Overview of changes since the previous update 

This is the eleventh version of the publication originally titled Guidance for Voluntary Greenhouse Gas Reporting.  

1. Introduction

1.1. Purpose of this guide 

The Ministry for the Environment supports organisations acting on climate change. We recognise there is strong interest from organisations across New Zealand to measure, report and reduce their emissions. We have prepared this guide to help you measure and report your organisation’s greenhouse gas (GHG) emissions. Measuring and reporting emissions empowers organisations to manage and reduce emissions more effectively over time. 

The guide aligns with and endorses the use of the GHG Protocol Corporate Accounting and Reporting Standard(referred to as the GHG Protocol throughout the rest of the document) and ISO 14064-1:2018 (see section 1.3). It sets out how to quantify and report GHG emissions, and provides methods to apply emission factors to produce a GHG inventory (see section 4). 

We update the guide in line with international best practice and the New Zealand Government’s Greenhouse Gas Inventory to provide new emission factors.  

This Quick Guide is part of a suite of documents that comprise Measuring Emissions: A Guide for Organisations, listed in Figure 1.  

Figure 1: Documents in Measuring Emissions: A Guide for Organisations  

Feedback 

We welcome your feedback on this update. Please email [email protected] with the subject line ‘Measuring Emissions: A Guide for Organisations’. 

1.2. Important notes 

The information in this guide is intended to help organisations that want to report their GHG emissions on a voluntary basis. This guide does not represent, or form part of, any mandatory reporting framework or scheme. 

The emission factors and methods in this guide are for sources common to many New Zealand organisations and supports the recommended disclosure of GHG emissions consistent with the Task Force on Climate-related Financial Disclosures (TCFD) framework. However, the complete TCFD recommendations go beyond the scope of this guidance. For further guidance on these please consult the TCFD website.^[1]

The Task Force on Climate-related Financial Disclosures (TCFD) was set up by the Financial 

Stability Board to increase transparency, stability, and resilience in financial markets.  The TCFD framework promotes consistent climate-related financial risk disclosures aligned with investors’ needs and which supports organisations in understanding how to measure and report on their climate change risks and opportunities. In September 2020, New Zealand announced plans to introduce mandatory climate risk reporting in line with the TCFD recommendations for all listed issuers and large banks, investment managers and insurers. This guide and the emission factors and methods align with the TCFD recommendations for disclosure of GHG emissions.  

This guide, and the emission factors and methods, are not appropriate for a full life-cycle assessment or product carbon footprinting. The factors presented in this guide only include direct emissions from activities, and do not include all sources of emissions required for a full life-cycle analysis. 

This information is not appropriate for use in an emissions trading scheme. Organisations required to participate in the New Zealand Emissions Trading Scheme (NZ ETS) need to comply with the scheme-specific reporting requirements. The NZ ETS regulations determine which emission factors and methods to use to calculate and report emissions.  

Users seeking guidance on preparing a regional inventory should refer to the GHG Protocol for Community-scale Greenhouse Gas Emission Inventories.

If emission factors relevant to your organisation are not included in Measuring Emissions: A Guide for Organisations, we suggest using alternatives such as those published by the UK government: www.gov.uk/government/publications/greenhouse-gas-reporting-conversionfactors-2020

This guide covers the following greenhouse gases: carbon dioxide (CO₂), methane (CH₄), nitrous oxide (N₂O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulphur hexafluoride (SF₆) and nitrogen trifluoride (NF₃)^[2]and other gases (eg, Montreal Protocol refrigerant gases or medical gases). 

GHGs can trap differing amounts of heat in the atmosphere, meaning they have different relative impacts on climate change. These are known as global warming potentials (GWPs).^[3] To enable a meaningful comparison between the seven gas types, GHG emissions are commonly expressed as carbon dioxide equivalent or CO₂-e. This is used throughout the guide. For further information about GWPs, please see the Detailed Guide (section 1.3). 

1.3. Standards to follow 

We recommend following ISO 14064-1:2018 and the GHG Protocol Corporate Accounting and Reporting Standard.We wrote this guide to align with both.  

• ISO 14064-1:2018 ^[4] is shorter and more direct than the GHG Protocol. A PDF copy costs 158 Swiss francs.  
• The GHG Protocol ^[5] gives more description and context around what to do to produce an inventory. It is free to download.  

