Understanding Baseline Emissions Assessment: A Guide for Businesses

As climate change accelerates, businesses across Australia are under increasing pressure to measure and manage their greenhouse gas (GHG) emissions. A critical first step in any sustainability strategy is conducting a Baseline Emissions Assessment—an essential process for understanding where your company currently stands in terms of its carbon footprint.

At Climate Logic, we help businesses, particularly in the sports industry, navigate the complexities of carbon accounting and sustainability. This guide explains what a baseline emissions assessment involves and why it matters.

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What is a Baseline Emissions Assessment?

A baseline emissions assessment quantifies your company’s current GHG emissions across different scopes. It provides a starting point for setting emissions reduction targets, improving operational efficiency, and aligning with corporate sustainability goals.

The GHG Protocol and Emission Scopes

The Greenhouse Gas (GHG) Protocol is the most widely used international standard for carbon accounting. It categorises emissions into three key scopes:

• Scope 1 (Direct Emissions): Emissions from sources owned or controlled by your company, such as fuel combustion in company vehicles, gas boilers, and machinery.
• Scope 2 (Indirect Energy Emissions): Emissions from purchased electricity, steam, heating, or cooling consumed by your business.
• Scope 3 (Value Chain Emissions): Indirect emissions that occur outside your direct control, such as supply chain emissions, business travel, employee commuting, and the full lifecycle impact of your products.

Understanding these scopes helps businesses develop a more complete picture of their carbon footprint and identify key areas for reduction.

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How We Conduct a Baseline Assessment

At Climate Logic, we streamline the carbon accounting process using Sumday, a carbon accounting platform that integrates with your business’s financial and operational data.

Our structured approach includes:

1. Setup & Data Collection

We work with your team to gather emissions data across different categories, including:
✔ Financial records (transactions related to carbon-intensive activities)
✔ Utility bills (electricity, gas, water usage)
✔ Fuel consumption data (company vehicles and travel records)
✔ Supplier invoices (carbon footprint of purchased goods and services)
✔ Employee commute records (distance, mode of transport)

2. Emissions Accounting

Using industry-leading methodologies, we calculate Scope 1, 2, and 3 emissions. Each emissions source is analysed with detailed worksheets to ensure accuracy and consistency.

3. Reporting & Action Plan

We present your emissions data in a clear, actionable report, including:
Interactive dashboards in Sumday
Key insights into your organisation’s emissions hotspots
Recommendations for reducing your carbon impact over time

A follow-up consultation ensures your business understands the next steps for sustainability.

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Why Baseline Assessments Matter

A baseline assessment is more than just a compliance exercise—it’s a strategic business tool. By measuring your emissions, your business can:

• Identify cost-saving opportunities through energy and resource efficiency.
• Meet customer and investor expectations around sustainability.
• Ensure compliance with Australian climate regulations and avoid potential penalties.
• Enhance your brand reputation by demonstrating climate leadership.

For many businesses, Scope 3 emissions (those in the supply chain) can make up 80-90% of total emissions. Addressing these indirect emissions is crucial for meaningful carbon reduction.

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Get Started with Climate Logic

Measuring and reducing your emissions doesn’t have to be overwhelming. At Climate Logic, we provide expert guidance and cutting-edge tools to help businesses navigate their sustainability journey.

For tailored support, get in touch with our team at hello@climatelogic.com.au or call us on (03) 9000 0354.