Learn about the frameworks that Skrym's emission service is built on

A key aspect of how we build our product around measuring emissions is to ensure interoperability with
different frameworks. We aim to enable transparency, accountability, and comparisons by adopting a unified calculation that can be translated into different standards depending on the purpose.
To give an introduction to the three frameworks we have been working the most with, we have compiled some relevant material for
you to explore.

Frameworks

The Global Logistics Emissions Council (GLEC)

 is a comprehensive guideline for calculating and reporting greenhouse gas (GHG) emissions from logistics operations.
It focuses on the entire supply chain, integrating emissions from transport and warehousing activities. Here's an overview:
Transport Operation Categories (TOC) and Hub Operation Categories (HOC):

TOC: These are categories for different types of vehicle fleets, such as heavy trucks, last-mile delivery vehicles, or temperature-regulated vehicles.
HOC: These involve different types of hub operations like loading, unloading, and processes for maintaining goods, as well as the nature of the freight handled (like palletized goods).

Transport Chains and Transport Chain Elements (TCE):

Logistics emissions are calculated as the sum of emissions from various transport chains.
A transport chain comprises multiple TCEs, each representing a stage where freight is carried by a vehicle or transits through a hub. Every change of vehicle or hub defines a new TCE.
A TCE is measured in tonne-kilometers, considering both the freight mass and the distance covered.

Transport Activity and Transport Intensity:

Transport activity is the operation of vehicles or hubs.
Transport intensity refers to the emissions characteristics of a specific TOC or HOC, based on factors like transport method or cargo type.

Calculating GHG Emissions:
1. Emissions of a TCE:

Calculate the transport activity of the TCE.
Identify the emission intensity by establishing relevant TOCs or HOCs.
Multiply transport activity with emission intensity to get the TCE's emissions.

2. Total Emissions of a TCE:

Include the energy provision (fuel or electricity) for the TCE.

3. Total Emissions of a Transport Chain (TC):

Sum up all the TCE emissions within the transport chain.

Calculating Emission Intensity:
1. Emission Intensity of Transport Operation Categories (TOCs):

Determine the total GHG emissions of a specific transport activity.
Measure the quantity of the transport activity in tonne-kilometers (tkm).
Divide the total GHG emissions by the transport activity quantity to find the GHG emission intensity.

2. Emission Intensity of Hub Operation Categories (HOCs):

Ascertain the total GHG emissions of a specific hub operation activity.
Quantify the hub operation activity (the measurement unit will vary based on the activity type).
Divide the total GHG emissions by the hub operation activity quantity to calculate the GHG emission intensity.

What is needed to calculate emissions with GLEC?
1. Vehicle and Fleet Information:

Types of vehicles used (e.g., heavy trucks, last-mile delivery vans).
Specifications of each vehicle type (e.g., fuel type, efficiency, emission standards).
Fleet composition (e.g., number of each type of vehicle).

2. Activity Data:

Distance traveled by each vehicle type.
Weight of goods transported (to calculate tonne-kilometers).
Operational data such as idling time and average speed.
Information on how fully loaded the vehicles are on average.
Information on return trips, especially for vehicles returning empty.

3. Hub Operation Details:

Types of hub operations (e.g., loading, unloading, picking etc).
Nature of the goods handled (e.g., palletized, bulk).
Energy usage in hubs (e.g., electricity for refrigeration).

4. Fuel and Energy Consumption:

Amount and type of fuel consumed by each vehicle.
Electricity or other energy sources used for vehicles and hubs.
Emission factors for different fuel types.
Emission factors for electricity generation, if applicable.

5. Distance Calculation Data:

Shortest feasible distance (SFD) or great circle distance (GCD) for each route.
Any distance adjustment factors (DAF) for more accurate distance estimates.

Reporting with GLEC?
Emission reporting by the GLEC Framework and , focuses on two key performance indicators (KPIs):

Total GHG emissions and;
GHG emission intensity

Requirements for reporting

The reporting must be in accordance with the ISO 14083 standard.
Data sources and data quality must be stated. If modeled data is used, a set of parameters used (or not used) must be accounted for.
The level of granularity of the reporting depends on the goals of the reporting entity.
A clear explanation of how the GHG emissions were calculated, and delimitations need to be provided.
Reports should be produced at least annually.
There are two levels of reporting, depending on the target audience:

Level 1: Organization level
Level 2: Transport/hub level.



