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Guide· 4 min read

What are Scope 1, 2 and 3?

The three scopes, explained for business owners. What counts, where the numbers hide, and where to start.

Your carbon footprint is the total greenhouse gas your business causes in a year, measured in tonnes of CO₂e (carbon dioxide equivalent). To make it manageable, it is split into three groups called scopes.

Scope 1: what you burn directly

Emissions from fuel your business burns itself. For most SMEs that means company vans and lorries, diesel generators, LPG for cooking or boilers, and refrigerant top-ups for air-conditioning and cold rooms.

Scope 2: the electricity you buy

Emissions from generating the electricity you use. Your TNB bill (or SESB in Sabah, or SEB in Sarawak) already shows the key number: kilowatt-hours used. For many shops, offices and workshops this is the single biggest and easiest number to find.

Scope 3: everything else in your value chain

Emissions you don't control directly but are linked to your business: the goods you buy, deliveries, business travel, staff commuting, waste, and what happens to your products after you sell them. The GHG Protocol groups these into 15 categories.

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How to read your TNB bill for carbon

Skip the ringgit. The number that matters is kilowatt-hours. Here's how to turn it into a footprint.

Read the guide · 3 min

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