Hello community, would you please have advise how to treat emissions linked to CAT Product sold for a client X that has a fuel card with acceptance network that they don´t own. They bill the final customer for the fuel bought with the card, but dont hold inventory of the fuel.
Should they account for this fuel sold via cards in scope 3?
Example: Their client comes to a Shell gas stations, uses the CARD, does not pay there but gets invoice from client X that he pays, client X than pays to Shell.
I have seen both similar companies excluding it or including it but would be curious some professional opinions on this. Thanks
Happy to jump in. We always like to give the community time to respond, but as an answer is still awaiting, we’re happy to contribute.
To get the full picture, I’ll further work on your example to get the full value chain:
Party A: Produces gas and sells it to Shell
Party B: Shell that sells the gas to Party D
Party C: Sells fuel cards to Party C and buys gas from Party B that is used by party D.
Party D: Buys the gas at the gas station with a fuel card of Party D and uses the gas.
In my opinion the GHG footprint (following the GHG Protocol) would look like below. Very important is to take into account the exclusiveness of Scope 1 and non-exclusiveness of Scope 3:
Hi Steven, thank you for the answer.
Just to clarify and elaborate on this - Party C - Sells fuel card to Party D and "buys (its just financial transaction, fuel does not leave premises / fuel stations of party B) gas from Party B that is used by party D. However party C invoices party D for the fuel.
Currently the Party D reports on both cat 3.1 Purchased goods where it accounts for WTT emissions but also category 3.11 use of sold products (tank to wheel).
You mention - Party C should account for scope 3.1 Well to tank only?
What methodological guide/ reference to GHG protocol would you use?
Cause auditors (PWC) and some other consulting companies advise to report still even 3.11.