Abstract

Achieving net zero emissions requires addressing greenhouse gas (GHG) emissions across all three scopes, with a critical focus on Scope 3 emissions—indirect emissions from supply chains. Supply chain decarbonization plays a pivotal role in mitigating climate change, as these emissions often exceed Scope 1 and 2 emissions combined. Strategies for reducing supply chain emissions include improving material efficiency, transitioning to renewable energy, and fostering circularity in production processes. Despite the complexity of measuring and managing Scope 3 emissions, organizations can leverage supplier engagement, data-driven carbon accounting, and regulatory frameworks to enhance transparency and accountability. Key sectors such as energy, transportation, and manufacturing contribute significantly to global GHG emissions, necessitating targeted interventions. This paper explores the challenges and opportunities of Scope 3 emissions reduction, emphasizing the role of corporate responsibility and policy frameworks in facilitating the transition to a low-carbon economy and achieving global net zero commitments.