Waste and Scope 3 Emissions: Assessment of Value Chain Greenhouse Gas Emissions in the U.S. Solid Waste and Resource Recovery Industry

In calendar year 2022, five of the 45 largest waste companies in the United States (“US”) contributed over 106 billion pounds of carbon dioxide equivalent greenhouse gas (“GHG”) emissions into the atmosphere. Meanwhile, as the global climate crisis nears irreversible tipping points, society at large must reduce anthropogenic, or human-caused, GHG emissions by 45 percent from 2010 levels by 2030 and reach a net-zero emission rate by 2050. Achieving these reductions requires standard measurement and reporting methodologies. As of 2023, most US solid waste and resource recovery companies accurately and transparently report Scope 1 (direct and controllable) and Scope 2 (indirect from purchased utilities) emissions. However, only five of the 45 largest waste companies in the US reported on Scope 3, or indirect value chain emissions, in the 2023 reporting cycle. This report presents a comprehensive analysis of 2023 waste industry reporting and identifies areas of (dis)consensus regarding material emission sources. As of said reporting, Scope 1 accounts for on average 87 percent of companies’ combined Scope 1, 2, and 3 emissions, while Scope 3 accounts on average for 12 percent. Thus, it is recommended that waste companies immediately prioritize Scope 1 emission reductions, while simultaneously implementing Scope 3 monitoring programs that focus on the industry’s material Scope 3 sources: purchased goods and assets, fuel-related lifecycle emissions, and third-party transportation services. By accounting for Scope 3 alongside Scope 1 and 2 emissions, companies will be poised to meet and exceed sustainability goals and explore new business development opportunities while maintaining resiliency against climate, financial, and legal risk. Deeper emissions literacy among sustainability professionals and leadership will be key to redesigning a more efficient global value chain. Ultimately, a collaborative business sector will play a major role in solving the 21st Century’s most pressing issue: the global climate crisis.