| Reporting Requirements | Organizational Level | Transport or Hub Services Level |
| ---------------------- | -------------------- | ------------------------------- |
| Identification of transport chains/services | Report on all or part of transport chains operated or used by an organization | Identification of TCE(s) or transport chain(s) covered by the report |
| Reference to ISO 14083 | Required | Required |
| Total GHG emissions | Required | Required |
| Total GHG emission intensity | Required, specifying the type of transport activity distance used | Required, specifying the type of transport activity distance used |
| Total GHG emissions for each mode | Required | Required |
| Total GHG emission intensity for each mode | Required, specifying the type of transport activity distance used | Required, specifying the type of transport activity distance used |
| Reference to the location of supporting info | Required | Required |
| Report Frequency | At least annually | At least annually |
| Data Quality | Specification of data quality applied | Specification of data quality applied |
| Specification of any deviation to standard processes | Required, including explanation for deviation and impacts | Required, including explanation for deviation and impacts |

GLEC

 presents a comprehensive framework for companies committed to reducing their greenhouse gas (GHG) emissions. This initiative aligns corporate action with the objectives of the Paris Agreement, providing a structured path to limit global warming.
Detailed Overview of Science Based Targets:
Emissions Scopes:

Scope 1: Direct emissions from owned or controlled sources.
Scope 2: Indirect emissions from the generation of purchased energy.
Scope 3: All other indirect emissions, including those from the entire value chain e.g purchased freight.

Target Setting Process:

Targets are established with a scientific basis, aiming to limit global warming to 1.5°C above pre-industrial levels.
They should be specific, measurable, achievable, relevant, and time-bound, typically covering a period of 5 to 15 years.
Strategies encompass renewable energy adoption, energy efficiency improvements, and reducing emissions across the value chain.

Reporting and Verification:

Mandatory regular reporting of emissions and progress towards the targets, fostering transparency and accountability.
Third-party verification is required to ensure data integrity and credibility of reported progress.

Specific Data Requirements for SBTs:
1. Comprehensive Emissions Data:

In-depth collection and analysis of GHG emissions data across all three scopes.
Historical emissions data are essential for establishing a baseline and tracking progress.

2. In-depth Business Activity Data:

Detailed operational data including production volumes, energy use, and other relevant operational metrics.
Information on organizational activities that contribute to GHG emissions.

3. Thorough Supply Chain Information:

Data on emissions from upstream and downstream activities, including procurement, product use, and end-of-life stages.

Calculating and Reporting Emissions:
1. Total GHG Emissions Calculation:

Calculation of total GHG emissions, considering all scopes, with robust methodologies to ensure accuracy.

This can be achived by following one of the many good frameworks for calculating emissions
As an example, SBT  frequently mention organizations/frameworks such as 
2. Emissions Intensity Assessment:

Determination of emissions intensity for various business activities, providing a clear picture of emissions relative to output or activity.

3. Consistent Tracking of Progress:

Continuous monitoring and evaluation of progress towards emissions reduction targets.

Detailed SBT Reporting Requirements:
| Reporting Requirements                     | Organizational Level                              | Additional Notes |
|--------------------------------------------|---------------------------------------------------|------------------|
| Scope of Emissions Reporting           | All three scopes (1, 2, 3) must be reported       | Detailed breakdown is essential for transparency |
| Target Setting                         | Specific targets aligned with the 1.5°C goal      | Targets should be ambitious and feasible |
| Total GHG Emissions Reporting          | Mandatory for all scopes                          | Comprehensive reporting including all sources using e.g. GLEC |
| GHG Emission Intensity Reporting       | Required, with clear methodologies                | Helps in understanding emissions efficiency |
| Progress Reporting                     | Regular updates on target achievement             | Essential for tracking long-term goals |
| Third-party Verification               | Independent validation of data and progress       | Enhances credibility and accountability |
| Data Quality and Transparency          | High standards for data quality and openness      | Critical for accurate and reliable reporting |
| Reporting Frequency                    | At least annually                                 | Ensures up-to-date information and continuous focus |
| Alignment with Global Standards        | Adherence to recognized protocols and frameworks  | Ensures consistency and comparability |
Integration with Corporate Strategies:

SBTs should be integrated into overall corporate strategy and operations, ensuring that climate action is a core business objective.
This requires a holistic approach, involving all departments and levels of the organization, from the executive board to operational teams.


Science Based Targets

 presents a clear list of criteria for fulfilling the requirements to get a Svanen sealed freight fleet.
Nordic Ecolabelling has developed the STEP (Swan Transport Energy Performance) calculation tool for use in reporting information for requirements.
Requirements / Criteria:

The rules applies in short to all vehicles that can be used to deliver for a certain transporter. 
This means that even the vehicle fleets from subcontractors are counted either in its entirety or partly (for subcontractors where they have designated vehicles for a given contractor). 