Both standards give comprehensive guidance on the core issues of GHG monitoring and reporting at an organisational level, including: 

• principles of monitoring and reporting 
• setting organisational boundaries 
• setting reporting boundaries 
• establishing a base year 
• managing the quality of a GHG inventory 
• content of a GHG report. 

1.3.1. How emission sources are categorised 

The GHG Protocol places GHG emission sources into Scope 1, Scope 2 and Scope 3 activities. 

• Scope 1: Direct emissions from sources owned or controlled by the organisation (ie, within the organisational boundary). For example, emissions from combustion of fuel in vehicles owned or controlled by the organisation.  
• Scope 2: Indirect emissions from the generation of purchased energy (in the form of electricity, heat or steam) that the organisation uses.   
• Scope 3: Other indirect emissions occurring because of the activities of the organisation but generated from sources it does not own or control (eg, air travel).  

ISO 14064-1:2018 categorises emissions as direct or indirect sources. This is to manage double counting of emissions (such as between an electricity generator’s direct emissions associated 

with generation, and the indirect emissions linked to the user of that electricity). The terminology of ‘Categories’ is used in ISO 14064-1:2018, replacing the use of ‘Scopes’. 

Table 1 lists the scopes according to the type of emission, and the source categories.  

Table 1:     Emissions by scope and source category  

Note: Depending on your organisation’s reporting and financial boundaries, some emission sources may be either Scope 1 or Scope 3. 

* Emissions inventories, in line with the GHG Protocol, report only Kyoto Protocol gases under direct (Scope 1) emissions. All non-Kyoto gases, such as the Montreal Protocol refrigerant gases or medical gases, should be reported separately as ‘other gases’. However, ISO 14064-1:2018requires all relevant direct (Scope 1) emissions to be reported, in line with the Interactive workbook.

Currently for direct emissions, ISO 14064-1:2018 requires that organisations report emissions by GHG as well as in carbon dioxide equivalents (CO₂-e). Example calculations in this guide do so. For more information see the Detailed Guide, Emission Factors Workbook and Interactive Workbook.

2. How to quantify and report GHG emissions

To quantify and report GHG emissions, organisations need data about their activities (eg, quantity of fuel used). They can then convert this into information about their emissions (measured in tonnes of CO₂-e) using emission factors.  

An emission factor allows you to estimate emissions from a unit of activity data (eg, litres of fuel used). The factors are set out in the Emission Factors Summary and the Emission Factors Workbook.

A GHG inventory contains all applicable emissions for an organisation within a defined boundary during a set period. The inventory is key to measuring emissions.  

A GHG report (see section 2.3) provides context about the organisation, as well as analysis and progress. The report is key to communicating GHG-related information to its intended users.  

Organisations that wish to be in line with ISO 14064-1:2018 should be aware that the standard has specific requirements about what to include in the inventory and report. 

You may opt to verify the GHG inventory or report against the measurement standards (see section 3). Although optional, this can give confidence that the inventory is accurate and complete, so organisations can effectively manage and reduce their emissions. 

2.1. Step by step 

To prepare an inventory: 

1. Select the boundaries (organisational and reporting^[6]) and measurement period (ie, calendar or financial year) you will report against for your organisation, based on the intended uses of the inventory. 
2. Collect activity data on each emission source within the boundaries for that period.  
3. Multiply the quantity used by the appropriate emission factor in a spreadsheet. See the 2019 Example GHG Inventory.  
4. Produce a GHG report, if applicable. See section 2.3 and the 2019 Example GHG Report.  

If this is your first inventory, you can use it as a base year for measuring the change in emissions over time (as long as the scope and boundaries represent your usual operations, and that comparable reporting is used in future years). ISO 14064-1:2018 also allows a base year to be quantified using an average of several years. Due to Covid-19 this may be an appropriate and representative approach for organisations that have commenced measuring their emissions in 2020. 

For some organisations, certain GHG emissions may form less than 1 per cent of the inventory. These are known as de minimis^[7] and may be excluded from the total inventory, provided that 

the total of excluded emissions does not exceed the materiality threshold. For example, if using a materiality threshold of 5 per cent, the total of all emission sources excluded as de minimis must not exceed 5 per cent of the inventory. Typically, an organisation estimates any emissions considered de minimis using simplified methods to justify the classification. It is important these are transparently documented and justified. You only need to re-estimate excluded emissions in subsequent years if the assumptions change. 

