Scope 2 emissions are indirect greenhouse gas emissions from the generation of purchased energy consumed by your organization. According to the GHG Protocol Scope 2 Guidance, these include:
Electricity: Power purchased from the grid or third-party providers
Steam: Purchased steam for industrial processes
Heating: District heating or purchased heat
Cooling: District cooling services
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┌─────────────────────────────────────────────────────────────────────────────┐│ SCOPE 2: Indirect Energy Emissions │├─────────────────────┬─────────────────────┬─────────────────────────────────┤│ Electricity │ Heat & Steam │ Cooling │├─────────────────────┼─────────────────────┼─────────────────────────────────┤│ • Grid electricity │ • District heating │ • District cooling ││ • Supplier-specific│ • Purchased steam │ • Purchased chilled water ││ • Renewable energy │ • Industrial heat │ • Central cooling systems ││ • Green tariffs │ • CHP outputs │ │└─────────────────────┴─────────────────────┴─────────────────────────────────┘
Dual Reporting RequirementThe GHG Protocol requires organizations to report Scope 2 emissions using two methods:
Location-based: Uses average grid emission factors for where energy is consumed
Market-based: Uses supplier-specific emission factors based on contractual instruments
Dcycle automatically calculates both methods when you upload electricity invoices.
Electricity consumption is typically the largest component of Scope 2 emissions. In Dcycle, these are tracked through invoices with type: "electricity".
Calculation Methods: Location-based vs Market-based
Location-based Method
Market-based Method
The location-based method uses average grid emission factors based on where energy is consumed. This reflects the average emissions intensity of the local grid.
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Facility (any country) → Invoice → Grid EF by Location → CO₂e ↓ ↓ ↓ ↓ Country from kWh consumed Grid emission Reflects average facility address factors grid emissions
Key characteristics:
Uses country/regional grid average emission factors
Emission factors from Ecoinvent and REE (Red Eléctrica Esañola)
Updated when new version of Ecoinvent or REE (annually) is released
Required for GHG Protocol compliance
Emission Factor Sources - Location-based
For location-based calculations, Dcycle uses emission factors from:
Ecoinvent - Global grid emission factors
REE (Red Eléctrica de España) - Spain-specific factors
Factors are automatically selected based on:
Facility country
Invoice year
Latest available data version
Calculation Details - Location-based
Location-based emissions are calculated as:CO₂e = Energy Consumed (kWh) × Grid Emission Factor (kg CO₂e/kWh)Where:
Energy Consumed: Electricity consumption in kWh
Grid EF: Average emission factor for the country/region grid
Example (Non-renewable electricity in Spain, 2024):
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10,000 kWh × 0.1 kg CO₂e/kWh = 1,000 kg CO₂e
Note: Spain’s grid has been decarbonizing rapidly, so emission factors vary significantly by year.
The market-based method uses emission factors from contractual instruments that convey claims about the emissions attributes of purchased electricity.
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Facility → Invoice + Supplier → Supplier-specific EF → CO₂e ↓ ↓ ↓ ↓ Country kWh + supplier Contractual EF Reflects supplier information energy mix
Can show zero emissions for 100% renewable suppliers
For Spain, Dcycle uses CNMC-published emission factors for each electricity supplier.
Emission Factor Sources - Market-based
For market-based calculations, Dcycle uses emission factors from:
CNMC (Spain) - Supplier-specific factors published annually
Supplier certificates - When provided by the user (custom emission factors)
Calculation Details - Market-based
Market-based emissions are calculated as:CO₂e = Energy Consumed (kWh) × Supplier Emission Factor (kg CO₂e/kWh)Where:
Energy Consumed: Electricity consumption in kWh
Supplier EF: Emission factor specific to your electricity supplier
Example (100% renewable supplier):
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10,000 kWh × 0.00 kg CO₂e/kWh = 0 kg CO₂e
Note: Market-based can be higher or lower than location-based depending on your supplier’s energy mix.
Automatic Dual CalculationWhen you upload an electricity invoice, Dcycle automatically calculates both location-based and market-based emissions.
Both values are stored and available in reports for GHG Protocol compliance.
Step 3.1: Create an Electricity Invoice (Location-based)
📋 Data Map: Electricity Invoice (Location-based)
Field
Type
Required
Description
Example
type
string
✅
Invoice type
"electricity"
facility_id
UUID
✅
Facility consuming the energy
"abc-123-..."
base_quantity
number
✅
Energy consumed
10000
unit_id
UUID
✅
Unit (kWh)
"ba80e6cb-..."
start_date
date
✅
Billing period start
"2024-01-01"
end_date
date
✅
Billing period end
"2024-01-31"
invoice_id
string
❌
Your reference number
"ELEC-2024-001"
uploaded_by
UUID
✅
User uploading
"user-uuid"
Where to get this data:
Facility ID: From Step 1 (company structure setup) or GET /api/v1/facilities
Unit ID: "ba80e6cb-86a4-4bb1-a0c5-8104365d523c" (kWh)
Quantity: From electricity bills, utility invoices, or smart meter data
No facility_fuel_id for electricity invoicesUnlike heat invoices, electricity invoices do not use facility_fuel_id. The emission factors are determined automatically based on the facility’s country (location-based) or supplier/custom emission factor (market-based).
Record electricity consumption at a facility (location-based calculation):
Datadis IntegrationFor facilities in Spain, Dcycle offers automatic electricity data import via Datadis (Sistema de Intercambio de Datos de Medida). This eliminates manual data entry for electricity consumption.To enable, follow these tutorial: How to connect Datadis account to Dcycle
# For GHG Protocol compliant reporting, query both methods# Location-based is stored in standard total_impacts# Market-based is stored separately when supplier is specifiedprint("📊 Scope 2 Dual Reporting:")print(f" Location-based: {location_based_total} kg CO₂e")print(f" Market-based: {market_based_total} kg CO₂e")
Best Practice: Track All Energy SourcesFor complete Scope 2 accounting:
Electricity: All purchased grid electricity at all facilities
Renewable certificates: Track green energy purchases separately
District heating/cooling: Any purchased heat or cooling services
Steam: Industrial steam purchases from third parties
Use consistent units (kWh) across all energy types for easier aggregation.