Emissions standard  is the absolute minimum for all vehicles.
At least 90% of all vehicles must be Euro VI or be equipped with
effective particle filter that fulfils the technical specifications set up by
relevant authority.
At least 15% of the vehicles ≤ 3.5 tons must be powered by CNG/CBG,
electricity or hydrogen. For Finland, 20% applies.
At least 5% of vehicles > 3.5 tonnes must be powered by CNG/CGB,
electricity, hydrogen or ED95. Plug-in hybrids can also be included. The
requirement only applies if the fleet is ≥ 20 vehicles of this type.
For Finland, it also applies that at least 8% of lorries and trailers (line-
haul) must be HCT (see definitions).




For new vehicles added to the licensee’s network, the criteria apply to vehicles purchased, rented, or leased annually during the validity period of the license. 
It includes both own vehicles and new vehicles from subcontractors, provided these are newly acquired and not part of existing fleet capacity. 
The criteria for new vehicles include:

Light goods vehicles: New light goods vehicles (≤ 3.5 tons) must be powered by CNG/CBG, electricity, or hydrogen. Hybrid technology is not accepted. Different vehicle types are weighted based on their gross weight for calculating load capacity factors.

For example, suppose we have 10 vans, 8 of which are CNG/CBG vehicles, and we purchase 50 electric.
Then, the added load capacity from CNG/CBG, electric and hydrogen vehicles can be calculated as:


Heavy Goods Vehicles: At least 10% (or at least 1 vehicle if less than 10 are purchased) of new heavy goods vehicles added to the network must be powered by CNG/CBG, LNG/LBG, electricity, or hydrogen. By January 1, 2025, this share must increase to 20% (or at least 1 vehicle if less than 5 are purchased). In Finland, at least 10% of lorries and trailers must be HCT by this date. Only range extender hybrid technology is accepted.

These criteria ensure a progressive shift towards more sustainable and low-emission vehicles in the logistics network.


In the nordic countries, the targets for transitioning/utilizing renewable energy is the following:
Renewable Energy Utilization

Sweden:

Targets a transition to 60% renewable energy by 2024, scaling up to 75% to align with increasing sustainability goals.


Norway and Denmark:

Aims for 40% renewable energy utilization by 2024 with a future target of 55%, fostering progressive environmental stewardship.


Finland:

Granted exemption to prevent incentivizing the use of palm oil-based fuels, thus mitigating potential negative environmental impacts.



The renewable energy percentage for logistics operations is calculated as:

Energy Efficiency Targets

The energy usage for transport, , in  is bounded by:


where  is the Adjusted Factor. For Sweden, Finland and Norway, this is , and for Denmark, .

A 30% improvement in efficiency allows for a 10% reduction in renewable energy requirements.

Home Delivery Vehicle Standards

Sweden:

>80% coverage: At least 60% vehicles on renewables.
60-80% coverage: At least 80% vehicles on renewables.
<60% coverage: 100% vehicles on renewables.


Denmark, Norway, and Finland:

>80% coverage: At least 50% vehicles on renewables.
60-80% coverage: At least 70% vehicles on renewables.
<60% coverage: 100% vehicles on renewables.



Coverage refers to the percentage of postal numbers in the country that the company's home delivery service reaches.
Note: Renewable fuels include electricity, biofuels, biogas, hydrogen, and muscle power, excluding hybrids. For Finland, HVO is not included in the calculation.


#### Compliance Measures
- The STEP tool is the central platform for standardized reporting and assessing sustainability metrics.
- Compliance is verified against national standards with a 2% margin of error for vehicle compliance.
Home Delivery Notifications

Mandatory for all home-delivered packages, excluding mail/postal services.

Random Checks

Nordic Swan Ecolabel will conduct random checks of anonymized agreements and invoices.

Note: The reporting structure aims for transparency and customer awareness, addressing practical challenges while maintaining rigorous standards.

Reporting:
| Reporting Requirements                     | Organizational Level                              | Additional Notes |
|--------------------------------------------|---------------------------------------------------|------------------|
| Renewable Energy Percentage                | National, according to coverage                   | Incentives for exceeding targets. |
| Energy Efficiency Calculation              | Per consignment                                   | Automated in STEP; factors vary by country. |
| Vehicle Standards for Home Delivery        | Vehicle fleet, including subcontractors           | Electric or renewable fuels required. |
| Home Delivery Notifications                | Package level, excluding mail service             | Mandatory for e-commerce deliveries. |
| Compliance and Verification                | Entire e-commerce logistics network               | Includes STEP reporting and national verification. |
| Margin of Error for Vehicle Compliance     | Fleet operation level                             | 2% margin allowed for fueling errors. |