What is a GHG inventory and its purpose?

• A. A tally of greenhouse gas emissions by source and scope; used to identify hotspots and set reduction targets
• B. A catalog of all product sales
• C. A budget for energy purchases
• D. A listing of company assets

Answer: (A)

A GHG inventory collects and sums up an organization’s greenhouse gas emissions, broken down by source (like fuel use, industrial processes, and electricity) and by scope (direct emissions, energy-related emissions, and other indirect emissions). The main purpose is to understand where emissions come from, identify the largest contributors or hotspots, and set and track reduction targets over time. It provides a baseline year and a framework for reporting to stakeholders and guiding climate-action planning. The other options describe different business data (product sales, energy budgets, or assets) and don’t capture emissions data or the planning and target-setting focus of a GHG inventory.