2.2. Using the emission factors  

Emission factors rely on historical data. This 2020 guide is based on New Zealand’s Greenhouse Gas Inventory 1990-2018 as this was the latest complete set of data available. In some cases where more recent data was available, we used it; this is clearly stated in the documents. 

If you use the Interactive Workbook, input your activity data and the emission factors will be applied automatically. If you do not use the Interactive Workbook, example calculations are provided throughout chapter four to demonstrate how to use the emission factors.^[8]  

Organisations can choose to report on a calendar or financial year basis. The period determines which historical factors to use. 

Calendar year: Use the latest published emission factors. For example, if you are reporting emissions for the 2019 calendar year, use this 2020 guide, which largely relies on 2018 data. 

Financial year: Use the guide that the greatest portion of your data falls within. For example, if you are reporting for the 2019/20 financial year, use this 2020 guide. For a July to June reporting year, apply the more recent set of factors. 

The emission factors in this guide are:  

• default factors, used in the absence of better organisation- or industry-specific information 
• consistent with the reporting requirements of ISO 14064-1:2018 and the GHG Protocol  
• aligned with New Zealand’s Greenhouse Gas Inventory 1990-2018. This also means we use the 2007 IPCC GWPs to ensure consistency. 

See the Detailed Guide for further information. 

2.3. Producing a GHG report 

A full GHG report gives context to the GHG inventory by including information about the organisation, comparing annual inventories, discussing significant changes to emissions, listing excluded emissions, and stating the methods and references for the calculations.  

3. Verification 

Verification^[9] gives confidence about the inventory and report. If you intend to publicly release the inventory, we recommend it is independently verified to confirm that calculations are accurate, the inventory is complete and you have followed the correct methodologies. 

3.1. Who should verify my inventory? 

 If you opt for verification, we recommend using verifiers who: 

• are independent 
• are members of a suitable professional organisation 
• have experience with emissions inventories 
• understand ISO 14064 and the GHG Protocol
• have effective internal peer review and quality control processes. 

Organisations may choose to use an accredited body to help them assess a verifier. For example, accreditation under the ISO 14065 standard confirms that verifiers are suitably qualified and enables them to certify an inventory as being prepared in accordance with ISO 14064-1:2018.  

In New Zealand, the Joint Accreditation System of Australia and New Zealand (JAS-ANZ) issues accreditations and publishes a list of accredited bodies on its website.^[10]

4. Calculating emissions by source category

The following sections aim to help organisations produce a GHG inventory. The Detailed Guide has information about category changes. For more information see the Detailed Guide, 2019 Example GHG Inventory and Interactive Workbook.  

4.1. Fuel 

The fuel category comprises stationary combustion and transport. It also includes the use of biofuels, and the transmission and distribution losses for reticulated natural gas.  

In line with the reporting requirements of ISO 14064-1:2018 and the GHG Protocol, we provide emission factors for direct (Scope 1) sources to allow separate carbon dioxide, methane and nitrous oxide calculations.  

Organisations typically report their fuel emissions using activity data on the amount of fuel used during the reporting period.  

4.1.1. Stationary combustion 

Stationary combustion fuels are burnt in a fixed unit or asset, such as a boiler. To calculate these emissions, collect data on the quantity of fuel used (ie, volume in litres or weight in kilograms) during the reporting period and multiply this by the emission factor for each GHG. 

Quantified units of fuel weight or volume (commonly in litres) are preferable.  

4.1.2. Transport fuels 

Transport fuels are used in an engine to move a vehicle. To calculate transport fuel emissions, collect data on the quantity of fuel used (ie, litres or gigajoules/GJ) and multiply this by the emission factors for each GHG. 

Quantified units of fuel weight or volume (commonly in litres) are preferable.  

4.1.3. If no fuel data is available 

If your records only state kilometres travelled, and you do not have information on fuel use, see section 4.4 Travel. Factors such as individual vehicle fuel efficiency and driving efficiency mean that kilometre-based estimates of carbon dioxide equivalent emissions are less accurate than calculating emissions based on fuel-use data. Therefore, only use the emission factors based on distance travelled if you have no information on fuel use. 

Calculating transport fuel based on dollars spent is less accurate and should only be applied to taxis. See section 4.5.1 Passenger vehicles.

Travel emissions are indirect (Scope 3) if you do not directly own or control the vehicles used for travel. If you own or have an operating lease for the vehicle, these emissions are direct (Scope 1) and should be accounted for in transport fuels (see section 4.1.2).  

