On this page
What are Scope 1 emissions?
Scope 1 covers direct emissions from sources the company owns or controls[1]. Typical MENA sources are company-owned diesel generators, boilers, vehicle fleets and refrigerant leaks from air conditioning and refrigeration. In Lebanon, owned generators are often the largest single Scope 1 source.
What are Scope 2 emissions?
Scope 2 covers emissions from the electricity, steam, heat or cooling a company buys, because the emissions occur at someone else's plant[2]. Grid electricity, district cooling and electricity bought from a neighbourhood generator operator all fall here. Scope 2 is reported two ways: location-based, using the average emission factor of the grid, and market-based, using contracts and certificates[2].
What are Scope 3 emissions?
Scope 3 covers all other indirect emissions in the value chain. The GHG Protocol defines 15 categories, including purchased goods and services, capital goods, transport, waste, business travel, employee commuting, and the use and end of life of sold products[3]. For many companies Scope 3 is the largest share and the hardest to measure.
| Scope | What it covers | MENA example |
|---|---|---|
| Scope 1 | Owned or controlled sources | Company-owned diesel generator, fleet, refrigerant leaks |
| Scope 2 | Purchased electricity, steam, heat, cooling | EDL grid supply, neighbourhood generator subscription, district cooling |
| Scope 3 | Other value-chain emissions | Purchased materials, freight, flights, sold products in use |
Classification follows the GHG Protocol[1][2][3].
Which MENA reporting rules ask for scope data?
IFRS S2, the ISSB climate disclosure standard, requires Scope 1, 2 and 3 emissions[4], and Jordan and Qatar are among the jurisdictions moving to ISSB-based reporting[5]. Exporters of cement, steel, aluminium and fertilisers to the EU now report embedded emissions under the Carbon Border Adjustment Mechanism (CBAM), built from the same fuel and electricity records[6]; see the guide on EU CBAM for MENA exporters.
Where should a company start, step by step?
- Set the organisational boundary: which sites and entities are included, and on what basis.
- Collect Scope 1 and 2 data from fuel purchases, generator logs, refrigerant refills and energy bills.
- Screen the 15 Scope 3 categories to find the few that matter most.
- Improve data for those categories year by year, starting with the suppliers that account for the most spend or emissions.
Where independent support helps
Getting the scopes right avoids double counting and gaps that verifiers and lenders notice. Otibara helps organisations set boundaries, measure Scopes 1 to 3 and build inventories that hold up to verification.
Common questions
Is electricity from a neighbourhood generator Scope 1 or Scope 2?
If you buy the electricity and do not own or control the generator, it is Scope 2[2]. If you own or operate the generator, the fuel it burns is Scope 1.
Are refrigerant leaks included?
Yes. Leaks from equipment you own or control are Scope 1, and many refrigerants have high global warming potentials, so even small leaks can matter.
Do we have to report Scope 3?
It depends on the framework. IFRS S2 requires Scope 3, with relief in the first year of reporting[4], and many customers and lenders ask for at least a screening.