ISSB makes Scope 3 emission disclosure mandatory

11/17/2022 | Reading time: 2 minutes

ISSB makes Scope 3 mandatory
International Sustainability Standards Board (ISSB)

It’s official: The International Sustainability Standards Board (ISSB) makes Scope 3 emission disclosure mandatory by voting to include it in its new standard for corporate sustainability disclosure.

The IFRS informs that the disclosure requirements for Scope 3 emissions within the framework of the two proposed reporting standards on corporate climate related disclosure have been unanimously adopted.

Find out how our AI Supplier Screening supports you to reduce Scope 3 emissions together with your suppliers!

What will companies have to face? 

Under the new ISSB standard, companies will have to report not only on their direct emissions, but on emissions that originate along their supply chain: Scope 3 emissions. These emissions are beyond a company’s direct control and typically account for 90 % of a company’s overall emissions.

To access Scope 3 data, companies need to establish transparent collaboration with suppliers and reciprocal climate data management. Find out how below! 

Scope 3 Emissions Greenhouse Gas Protocol

How much influence does the ISSB standard have?

Many companies around the world have introduced or are in the process of developing mandatory sustainability reporting requirements for businesses. The ISSB standard will heavily influence these disclosure requirements.

The decision of the ISSB to include Scope 3 disclosure is a major milestone, as investors and other stakeholders are increasingly seeking information on how companies are dealing with climate risks and impacts. ISSB’s chair Emmanuel Faber described the adaptation as “rewriting economics”. 

How you can prepare your company

TCC corporate plan

Managing Scope 3 data can be a challenge for companies, as suppliers often cannot provide the necessary data. Empowering your suppliers in climate data management is therefore crucial for successful Scope 3 emission management and to align with the ISSB. 

As of today, companies often send emails with excel spreadsheets and questionnaires to their suppliers. Managing this data from hundreds, sometimes thousands of international suppliers is a Sisyphean challenge. 

Often, suppliers won’t provide the data as there are no clear incentives or the acquired data is non-comparable. Not to mention the time and effort this outdated approach requires.

AI Supplier Screening


This is where our AI Supplier Screening steps in. Through the use of AI, you can now quickly access data from public sources about your suppliers on a large scale, allowing you to better collaborate on decarbonization efforts. On top of that, you gain essential strategic insights about the climate maturity of your business partners and competitors.

Embark on your Scope 3 climate journey today! Together, we’ll pave the way for informed climate choices and a sustainable transformation that makes a real difference.

Learn more about how our the AI Supplier Screening enables you to improve collaboration along the supply chain for successful decarbonization of Scope 3.