4.1.4. Biofuels and biomass emission factors 

This category gives emission factors for bioethanol and biodiesel and wood emission sources. For more information about biofuels, see the Detailed Guide.  

The carbon dioxide emitted from the combustion of biofuels and biomass (including wood) is biogenic, meaning it equates to the carbon dioxide absorbed by the feedstock during its lifespan. This means we treat the carbon dioxide portion of the combustion emissions of biofuels as carbon neutral. However, organisations should still report the carbon dioxide released through biofuel and biomass combustion. Calculate these emissions in the same way as the direct emissions. Then, instead of including them in the emissions total, list them separately from the other scopes^[11]. This ensures the organisation is transparent about all potential sources of carbon dioxide from its activities. 

To calculate biofuel emissions, collect data on the quantity of fuel used (litres) and multiply this by the emission factors for each gas. 

4.1.5. Transmission and distribution losses for reticulated gases  

Reticulated gases are delivered via a piped gas system. Users should be aware what type of reticulated gas they are receiving: natural gas or liquefied petroleum gas (LPG).  

Reticulated LPG is supplied in Canterbury and Otago only (natural gas is not available in the South Island). LPG does not contain any methane so fugitive emissions (ie, leaks) of methane do not occur. 

To calculate the emissions from transmission and distribution losses, collect data on the quantity of natural gas used in the unit expressed in the emission factor tables and multiply this by the emission factors for each gas. 

4.2. Refrigerant and other gases use 

4.2.1. Refrigerant use 

GHG emissions from HFCs are associated with unintentional leaks and spills from refrigeration units, air conditioners and heat pumps. Quantities of HFCs in a GHG inventory may be small, but HFCs have very high GWPs so emissions from this source may be material. Refrigerant gases come under the Montreal and Kyoto protocols. You can find more information in the Detailed Guide.  

Calculate emissions from refrigerants based on estimated leakage from equipment. The equipment maintenance service provider can typically provide the actual amounts used to top up equipment (ie, to replace what has leaked). There are three approaches to estimate HFC leakage from equipment, depending on data available. See the Detailed Guide (chapter 4 and appendix B) for further information on methods B and C. 

If you consider it likely that emissions from refrigerant equipment and leakage is a significant proportion of your total emissions (ie, more than 5 per cent), you should include them in your GHG inventory. You may need to carry out a screening test to determine if this is a material source.  

If you own or control the refrigeration units, emissions from refrigeration are direct (Scope 1). If the unit is leased, they are indirect (Scope 3). 

To calculate the emissions from refrigerant use, collect data on the quantity of refrigerant used to top up equipment and multiply this by the emission factors. If this data is not available, please see the Detailed Guide for alternative methods. 

4.2.2. Medical gases use 

This section covers emissions from medical gases. Anaesthetic medical gases can be a significant source of direct (Scope 1) emissions in hospitals. The most accurate way to calculate emissions from medical gases is based on consumption data. 

To calculate medical gas emissions, collect consumption data for each medical gas used by the organisation, and multiply this by the GWP for each gas. 

Medical gases are supplied in bottles or cylinders. If only the volume of the gas is known, an additional calculation to calculate the mass of the gas is required to estimate emissions. This should be done by multiplying the volume (L) of gas by its density (g/mL or kg/L). 

4.3. Purchased electricity, heat and steam 

Purchased energy, in the form of electricity, heat or steam, is an indirect (Scope 2) emission. This section also includes transmission and distribution losses for purchased electricity, which is an indirect (Scope 3) source. 

4.3.1. Indirect emissions from purchased electricity from New Zealand grid  

This guide applies to electricity purchased from a supplier that sources electricity from the national grid (ie, purchased electricity consumed by end users). It does not cover on-site, selfgenerated electricity.  

The grid-average emission factor best reflects the carbon dioxide equivalent emissions associated with the generation of a unit of electricity purchased from the national grid in New Zealand in 2020. We recommend the use of the emissions factors in Table 10 for all electricity purchased from the national grid. 

We calculate purchased electricity emission factors on a calendar-year basis and based on the average grid mix of generation types for the 2018 year. The emission factor accounts for the emissions from fuel combustion at thermal power stations and fugitive emissions from the generation of geothermal electricity. Thermal electricity is generated by burning fossil fuels.  

The emission factor for purchased grid-average electricity does not include transmission and distribution losses. We provide a separate average emission factor for this as an indirect (Scope 3) emission source in section 4.3.2.  

