Downstream emissions are greenhouse gas emissions that occur after a company's products or services have been sold and left its direct control.
According to the provided reference, downstream emissions refer to those GHGs emitted after the company's services/product has been sold and are typically associated with the end use, disposal, and treatment of these products/services once their life cycle is complete.
These emissions are often considered part of a company's Scope 3 emissions inventory, representing indirect emissions that occur in the value chain. Understanding and measuring downstream emissions are crucial for companies to assess their full environmental impact and identify opportunities for reduction across their entire lifecycle.
Why are Downstream Emissions Important?
Tracking downstream emissions provides a more complete picture of a company's environmental footprint. While a company might have low direct (Scope 1 and 2) emissions, the use or disposal of its products by customers could generate significant greenhouse gases. Addressing these emissions can lead to:
- Improved product design for lower environmental impact.
- Enhanced customer awareness and behavior change regarding product use and disposal.
- Identification of circular economy opportunities.
- Better risk assessment and reporting.
Examples of Downstream Emissions
Downstream emissions vary greatly depending on the industry and product type. Common examples include:
- End Use of Products:
- Emissions from burning fuel in vehicles sold by an auto manufacturer.
- Energy consumed by electronic devices sold by a technology company.
- GHGs released from fertilizers used by farmers who bought them from a chemical company.
- End-of-Life Treatment:
- Methane emissions from waste sent to landfills after product disposal.
- Energy consumed during the recycling or incineration of products.
- Emissions from wastewater treatment after product use.
Let's look at some specific examples in a table format:
| Company Type | Product/Service | Typical Downstream Emission Source |
|---|---|---|
| Automobile Manufacturer | Cars, Trucks | Fuel combustion during vehicle use |
| Electronics Producer | Smartphones, Laptops | Electricity consumption during product lifetime |
| Food & Beverage Co. | Packaged Goods | Waste disposal of packaging |
| Clothing Retailer | Apparel | Energy used in washing/drying clothes, waste disposal |
Managing and Reducing Downstream Emissions
Reducing downstream emissions often requires collaboration and influence across the value chain. Companies can explore several strategies:
- Product Design: Design products that are more energy-efficient during use, are durable, easily repairable, or designed for easier recycling.
- Customer Engagement: Educate customers on responsible product use, maintenance, and end-of-life options (e.g., recycling programs).
- Circular Economy Initiatives: Develop take-back programs, promote repair services, or design products using recycled materials.
- Partnerships: Collaborate with disposal and recycling facilities to improve efficiency and reduce emissions.
- Innovation: Invest in R&D for new technologies or materials that reduce emissions during product use or disposal.
By focusing on downstream emissions, companies can drive significant environmental improvements beyond their own operational boundaries.
