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This RMI briefing proposes a standard, open-source, blockchain-based technical architecture to transform greenhouse gas (GHG) emissions reporting. The goal is to move from static, average-based reporting to a system using primary data at the product level, enabling better procurement decisions to lower Scope 3 emissions through a verifiable, digital audit trail across supply chains.

This briefing by RMI and the Coalition on Materials Emissions Transparency (COMET) proposes three changes to carbon accounting principles to better drive emissions reductions in supply chains. The authors argue that current corporate-level reporting is insufficient for procurement decisions and advocate for a shift toward product-level disclosure based on primary data, fixed boundaries for comparison, and market-driven measurement incentives.

The RMI report 'COP26 Action Plan: Three Urgent Steps to Standardize Emissions Reporting' proposes a 'digitally native' GHG Protocol to improve the visibility and traceability of scope 3 greenhouse gas emissions across supply chains. The author argues that current accounting systems rely too heavily on approximations and spreadsheets, which hinders the ability to compare companies and incentivize decarbonization. The plan outlines a three-step transition: establishing unified accounting principles that prioritize primary data over averages, building a technical architecture based on distributed ledger technology to track embodied carbon at the product level, and evolving the market so that carbon emissions become a digital 'unit of trade' integrated into corporate financial disclosures.