carbon accounting

Carbon accounting is a systematic overview of the greenhouse gas emissions from a company, a project or a product, measured in CO₂ equivalents (CO₂e). In public procurement it is used to document the climate footprint of what the contracting authority buys, often using figures from EPDs for the materials. It is one of the most concrete tools for putting climate and environmental considerations and green public procurement into practice.

How does carbon accounting work?

Most corporate carbon accounts follow the Greenhouse Gas Protocol or ISO 14064-1. Emissions are split into three groups:

• Scope 1: Direct emissions from your own operations, such as diesel in your own machinery and vehicles.
• Scope 2: Emissions from purchased energy, such as electricity and district heating.
• Scope 3: All other indirect emissions in the value chain, including purchased goods and services, transport and waste.

For buildings, the standard is EN 15978, and for individual products it is the EPD under EN 15804. Under the recast Energy Performance of Buildings Directive (EU) 2024/1275, member states must calculate and disclose life-cycle emissions for large new buildings from 2028 and for all new buildings from 2030. Some countries already require it: Norway, for example, has required a greenhouse gas account for new apartment blocks and commercial buildings since 1 July 2022 (TEK17 § 17-1, based on NS 3720).

Under Directive 2014/24/EU, contracting authorities can use carbon accounting in three ways:

1. As an award criterion: The authority evaluates the climate footprint of what is being bought, documented by EPDs or a project-specific account. The basis is a life-cycle assessment, and under Article 68 the cost of greenhouse gas emissions can be included in life-cycle costing.
2. As a contract performance condition: You must deliver a carbon account for the contract and report on reductions along the way.
3. To a limited extent as a selection criterion: The authority can ask for environmental management, such as ISO 14001 or EMAS.

An important nuance: a general carbon account for your whole company cannot normally be used as an award criterion. The criterion must be linked to the subject matter of the contract, as Article 67(3) of the Public Procurement Directive requires. What counts is the emissions from the delivery, not how green your company is overall.

Norway goes further than the directive. Since 2024, climate and environment must be weighted at least 30 percent in advertised procurements, and from 1 July 2026 the rule sits in Section 5b of the Public Procurement Act as part of the societal considerations. Section 5p also requires sanctions in the contract if the supplier breaches such terms.

An example: a municipality is building a new primary school and weights "greenhouse gas emissions from materials and the building site" at 30 percent. The contractor submits a project carbon account covering modules A1–A5, from raw materials and production through transport to construction itself. Low-carbon concrete and steel with EPDs bring the figures down, and electric machinery on a zero-emission site cuts emissions in A5. In the contract, the contractor commits to documenting the figures, with liquidated damages if the final report is missing.

Why does carbon accounting matter for suppliers?

When climate is weighted heavily, your emission figures can decide the tender. If you know your own emissions and can quickly get EPDs from your subcontractors, you spend less time on the bid and score better.

A company-level carbon account is useful even if it is rarely evaluated directly. It shows where your emissions lie, supports sustainability reporting (ESG) and points to measures that lower your figures in the next bid. Tools like Cobrief help you see which climate requirements and criteria a tender sets before you start writing.

Frequently asked questions

Do we need a carbon account to bid for public contracts?

Not as a general rule. But many tenders ask for a carbon account for the delivery itself, or weight the climate footprint as an award criterion. Without figures, you are in a weaker position.

How do we document scope 3?

Start with your largest purchases. Use EPDs and emission data from your suppliers where available, and standard emission factors for the rest. Be open about which figures are measured and which are estimated.

What is the difference between carbon accounting and an EPD?

A carbon account adds up the emissions of a company or a project. An EPD describes a single product. EPDs are often the building blocks of the carbon account.

In short: carbon accounting shows how much greenhouse gas something emits. In public procurement, it is the figures for the delivery itself that count, and they can decide who wins.