Greenhouse Gas (GHG) accounting

Nowadays, it's almost impossible to open a newspaper without encountering an article on 'sustainability'. Whether it's in the context of the financial services industry, the broader economy, or society as a whole, sustainability has become a critical issue. In recent years, it has gained significant traction and is now recognised as a necessity rather than just a trend.

Over the past decade, the focus on environmental issues has grown exponentially, resulting in various global commitments and initiatives aimed at transforming current institutional, economic, and financial models.

This training session covers the essentials of Greenhouse Gas (GHG) accounting, a fundamental process for organisations aiming to measure, manage, and reduce their carbon emissions. GHG accounting provides the metrics and methodologies needed to understand an organisation’s carbon footprint, identify key emission sources, and track progress towards sustainability targets. This course will walk participants through the various scopes of GHG emissions, tools for measurement, and reporting standards such as the GHG protocol.

By the end of this training, participants will:

• understand the principles of GHG accounting and the importance of accurate emissions measurement;
• be able to differentiate between Scope 1, 2, and 3 emissions and their impacts;
• gain familiarity with key standards and frameworks like the GHG protocol and ISO 14064;
• develop skills to calculate and report organisational carbon footprints;
• learn best practices for implementing emission reduction initiatives based on accounting data.

• Introduction to GHG accounting
  • Overview of GHG emissions and the role of accounting in corporate sustainability.
  • Key definitions and concepts in GHG measurement.
• Scopes of emissions
  • Detailed exploration of Scope 1 (direct emissions), Scope 2 (indirect emissions from energy), and Scope 3 (value chain emissions).
  • Case examples to illustrate the complexities of Scope 3 calculations.
• Methodologies for GHG measurement
  • Tools and standards used in GHG accounting (e.g., GHG Protocol, IPCC guidelines).
  • Introduction to emission factors, data gathering, and calculation approaches.
• Reporting and verification
  • Understanding GHG disclosure requirements under frameworks such as CDP and TCFD.
  • Verification approaches to ensure accuracy and reliability of data.
• Actionable insights for emission reduction
  • Using GHG accounting data to develop emission reduction strategies.
  • Practical examples of how companies have successfully reduced their GHG emissions.

This training is coordinated by Michael Horvath and Julien Jacqué, Partners at PwC Luxembourg.

Michael Horvath is a partner at PwC with extensive expertise in sustainable finance and the asset management industry, including both financial and real assets. Since joining PwC Switzerland in 2011 and PwC Luxembourg in 2018, he has led significant projects in regulatory audit and advisory, focusing on the asset management sector. Michael has played a key role in implementing the EU regulatory framework for sustainable finance, including SFDR, taxonomy regulation, and CSRD, as well as other regulatory initiatives such as DORA, AML/CFT, CSSF circular 18/698, and MICA. He is a certified public accountant in Switzerland and Liechtenstein and has contributed to designing compliance frameworks and operational implementations driven by regulatory changes. His notable client projects include defining target operating models for Luxembourg AIFMs, digital operational resilience planning, AML/CFT framework implementation, and ESG/sustainability process design, supported by his involvement in training and regulatory advisory.

Julien Jacqué is a partner in PwC Luxembourg’s technology consulting department, co-leading the ESG Non-financial sector service offering and ESG Data & Technology services across sectors. With over 12 years of experience, he supports operational and financial clients in launching Sustainability and ESG transformation programs, guiding them from ESG strategy definition to business model transformation and regulatory reporting. Specialising in transport, logistics, manufacturing, and financial services, Julien leads large-scale transformation projects and international teams, including ESG reporting upgrades for telecom clients. His expertise includes ESG strategy, Net Zero, business intelligence platforms, and end-to-end project leadership for major clients in Europe and beyond.