EPDs vs. Company Carbon Footprint: What are the differences?
Explore how Environmental Product Declarations (EPDs) and company environmental footprints differ and intersect in the quest for sustainability.
EPDs: A Product's Environmental Report Card
An Environmental Product Declaration (EPD) is a standardised document that details the environmental impact of a specific product throughout its lifecycle. The impact of the product is calculated via a Lifecycle Assessment (LCA) which conforms to the requirements of the relevant Product Category Rules (PCR). This "cradle-to-grave" approach considers factors like:
- Raw material extraction and processing
- Manufacturing and transportation
- Product use and maintenance
- End-of-life disposal and recycling
Think of an EPD as an environmental report card for a product. It allows comparing similar products from different companies, promoting transparency and helping consumers make informed choices.
EPDs are voluntary (for now), but they can be a valuable tool for companies looking to demonstrate their commitment to sustainability and provide transparency to consumers. By providing detailed information about the environmental impact of their products, companies can make more informed decisions and engage in continuous improvement efforts.
Company Carbon Footprint: A Holistic View
A company's environmental footprint refers to the total environmental impact of its operations, products, and services. It encompasses not only the direct impact of its own activities, but also the indirect impact throughout its supply chain including:
- Energy consumption across all facilities
- Waste generation and disposal practices
- Water usageEmissions (air and water) from production processes
- Supply chain sustainability practices
Companies typically measure their environmental footprint according to the Greenhouse Gas Protocol (GHG Protocol). This internationally recognised framework provides standardised guidelines for calculating and reporting greenhouse gas emissions. The GHG Protocol categorises emissions into three scopes:
- Scope 1: Direct emissions from owned or controlled sources (e.g., fuel combustion in facilities)
- Scope 2: Indirect emissions from purchased electricity, heat, or steam
- Scope 3: All other indirect emissions throughout the value chain (e.g., raw material extraction, transportation, product use)
By following the GHG Protocol, companies can ensure transparency and comparability in their footprint reporting.
Understanding the Differences
Here's a table summarising the key differences:
Feature | EPD | Company Carbon Footprint |
Focus | Specific product |
Entire company operations
|
Scope | Cradle-to-grave* product lifecycle |
All activities including supply chain
|
Purpose | Transparency and product comparison |
Assess overall environmental impact
|
Standardisation | According to relevant ISO standards and PCRs |
Typically following GHG Protocol
|
*The scope for some products, e.g. cement, is limited to cradle to-gate (A1 to A3)
Working Together for Sustainability
While distinct, EPDs and company carbon footprint work together to create a comprehensive picture of environmental impact.
- EPDs inform companies about areas for improvement within specific products.
- Company footprints, measured according to the GHG Protocol, help identify broader sustainability goals and strategies.
Consumers can leverage EPDs to choose eco-friendly products, while businesses can use both EPDs and company footprint data to drive sustainability efforts and communicate their environmental commitment effectively.
The Takeaway
EPDs and company carbon footprint offer valuable insights into environmental impact. EPDs focus on a product's lifecycle, while company footprint analyses the whole company, typically following the GHG Protocol for emissions reporting. Both are crucial for informed decision-making by consumers and businesses alike. As the sustainability movement gains momentum, expect EPDs and company footprinting to play an increasingly vital role in building a greener future.