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CS Professional · Environmental, Social and Governance (ESG) - Principles and Practice · Green Initiatives

Ishaan Pharma Ltd wants to reduce its carbon footprint. Which action would most directly reduce Scope 2 emissions under the Greenhouse Gas Protocol classification?

Buying renewable electricity instead of fossil-based grid power reduces Scope 2 emissions, which are indirect emissions from purchased electricity, steam, heating or cooling. Cutting own boiler fuel is Scope 1, and supplier transport or employee travel falls under Scope 3.

  1. ABuying electricity from renewable sources instead of grid power from fossil fuelsCorrect
  2. BBurning fewer fuels in its own boilers
  3. CAsking suppliers to reduce their transport emissions
  4. DReducing business travel by employees on commercial flights

Explanation

Scope 2 covers indirect emissions from purchased electricity, steam, heating or cooling. Switching to renewable electricity reduces these. Own boiler fuel is Scope 1, while supplier transport and employee flights are Scope 3.

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