To calculate the emissions from purchased electricity, collect data on the quantity of electricity used during the period in kilowatt hours (kWh) and multiply this by the emission factor for each gas. 

4.3.2. Transmission and distribution losses for electricity 

Additional electricity must be generated to make up for that lost in the transmission and distribution network. This emission factor accounts for that extra generation. Under the GHG Protocol, end users should report emissions from electricity consumed due to transmission and distribution losses as an indirect (Scope 3) source. 

To calculate the emissions from transmission and distribution losses for purchased electricity, collect data on the kWh of electricity used in the reporting period and multiply this by the emission factor for each gas. 

4.3.3. Imported heat and steam 

Organisations that have a specific heat or steam external energy source (such as a district heating scheme) can calculate emissions using an emission factor specific to that scheme. This should be available from the owner of the external source.  

4.3.4. Geothermal energy 

Organisations that have their own geothermal energy source can calculate emissions separately using a unique emission factor. Depending on the composition of the steam coming from the borehole, there may or may not be emissions associated with this energy type. 

4.4. Indirect business-related emission factors 

This is a new chapter and includes guidance and emissions factors relating to indirect (Scope 3) emissions from business activities not covered in other chapters. A default emission factor is provided, which incorporates typical emission sources associated with the activities of employees working from home. This emission factor can be used by employers to quantify the indirect (Scope 3) emissions associated with staff working from home.  

To calculate the emissions for an employee working from home, collect information on the number of days staff have worked from home during the reporting period. 

4.5. Travel 

Travel emissions result from travel associated with (and generally paid for by) the organisation. We provide factors for private and rental vehicles, taxis, public transport, air travel and accommodation. 

Travel emissions are indirect (Scope 3) if you do not directly own or control the vehicles used for travel. If you own or have an operating lease for the vehicle, these emissions are direct (Scope 1) and should be accounted for in transport fuels (see section 4.1.2). 

4.5.1. Passenger vehicles  

This section covers emissions from private vehicle mileage claims, rental vehicles and taxi travel. 

Organisations should gather the data on passenger vehicles with as much detail as possible, including age of the vehicle, engine size, fuel type and kilometres travelled. If information is not available, we provide conservative defaults to allow for over- rather than underestimation. 

If fuel use data is available, see section 4.1.2 on transport fuels.  

If fuel use data is not available, collect data on the kilometres travelled by vehicle type, and multiply this by the emission factors based on distance travelled for each GHG. 

4.5.2. Public transport passenger 

Passenger transport is for passenger travel on buses and trains. The unit used for these emission sources are passenger kilometres (pkm). 

4.5.3. Public transport vehicles 

Public transport emissions include those from buses and trains. Air travel is in a separate section below. No data is currently available on ferries.  

To calculate emissions, collect data on the type of bus used (if available) and distance travelled, and multiply this by the emission factors for each gas 

4.5.4. Air travel (domestic and international) 

To calculate emissions for air travel, collect information on passengers flying, their departure airport and destination airport, and if practical, the size of the plane. For international travel, note the class of travel if possible. Calculate distances using online calculators such as www.airmilescalculator.com. Multiply the number of passengers by the distance travelled to obtain the pkm. Collect data on the pkm by class in the reporting period.  

Domestic air travel: Emission factors should only be used for flights within New Zealand. Domestic air travel cannot be broken down by travelling class, but emission factors are provided based on the aircraft size: jet, medium or small aircraft. For the purpose of this guide, a jet is a large aircraft (ie, an Airbus A320), a medium aircraft has between 50 and 70 seats (ie, regional services on an ATR 72 or Dash 8-300) and a small aircraft has less than 50 seats. If the aircraft type is unknown, we recommend using the national average. 

To report domestic travel in other countries, see international travel.  

International travel: To report international air travel emissions use the International Civil Aviation Organisation (ICAO) calculator.^[12] This considers aircraft types and load factors for specific airline routes. It does not apply a radiative forcing multiplier or distance uplift factor¹³ to account for delays/circling and non-direct routes. To account for these, multiply the output by 1.9 to account for radiative forcing and 1.09 to account for the distance uplift factor. For more information see section 6.4 of the Detailed Guide.

If you prefer not to use the ICAO calculator, we recommend using the emission factors in the guide. 

International travel is divided by class of travel. Emissions vary by class because they are based on the number of people on a flight. Business-class passengers use more space and facilities than economy travellers. If everyone flew business class, fewer people could fit on the flight and therefore emissions per person would be higher.  

