it will be against the law to emit more than the legislated cap allows.

Businesses that take steps to reduce their GHG emissions see an increase in efficiency and a reduction in waste, which in turn reduces cost and as a result, sets the bar higher for their competition.  Some of the corollary benefits of performing a GHG inventory, setting a baseline and mandating a reduction from that baseline, is new technology is created and more efficient business processes are put in place.  Both of which create competitive differentiation for the company involved in the GHG project.  Considering that most lawmakers and citizens expect regulatory limits on GHG emissions are inevitable, companies that are early to respond to climate change and the need to reduce their carbon footprint will have a technological and economical advantage over their competitors.

But why should you care about GHGs?

• Climate Change (regardless of politics) affects business
• Legal Requirements (coming soon ...)
• Stakeholder and customer expectations (most people care about climate change)
• Market share and competition (GHG programs encourage innovation)
• Financing (Business that can provide GHG allowances will profit)
• Institutional investors are requesting carbon footprint information 
• Over 80% of companies are disclosing their carbon footprint
• Results are used in assessing risk of investments in sectors or companies

For more information please contact us or visit the Greenhouse Gas Accounting Software page.