Calculating financed emissions for investments

Calculate financed emissions for investments by using standardized calculation logic and attribution factors, without sharing sensitive financial data.

Before you begin

Familiarize yourself with the functions you use to calculate financed emissions in Excel. For more information, see Calculate financed emissions

About this task

Table 1. Asset classes and supported methods for financed emissions.

Asset class	Supported methods	Endpoints
5.1, 5.2, and 5.3	Reported emissions if the client has access to third-party data Physical activity-based emissions based on energy consumption Economic activity-based emissions	For physical activity-based emissions use all scope 1, Scope 2, and Scope 3 endpoints For economic activity-based emissions, use the economic activity endpoint
5.4, 5.5	Actual building emissions based on energy consumption Estimated emissions based on floor area, number of buildings, and energy labels for selected regions.	For actual building emissions, use Scope 1 and Scope 2 endpoints For estimated building emissions, use real estate endpoint

1. Identify the investments.
2. Identify the asset class and sectors based on the type of data available. See Table 1.
3. Determine the applicable calculation method according to the PCAF framework for each investment within the selected asset class.
4. Calculate the attribution factor based on the type of investment and available input data.
5. Calculate financed emissions by multiplying the attribution factor with the investee emissions.