Multipliers or other corrections may be applied to account for the global warming potential (GWP) of emissions arising from aircraft transport at altitude (jet aircraft). We provide air travel emission factors with and without a radiative forcing multiplier applied. Radiative forcing helps account for the wider climate effects of aviation, including water vapour and indirect GHGs. This is an area of active research aiming to express the relationship between 

emissions and the climate warming effects of aviation, but there is yet to be consensus on this aspect. If multipliers are applied, organisations should disclose the specific factor used and produce comparable reporting. Therefore, avoid reporting with air travel conversion factors in one year and without in another year, as this may skew the interpretation of your reporting. 

4.5.5. Accommodation 

To calculate emissions from accommodation during business trips, collect data on the number of rooms booked, the number of nights and the country visited. 

4.6. Freight transport  

Emissions from freight transport are indirect (Scope 3) for businesses freighting goods through a third party. We provide emission factors for freighting goods, in tonne kilometres (tkm), and for the actual freight vehicles (in km). The emission factors include freighting goods via road, rail, domestic coastal shipping, international shipping and air freight. We also provide emission factors (in km) for road light commercial vehicles and heavy goods vehicles. 

4.6.1. Road freight 

If you use freight vehicles, you can calculate the emissions from the kilometres travelled by that vehicle (sorted by age, engine size and fuel type). 

For freighting goods emissions, you need to know the weight in tonnes of the goods freighted, and the distance in kilometres travelled. 

4.6.2. Rail freight 

Calculate the weight of goods freighted (tonnes) and multiply this by the kilometres travelled. 

4.6.3. Air freight 

Organisations should collect data on the weight (tonnes) of goods freighted by air, and the distance travelled (kilometres). 

4.6.4. Coastal and international shipping freight 

Organisations can calculate emissions for both coastal shipping in New Zealand and international shipping. The international shipping emission factors consider the ship types that visit New Zealand.  

Collect data on the weight (tonnes) of goods freighted, and the distance (kilometres) travelled. 

For each journey, multiply the total weight by the total distance travelled. See the Detailed Guide for more example calculations. 

4.7. Water supply and wastewater treatment  

Emissions result from energy use in water supply and wastewater treatment plants. Some plants also generate emissions when treating organic matter. Emissions from the supply of water and wastewater treatment are indirect GHG emissions (Scope 3) if the organisation does not own or control the facilities.  

4.7.1. Water supply  

Users should collect data on cubic metres (m³) of water used, if it is available. If it is not, apply the per capita emission factor. This is based on an average of water consumed by one person per year and is less accurate. 

4.7.2. Wastewater 

We converted energy use (kWh) to GHG emissions and added these to the treatment process emissions to give the total emissions from wastewater treatment in New Zealand. We provide emission factors for centralised wastewater treatment plants, septic tanks and specific manufacturing industries that produce wastewater that is particularly high in biological oxygen demand (BOD): meat, poultry, pulp and paper, wine, and dairy.

Collect data on the amount of water supplied, similar to measuring water supply emissions. Septic tank calculations require the number of people using the septic tank during that reporting year. Industrial users in the above categories should use the specific emission factors provided. 

4.8. Materials and waste 

4.8.1. Construction materials  

Construction materials emissions are based on best-available New Zealand data for three core materials: concrete, steel and aluminium. For users seeking information on a wider range of materials, especially any users from the construction industry, we recommend you use BRANZ CO2NSTRUCT^[13] which provides embodied carbon and energy values for building materials, including concrete, glass, timber and metals, as well as products such as bathroom and kitchen fittings and lifts. 

These emissions are indirect (Scope 3) if the organisation does not own or control the facilities making the materials. 

Users should collect data on the quantity of construction materials used (kg). 

4.8.2. Waste disposal 

This section will help organisations calculate emissions from waste sent to a landfill. It does not include emissions from other waste processes (eg, recycling).  

To calculate waste emissions, you need to know the type of landfill and the composition of the waste (if possible). 

Knowing the type of landfill ensures that methane is appropriately counted. Organic waste produces significant amounts of methane as it decomposes. Some landfills have systems to collect and destroy this gas before it can reach the atmosphere (you can find which landfills have these systems in the Detailed Guide’s appendix A). By selecting the appropriate emissions factor the emissions inventory will account for if the landfill gas is destroyed.^[14]  

If the type of landfill is unknown, use the emission factor for ‘without gas recovery’, which will give a more conservative estimate. 

