Greenhouse Gas Inventory: An Indispensable Policy for States in the Era of Sustainable Development

Climate change is one of the most pressing global issues of the 21st century, primarily caused by the greenhouse effect. Greenhouse gas (GHG) inventory has become a key policy in national climate strategies. So, what is GHG inventory, and what role does it play in fulfilling national commitments to reducing emissions for sustainable development?

The greenhouse effect is a natural phenomenon where a portion of the sun's radiation passes through Earth's atmosphere and is absorbed. This process warms the Earth’s surface and enables human life to thrive. However, since the waves of industrial revolutions, human activities have significantly increased the amount of greenhouse gases released into the atmosphere, exacerbating the greenhouse effect. This growing issue poses significant risks to the socio-economic development of nations, prompting countries to seek methods to control GHG emissions, such as GHG inventory reporting.

A GHG inventory is a comprehensive calculation and reporting of greenhouse gas emissions resulting from human activities over a specified period (typically one year). It is carried out by nations, regions, or enterprises.

To ensure accuracy and consistency in GHG inventorying, several internationally recognized standards have been established, such as the IPCC Guidelines, the Greenhouse Gas Protocol (GHG Protocol), and ISO - International Organization for Standardization 14064 standards. These guidelines serve as a reference framework, guiding countries, organizations, and businesses in conducting mandatory annual GHG inventories.

According to the IPCC Guidelines (2006), compiling a GHG inventory report is critical for national climate commitments and achieving sustainable development goals:

• Tracking progress on climate goals: GHG inventory reporting allows countries to monitor their progress in meeting emission reduction targets and assess the effectiveness of their climate policies.
• Demonstrating climate compliance commitments: By providing standardized and comparable emissions data, GHG inventory reports serve as evidence of a nation, organization, or region's compliance with international climate commitments.
• Developing climate policy: Policymakers can use accurate GHG inventory data to identify major emission sources, which helps in designing more effective climate policies.
• Enhancing transparency and accountability: Transparent GHG inventory data fosters trust between nations and the business community, encouraging greater awareness and collective action against climate change.

In Vietnam, the commitment to achieving #NetZero by 2050 has imposed mandatory emission reduction requirements on organizations and enterprises. This presents both opportunities and challenges for Vietnam as a whole, and for the Vietnamese business community in particular, as they work to comply with the standards for mandatory GHG inventory reporting. Stay tuned for upcoming articles from KLINOVA, where we will explore various legal documents and government guidelines on how to implement GHG inventory reporting in Vietnam!