Greenhouse Gas (GHG) Verification
Ensuring Data Integrity and Peace of Mind
A company’s annual GHG reporting on SAIGE records the direct GHG emissions linked to its operations. This includes direct emissions from the combustion of fuel and operation of processes, as well as fugitive and waste emissions. These are known as Scope 1 emissions. Indirect emissions from purchased electricity (Scope 2 emissions) and indirect emissions from the wider supply chain (Scope 3 emissions) are not included in the GHG report.
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Sasha heads up our Advisory deparment and would love to support you.
Independent GHG verification is the diligent oversight necessary to give you, regulators, and stakeholders confidence in your reported data, thereby strengthening your credibility. And in certain instances, GHG verification is now a legal requirement.
When is GHG Verification Required
Historically, under the National Greenhouse Gas Emission Reporting Regulations (NGERs), the Department of Forestry, Fisheries and the Environment (DFFE) requested a GHG verification if anomalies were detected during a desktop review of the GHG report. The regulator would formally request a GHG verification if, for example, they detected inconsistencies such as unexplained year-on-year changes in emission factors or the adding and removal of facilities without justification.
However, this is changing. With the introduction of Mandatory Carbon Budgets (aligned with the Climate Change Act 22 of 2024), verification is transitioning from an ad-hoc requirement to a legislated one. Under the incoming guidelines, companies that are identified as listed activities in the National Carbon Budget Regulations, and that exceed the proposed threshold of 30,000 tonnes of CO2e annually, will be required to complete at least three independent verifications within their five-year carbon budget period.
The Verification Process: Rigorous and Impartial
We are proud to be formally recognised by the DFFE as an approved GHG verification agency. To ensure integrity and comply with the DFFE regulations, your verifier must be completely impartial. A firm cannot verify an emitter’s GHG inventory if they have consulted to that emitter within the previous two years, nor can they verify the same emitter for more than six consecutive GHG reporting periods.
Because of this, if Yellow Tree currently calculates your GHG emissions, we cannot perform your GHG verification, but we will gladly refer you to other approved firms. However, if you currently perform your own GHG reporting or use another service provider, Yellow Tree would love to help with your GHG verification.
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Conducted in strict accordance with ISO 14064-3, the GHG verification process is more intensive than standard GHG reporting. It begins with a pre-verification assessment and a detailed plan, followed by mandatory site visits for facilities that are under your operational control. During these visits, our engineers physically assess your on-site operations, inspect appliances that create GHG emissions, and track fuels from delivery to point-of-use. Finally, we perform thorough cross-calculations. If the GHG data falls within a strict 5% materiality threshold are we permitted to issue an unmodified opinion.
Validating Your Climate Action
Beyond mandatory compliance, a verified GHG inventory is a powerful asset for your annual sustainability report. If your organisation has set ambitious decarbonisation goals, verifying GHG reductions to confirm that they are evidence-based and firmly aligned with international best practices, such as the Science Based Targets initiative (SBTi), is essential.
Let us help you.
GHG verification shouldn’t be a complex burden. Let our team provide the attentive service, technical rigour, and peace of mind that you need by navigating these strict regulations on your behalf