Knowing the composition and weight (in kg) of waste allows you to accurately quantify GHG emissions. Use the known weight of waste to calculate a more accurate emissions footprint. 

If the waste composition is unknown, you can select ‘general waste’ or ‘office waste’. ‘General waste’ assumes the waste matches the national composition average for mixed municipal waste. ‘Office waste’ should be used by office-based organisations as it reflects their higher proportion of organic matter (eg, paper and food).  

4.9. Agriculture, forestry and other land use  

This category covers emissions produced by land use, land-use change and forestry (LULUCF), enteric fermentation of livestock, manure management and fertiliser use. Including these sources is in line with New Zealand’s Greenhouse Gas Inventory 1990-2018.  

Emissions from agriculture, forestry and land use are produced in several ways.  

• Methane is a by-product of digestion in ruminants such as cattle and sheep, which nationally are the largest sources of methane in this sector.  

• Storing and treating manure, and spreading it onto pasture, produces methane and nitrous oxide.  
• Applying nitrogen (urea sourced or synthetic) fertiliser onto land produces nitrous oxide and carbon dioxide emissions.  
• Applying lime and dolomite fertilisers results in carbon dioxide emissions.  
• Land use can result in removals (growing forests remove carbon dioxide from the atmosphere) or emissions (harvesting and deforestation). 

If an organisation directly owns and manages livestock, these are direct GHG emissions (Scope 1). LULUCF emissions are reported separately from direct and indirect GHG emissions (Scope 1, 2 and 3).  

Alternative tools, such as OVERSEER, can estimate the GHG emissions from agricultural processes but the results will differ from those generated in this guide (eg, Interactive Workbook). This is because these emission factors have inbuilt assumptions and limitations that may differ from alternative tools.^[15] It is up to the user to assess the appropriateness of emission factors when comparing those from the guide with those from alternative tools. 

4.9.1. Land use, land-use change and forestry (LULUCF) 

GHG emissions from vegetation and soils that are due to human activities are reported in the LULUCF sector. This guide provides emission factors related to forest growth, forest harvest and deforestation only. The term LULUCF is used for consistency with the national inventory. 

The LULUCF sector is responsible for both emitting GHG to the atmosphere (emissions ie, through harvesting and deforestation) and removing GHG from the atmosphere (removals ie, through vegetation growth and increasing organic carbon stored in soils). Most emissions reported in the LULUCF sector are due to forestry activities, such as harvesting in production forests. Most removals are due to forest growth. When emissions exceed removals, LULUCF is a ‘net source’ and emissions are positive. When removals exceed emissions, LULUCF is a ‘net sink’ and emissions are negative.  

In line with ISO 14064-1:2018 and the GHG Protocol, organisations should consider LULUCF emissions if they have forested land within their measurement boundary, or own land that has been deforested for timber or other reasons during the measurement period. 

Organisations with LULUCF emissions should calculate and report these separately from direct and indirect GHG emissions (Scope 1, 2 and 3). In the case that LULUCF is a net sink however (ie, net emissions are negative), you should subtract the total from the other emissions – a practice known as offsetting. 

In New Zealand, most LULUCF emissions and removals reported at the national scale result from forestry. This guide provides methods for estimating carbon stock changes that occur in forest vegetation. The emission factors provided in this guide are New Zealand-specific emission factors, derived from national averages. 

Land-use definitions and further details on the LULUCF sector can be found in the Detailed Guide.

To calculate LULUCF emissions and removals, you need activity data on each forest type (planted, tall natural or regenerating natural – see section 10.2.3 in the Detailed Guide for definitions), the area harvested (in hectares, ha) and any changes to forested land within the organisational boundary for the measurement period.  

Sources for this information could include: 

1. Corporate or farm records for enterprises and organisations. 
2. Geospatial analysis of the property or region. 
3. The LUCAS Land Use Map¹⁷ can provide area by vegetation type at 1990, 2008, 2012 and 2016. It requires geospatial expertise to analyse and extract the data by region. This is free to use and supports users in monitoring changes in their own land management practices. 
4. The New Zealand Land Cover Database (LCDB)¹⁸ provides multi-temporal land cover. It requires geospatial expertise to analyse and extract the data for sub-national analysis. 

