Criterion A.5 - Use of spend-based emission factors

The Bilan Carbone® method promotes the use of physical activity data. However, the use of spend-based emission factors is accepted to address gaps in standard emission factors (EFs) associated with certain purchases or services (intellectual services, technical maintenance, semi-finished components, etc.) or to estimate items for which data are more complex to obtain and which follow multiple economic logics (for example: GHG estimation of savings, investments, etc.).

Basic principle of using spend-based emission factors

Any candidate tool seeking recognition as compliant with the Bilan Carbone® method must always prioritise physical data and use spend-based emission factors only to address a lack of data.

Guidance on the use of spend-based emission factors

In order to support reasonable use of spend-based emission factors, it is important that the tool incorporates educational elements facilitating an understanding of the risks associated with their use. It is necessary to clearly explain the difference between specific and non-specific spend-based emission factors.

In this way, the limitations associated with the use of spend-based emission factors can be understood by users, such as the precision limitation related to price variations within the same sector, or the impossibility of quantifying reduction actions through an emission calculation based on spend-based emission factors.

Criterion

Mandatory	Criterion A.5 - Use of Spend-Based Emission Factors
Question	Does the candidate tool systematically prioritise the use of physical data over monetary data, and does it provide for the use of spend-based emission factors only as a last resort?
Answer	Yes, the tool properly respects the technical principle and ensures the associated guidance: the issues related to the use of monetary rather than physical data are explained in the tool's resources — the tool incorporates safeguards reminding users of the data to prioritise during data collection/entry the tool allows the user to justify the use of certain types of data (monetary, statistical, simulated, extrapolated, conjunctural) the tool incorporates an indicator showing the share of emissions calculated using spend-based emission factors (specific and non-specific), as a percentage (recommended Bilan Carbone® alert threshold: 20%) Yes, the tool properly respects the technical principle and ensures the associated guidance: the issues related to the use of monetary rather than physical data are explained in the tool's resources the tool incorporates safeguards reminding users of the data to prioritise during data collection/entry No, the tool provides neither guidance nor safeguards aimed at limiting the use of the monetary approach or at promoting the physical approach
Implementation guidance	Look for the presence of awareness-raising elements on the difference between the physical approach and the monetary approach. Look for the presence of awareness-raising elements enabling an understanding of the principles of specific and non-specific spend-based emission factors. Check whether the option is provided to enter monetary inputs for significant items, stages or flows. For candidate tools intended for "organisation"-level assessments, check the role given to reading an Accounting Entry File (FEC). The following uses of FEC reading are considered acceptable: To determine the amount spent on routine supplies, intellectual services, etc. To identify potential gaps in the physical data entered (i.e. "this line of expenditure does not appear to have been specified during physical data entry") Check whether: the tool incorporates safeguards when using spend-based emission factors (specific and non-specific) the tool enables tracking of the share of emissions calculated using specific and non-specific spend-based emission factors the tool allows justification elements to be entered when using spend-based emission factors