The GHG Protocol Corporate Value Chain (Scope 3) Standard defines 15 categories of indirect emissions. Eight are upstream (occurring before the company's own operations) and seven are downstream (occurring after).
Upstream categories
- Category 1 — Purchased Goods and Services: emissions embedded in everything the company buys.
- Category 2 — Capital Goods: emissions from machinery, vehicles, IT equipment, and buildings purchased.
- Category 3 — Fuel- and Energy-Related Activities: upstream (well-to-tank) emissions and grid losses.
- Category 4 — Upstream Transportation and Distribution: moving purchased goods to the company.
- Category 5 — Waste Generated in Operations: disposal and treatment of operational waste.
- Category 6 — Business Travel: flights, rail, taxis, hotel stays, and grey-fleet mileage.
- Category 7 — Employee Commuting: daily commutes and homeworking energy use.
- Category 8 — Upstream Leased Assets: emissions from assets the company leases in.
Downstream categories
- Category 9 — Downstream Transportation and Distribution: shipping sold products to customers.
- Category 10 — Processing of Sold Products: further processing by downstream customers.
- Category 11 — Use of Sold Products: emissions from the in-use phase of sold products.
- Category 12 — End-of-Life Treatment of Sold Products: disposal of products at end of life.
- Category 13 — Downstream Leased Assets: emissions from assets the company leases out.
- Category 14 — Franchises: emissions from franchised operations (franchisors only).
- Category 15 — Investments: financed emissions from equity, debt, and project finance.
Why it matters
Not every category is relevant to every business. A pure-service consultancy will have minimal emissions in Categories 9–12; a manufacturer of energy-using products may have its largest source in Category 11. The GHG Protocol requires companies to assess each category for materiality and document the rationale for any exclusions.
See the full breakdown — including formulas and data requirements for each — on the methodology page.