4.9.2. Enteric fermentation 

Enteric fermentation is the process by which ruminant animals produce methane through digesting feed. We provide emission factors for dairy cattle, non-dairy cattle, sheep, deer, swine, goats, horses, alpaca, mules & asses, and poultry. 

¹⁷        Land Use Carbon Analysis System (LUCAS) Land Use Map available at https://data.mfe.govt.nz/ 

¹⁸        LCDB available at https://lris.scinfo.org.nz/layer/48423-lcdb-v41-land-cover-database-version-41mainland-new-zealand/

To calculate these emissions, collect data on the number and type of livestock as at 30 June during the measurement period (regardless of whether it is a calendar or financial year – see Detailed Guide section 10.3.1 for more information). 

4.9.3. Manure management  

Manure management refers to the process of managing the excretion of livestock, particularly when they are not on paddocks. Manure storage and treatment produces GHG emissions. We provide emission factors for dairy cattle, non-dairy cattle, sheep, deer, swine, goats, horses, alpaca, mules & asses and poultry. 

To calculate these emissions, collect data on the number and type of livestock as at 30 June during the measurement period (regardless of whether it is a calendar or financial year – see Detailed Guide section 10.3.2 for more information). 

4.9.4. Fertiliser use 

Fertilisers produce GHG emissions when applied to land as they break down. We provide emission factors for the following fertiliser types: 

• non-urea nitrogen  
• urea nitrogen, not coated with urease inhibitor 
• urea nitrogen, coated with urease inhibitor 
• limestone 
• dolomite  

Organisations should collect data on quantity (in kg) of fertiliser used in the reporting period by type. 

4.9.5. Agricultural soils  

Agricultural soils emit nitrous oxide due to the addition of nitrogen to soils through manure, dung and urine. We provide emission factors for dairy cattle, non-dairy cattle, sheep, deer, swine, goats, horses, alpaca, mules & asses, and poultry. 

Organisations should collect data on the number and type of livestock they had as at 30 June during the measurement period. 

Glossary 

Activity data                                                       Data on the magnitude of human activity resulting in emissions or 

removals taking place during a given period. 

Base year                                                            The first year in the reporting series. 

Biodiesel                                                             A type of biofuel similar to diesel that is made from natural elements 

such as plants, vegetables, and reusable materials. 

Bioethanol                                                          A type of biofuel similar to ethanol that is made from natural elements 

such as plants, vegetables, and reusable materials. 

Biofuels                                                               Any fuel derived from biomass. 

BOD                                                                      Biological oxygen demand, the amount of dissolved oxygen needed by 

micro-organisms to break down biological organic matter in water. 

Biologically sequestered carbon             The removal of carbon dioxide from the atmosphere and captured by plants and micro-organisms. 

Carbon sink                                                      A natural or artificial process that removes carbon from the atmosphere. 

CH₄                                                                       Methane. 

CO₂                                                                       Carbon dioxide. 

CO₂-e                                                                    Carbon dioxide equivalent. 

De minimis                                                         An issue that is insignificant to a GHG inventory, usually <1% of an 

organisation’s total inventory for an individual emission source. Often there is a limit to the number of emission sources that can be excluded as de minimis.

Deforestation                                                    The clearing of forest land that is then converted to a non-forest land 

use. 

EECA                                                                     Energy Efficiency and Conservation Authority. 

Emission factor                                                  A coefficient that quantifies the emissions or removals of a gas per unit 

activity. 

Enteric fermentation                                     The process by which ruminant animals digest feed and produce methane. 

Forest land                                                         Land containing tree species that will reach a height of at least 5 

meters, with a canopy cover of at least 30% and be of at least 1 hectare in size. 

Fugitive emissions                                            The emission of gases from pressurised equipment due to leaks or 

unintended releases of gases, usually from industrial activities. 

GHG                                                                      Greenhouse gas. 

GHG inventory                                                A quantification of an organisation’s greenhouse gas sources, sinks, emissions and removals. 

GHG Protocol                                                     The Greenhouse Gas Protocol Accounting and Reporting Standard

provides guidance for organisations preparing a GHG inventory. 

GHG report                                                         A standalone report to communicate an organisations GHG-related 

information to intended users. 

GJ                                                                          Gigajoule (unit of measure, one billion joules). 

GWP                                                                     Global warming potential, a factor describing the radiative forcing 

impact of one mass-based unit of a given GHG relative to an equivalent unit of carbon dioxide over a given period (typically 100 years).