Accurate, verifiable, and comparable greenhouse gas (GHG) emissions data throughout supply chains in the materials sector are necessary to drive decarbonization. This is particularly the case for the steel supply chain, a major source of GHG emissions with untapped potential for reduction. However, emissions accounting methods used by the steel industry suffer from gaps and misalignment, resulting in significant differences in reported GHG emissions. The result is a patchwork reporting landscape vulnerable to manipulation and miscommunication, generating little actionable data for policymakers, producers, customers, and investors. These shortcomings highlight the need for a harmonized carbon accounting framework for the steel industry that bridges these disparities. Such a framework is urgently needed to guide time- and capital-intensive investments towards decarbonizing steel supply chains.
A leading partner of the Coalition on Materials Emissions Transparency (COMET), the Columbia Center on Sustainable Investment (CCSI) conducted a comprehensive comparison of GHG accounting frameworks pertinent to the steel industry. This comparison identified the critical discrepancies existing between the methods examined and resulted in proposed solutions to be detailed in further research.
John Biberman, Perrine Toledano, Baihui Lei, Max Lulavy & Rohini R. Mohan,
Conflicts Between GHG Accounting Methodologies in the Steel Industry,
Available at: https://scholarship.law.columbia.edu/sustainable_investment/7