Scope 3 emissions reporting is one of the most complex and challenging aspects of carbon accounting.
With increasing regulatory pressure and stakeholder expectations, businesses need to not only measure but also actively manage their supply chain emissions. So, where do you start, and how do you get suppliers on board?
In this webinar, Devinka Piyasena, Climate Change Manager at Australian steel supplier and manufacturer BlueScope and our Head of Carbon Katharina Bauch discuss how to tackle Scope 3 emissions reporting.
Watch the webinar replay, or scroll down for a summary
Devinka's key takeaways
The challenges BlueScope has faced
- Complexity of supply chain – With over 160 sites across 15 countries and operations across multiple parts of the steel value chain, gathering reliable emissions data was a significant challenge.
- Data quality and availability –Experienced challenges with obtaining consistent and complete supplier emissions data, making accurate Scope 3 reporting difficult.
- Supplier-specific emission factors – Initially relying on industry averages, BlueScope faced challenges in obtaining supplier-specific emissions data to improve reporting accuracy.
- Engaging suppliers – Suppliers were at different stages in their reporting journeys with some at the start, requiring education and tailored engagement strategies.
Practical insights for navigating supply chain emissions
- Materiality-driven approach – BlueScope prioritised the most material emissions sources to improve on accuracy and made gradual improvements over time.
- Procurement team training – Educating procurement teams on the data required from suppliers helped improve supplier engagement and data accuracy.
- Supplier engagement strategies – BlueScope used a mix of public disclosures, direct outreach, and standardised data requests to obtain emissions data.
- Incremental improvements – Instead of aiming for perfect data immediately, BlueScope made step-by-step enhancements to its reporting over time; driven by materiality.
Preparing for Australia’s mandatory climate reporting
- Building readiness for mandatory disclosures – BlueScope is strengthening its documentation, and streamlining data collection and reporting processes to prepare for mandatory reporting and external assurance from FY26 and FY27 (respectively) as a Group 1 entity.
