Introduction to ISO 14064

Agneya Carbon Ventures

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All your questions about ISO 14064

What is it?
Why go for it?
What do we offer?

Answered here

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What is ISO 14064?

Climate change poses a great danger to the survival of human species. It is a looming
danger of which the complete magnitude is not realized yet. Erratic weather patterns,
water scarcity, commodity price shocks are all indications of a coming change if it is
not tackled with utmost urgency. Various scientific studies have shown that this is a
direct result of increased accumulation of GHGs in the atmosphere.

Source: http://cdiac.ornl.gov/ftp/trends/co2/maunaloa.co2

The graph shows the increasing level of CO2 in the last 5 decades. Climate change has
therefore become a key agenda in international trade negotiations with direct
emphasis on reducing the concentration of GHGs in atmosphere. First step towards
achieving this task is quantification and reporting of GHG emissions at the
organizations and country level. ISO 14064-1 provides specification and guidance for
the same.

Why go for ISO 14064?

“ Its not the largest of the organizations that last long, nor the most profitable
ones. It is the one that is the most adaptable to the change”.
~ Adapted from similar quote by Darwin on evolution of species.

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Climate change presents organizations risks and opportunities in a world which will
slowly but surely move towards lower carbon-intensive technologies and products.
Organizations that will respond quickly to this trend will maximize their opportunities.
Organizations must know the risk associated with climate change, their carbon
footprint, benefits, and cost associated with mitigating the risks and lowering their
carbon footprint. ISO 14064 is the first step in this direction. ISO 14064 comprises
three standards, respectively detailing specifications and guidance for the
organizational and project levels, and for validation and verification. They can be used
independently, or as an integrated set of tools to meet the varied needs of GHG
accounting and verification. ISO 14064-1:2006, Greenhouse gases – contains
specification with guidance at the organization level for the quantification and
reporting of greenhouse gas emissions and removals.

Benefits of ISO 14064

Future regulatory compliance readiness: World over, various regulatory
frameworks are being created to fight climate change, Kyoto Protocol being one of the
most discussed and stringent framework for GHG emissions reduction. India being one
of the fastest developing economy and therefore registering fast emissions rise, is
under pressure from international community to adopt regulatory framework to
reduce or limit its green house gases emission and hence reduce the carbon footprint.
Frameworks are also getting created with increasing care ( India’s National
Environmental Policy (NEP) 2006, scripted by the Ministry of Environment and forests
has recommended the use of standardized environmental accounting practices and
norms in preparation of statutory financial statements for industrial enterprises.”).
Organizations which invest time in understanding it's GHG emissions now would be
better prepared to comply regulations which will be implemented with increasing
stringency.
Mr. Jairam Ramesh has indicated that Government of India might allow carbon
emission assessment and accounting for the project wherein forest investment is
included.

Risk and opportunity assessment due to climate change: Climate change can
have significant impact on input costs hurting companies profitability. (Rattling Supply
Chain, a study by AT Kearney in collaboration with WRI). Similarly climate change
presents opportunities for companies to innovate in products and technologies. ISO
14064-1 provides the first step towards preparing organization’s mindset to think
about climate change in connection with its core strategy. It also helps organization to
assess the value and assets at risk, product or service opportunities in its business
line due to climate change, and adapt itself towards changing business.

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Meeting investors’ expectation: Investors are increasingly demanding the
organization’s preparedness for climate change. Carbon Disclosure Project (CDP) is
one such project wherein more than 2500 organizations worldwide has disclosed their
carbon footprint and their action plan to adapt climate change and prevent it
altogether. More than 475 of world’s largest investor’s with assets more than $ 55
trillion and 60 purchasing organizations worldwide are signatories of CDP. IFC’s
performance standards asks for carbon emission accounting at the project level.

Enhances shareholder’s value: Through ISO 14064, organization can prepare itself
towards risks and mitigate or manage it. Organization’s preparedness towards long
term sustainability increases the confidence of investors and shareholders and hence
increases the shareholder’s value in long term.

Non Financial Reporting: In today’s world, organizations have to disclose more than
financial data to build good image amongst investors, regulators, and society at large.
ISO 14064 provides data on carbon footprint and organization’s mitigations efforts.
These reports could be Corporate CSR report, GRI Sustainability report, or Annual
Report.

Cost Saving: Higher emissions are proxy indicators for lower efficiency of the
processes, equipments, and buildings. Hence through the implementation of
organization wide carbon footprint measurement, lower efficiency hot spot can be
found out. These activities can bring in the savings for the organization.

Identification of potential CDM project: ISO 14064 being carbon management

system, it can help in locating and identifying any potential CDM or carbon reduction
project in the organization’s value chain.

Brand equity enhancement: Brand equity is something what people think of you.
ISO 14064 certification can put the organization into league of truly world class
companies which are admired internationally. Natural Sugar can be first Indian sugar
company if it gets ISO 14064 certification successfully and hence gain visibility on
international level. Some of the Indian companies which have adopted carbon
accounting and management systems.

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Source: Based upon the CDP India report (www.cdproject.net). All these logos are registered trademarks of the respective
organization, downloaded from the respective websites purely for presentation purpose.

Benefits in brief
• Preparing for the future regulatory environment framework
• Organization’s risk and opportunity assessment due to climate change
• Meeting investor’s expectation
• Enhancing shareholder’s value
• Data for non financial reporting
• Cost saving through elimination of wastes and efficiency improvement
• Platform for identification of CDM projects
• Company’s brand equity enhancement

ISO 14064 certification project can deliver following key elements

✓ ISO 14064 certification to the organization
✓ Benchmarking in industry and across the industry regarding the carbon footprint
✓ Risks and opportunities assessment report due to climate change
✓ Full fledged carbon accounting and management system with data, metrics, and
carbon accounting methodologies.
✓ Registration with CDP and all other such national and international forums
✓ Framework for identification of potential CDM projects
✓ Product extension and brand enhancement support

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What we offer ?
We help client through our expertise in fields of inventorying of emissions,
implementation of emission measurement methodologies, conceptualization and
implementation of internal GHG abatement strategy, sustainability analysis, reporting
and assurance. We provide client with metrics, data, methodologies, and tools to
monitor emission and initialize ongoing carbon productivity at the micro level. Thus
we prepare the organization for ISO 14064-1. With our partnership with certification
bodies, we offer end-to-end solution to our clients.

For further details and discussion, you can reach us at

contact@agneya.in +91-90287 88430

indrajeet@agneya.in 020-40621398

Please visit us at
www.agneya.in

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