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Global Warming

GHG Protocol: Major changes in Scope 2 energy reporting

26 Sept 2025•2 min read
GHG Protocol: Major changes in Scope 2 energy reporting

The global GHG Protocol, the leading standard for emissions reporting, is undergoing a fundamental change that will redefine how companies claim renewable energy consumption. The new hourly matching requirement will directly impact operating costs, sustainability strategies, and ultimately customer expectations.

 

From annual certificates to hourly matching

 

Until now, companies could offset their annual electricity use simply by purchasing renewable energy certificates (RECs), regardless of when that energy was produced. For example, excess renewable power generated at night or during weekends could be used to compensate for peak demand consumption during the day.

 

The new rule, hourly matching,  sets a stricter standard. Going forward, companies must demonstrate that for every hour of consumption, they have procured an equivalent amount of renewable energy, generated in the same hour and within the same region.

 

Technical and economic impact

 

According to Răzvan Nica, Founder of BuildGreen and CEO of CarbonTool, this adjustment will have significant effects: “This change will inevitably increase the cost of offsetting, particularly during peak hours. Companies will no longer be able to use low-cost renewable energy produced in surplus at night or on weekends to cover daytime demand. Instead, organizations will be driven to reduce peak consumption and invest in local renewable production and storage capacity.”

 

Key solutions include:

 

  • Peak-shaving and demand control, educing and optimizing consumption during critical hours.
  • On-site renewable generation, such as rooftop solar, to ensure direct access to clean power.
  • Energy storage systems, e.g. batteries and similar solutions that make 24/7 renewable availability possible.

 

Practical solutions for companies

 

Not all organizations have smart meters in place to measure hourly consumption. However, the GHG Protocol allows the use of standardized load profiles, which provide reliable hourly demand estimates.

 

The CarbonTool platform is already equipped to support this transition, offering advanced dynamic energy simulations and generating precise hourly consumption profiles. This enables clients to align with the new requirements without immediate investments in hardware or monitoring infrastructure.

 

A structural shift in renewable reporting

 

Moving from annual reporting to hourly matching marks a structural transformation in how companies manage their Scope 2 reporting. While compliance costs may rise in the short term, the long-term benefits are clear: stronger incentives for local renewable deployment, more investment in energy storage and a more resilient pathway to true 24/7 clean energy.

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