What is carbon management? A beginner’s guide for businesses

Valpak’s Carbon Management Services are designed to empower businesses on their sustainability journey. Whether you’re just beginning or already halfway to your net-zero vision, Valpak’s tailored solutions support you every step of the way.

We conduct your carbon assessments in line with ISO 14064 standards, ensuring accuracy, transparency, and internationally recognised best practice in carbon measurement and reporting. From carbon footprint reporting and reduction to regulatory compliance, we offer an end-to-end service that helps businesses cut emissions, enhance their resilience, and strengthen their long-term sustainability performance.

This guide simplifies carbon management, giving you a clear view of its relevance impact on your business.

What is carbon management?

Carbon management is the systematic process by which businesses measure, manage, and reduce their greenhouse gas (GHG) emissions. It involves identifying where emissions are generated across operations, calculating a baseline carbon footprint for the business, setting reduction targets, and implementing strategies to achieve them. Effective carbon management not only helps companies meet regulatory requirements but also demonstrates corporate responsibility, improves operational efficiency, and strengthens brand reputation.

What are scope 1, scope 2, and scope 3 emissions?

The greenhouse gas emissions generated across an organisation’s value chain are measured and reported into three categories, or “scopes” following a standardised framework designed to distinguish between emission sources:

• Scope 1: Direct emissions from sources owned or controlled by the business, such as fuel combustion in company vehicles, heating systems, or industrial processes. These are emissions the company can directly influence.
• Scope 2: Indirect emissions from the generation of purchased energy, such as electricity, heat, or steam. While these occur at the energy provider’s facilities, they are attributable to your business’s energy consumption.
• Scope 3: All other indirect emissions that occur across the value chain, including suppliers, transportation, product use, and waste disposal. Scope 3 emissions often represent the largest share of a company’s footprint and require collaboration with partners to manage effectively.

Understanding these scopes ensures emissions are measured, managed, and reported accurately, allowing organisations to understand where their largest impacts lie and prioritise reduction efforts on impactful areas. Insight into scope three emissions, which often represents the largest portion of a business’ footprint, unlocks opportunities to engage with suppliers and stakeholders to reduce emissions across the value chain.

Why is carbon management important for businesses?

Carbon management is rising fast on the business agenda – and for good reason.

• Regulatory compliance – Governments around the world are introducing and tightening climate regulations. In the UK, schemes like SECR (Streamlined Energy and Carbon Reporting) already require certain companies to disclose their emissions. Effective carbon management ensures businesses stay compliant and avoid penalties in jurisdictions with emissions regulations.
• Operational cost savings – Carbon management identifies opportunities to improve energy efficiency and optimise resource use within a business. When implemented, these strategies can lead to direct reductions in operational costs.
• Meet stakeholder expectations – Consumers, investors, and employees increasingly expect companies to disclose their greenhouse gas (GHG) emissions and demonstrate climate responsibility. Transparent carbon reporting strengthens trust and improves reputation.
• Competitive advantage – Companies with robust carbon strategies are better placed to win contracts, attract investment, and meet procurement requirements from larger organisations.

With the help of Valpak’s Carbon Management Services, businesses not only comply with emerging climate regulations but also unlock cost savings, brand value, and operational resilience.

What’s included in Valpak’s Carbon Management Services?

Valpak’s carbon management approach is built around a clear, structured process.

1. Define study objectives: Valpak begins by having detailed conversations with the client to determine the study objectives. This clarifies whether carbon management is being conducted for compliance purposes (SECR), to feed into a wider sustainability strategy, and/or to advance an organisation’s net zero ambitions. It also identifies whether the business wishes to obtain certifications for ISO14064 (for quantifying and reporting GHGs) or PAS2060 (for carbon neutrality) or to offset their emissions using a program.
2. Scope: After learning about all the organisation’s operations and based on the study objectives discussed, the scope is set, determining all relevant organisational activities included in the carbon management study.
3. Data collection: Comprehensive data is gathered on all activities that contribute to your business’s carbon footprint, both upstream (from suppliers and materials) and downstream (from product use and disposal).
4. Carbon conversion: The data collected coupled with carbon conversion factors is used to establish a baseline for the overall carbon footprint of your business. By establishing a solid baseline, your organisation can make informed decisions and set realistic, impactful targets.
5. Analysis and interpretation: With a complete understanding of your emissions, Valpak helps you define a tailored strategy and set measurable reduction goals. This includes identifying high-impact initiatives, prioritising actions based on feasibility and benefit, and aligning targets with industry standards or science-based methodologies. Clear, actionable targets give your organisation a roadmap toward achieving meaningful carbon reductions and sustainable growth.
6. Action planning and reporting: This involves putting into practice the high impact initiatives identified in stage 5 as well as preparing for continuous improvements. Valpak supports continuous improvement by tracking your progress against targets, identifying areas for further reduction, and updating strategies as regulations, technology, and business operations evolve. This ongoing monitoring ensures your carbon management approach remains effective and adaptive. Valpak also simplifies compliance and certification attainment, handling complex reporting requirements and validating your achievements and progress.

When utilising Valpak’s Carbon Management Services, we also identify any carbon-related regulations that may affect your business and support with compliance. For companies engaged in international trade, this includes key requirements such as the EU Carbon Border Adjustment Mechanism (CBAM). We help you stay compliant, avoid potential penalties, and navigate regulatory requirements efficiently while supporting your sustainability goals.

You can see firsthand, evidence of our client’s success stories with carbon management services at Valpak’s Carbon Management  webpage, which provides extra information on our array of service offerings.

Conclusion

Carbon management goes beyond compliance, it’s about future-proofing your business, reducing resource inefficiencies, and showing sustainability leadership and climate responsibility.

Working with Valpak ensures you get the support you need at every stage of your sustainability journey. As a one-stop shop, Valpak enables businesses to measure, manage, and meaningfully reduce their environmental impact, while achieving compliance and advancing towards net-zero with confidence.

With Valpak’s proven capabilities, from carbon footprinting and LCA expertise to compliance with SECR, ESOS and CBAM, you’re equipped with the support and tools you need to succeed in the low-carbon economy.

Ready to begin? Contact Valpak today to start your journey with expertise tailored to your sustainability needs.