Location-Based Method
Calculating Scope 2 emissions using average grid emission factors
What is Location-Based Method?
The location-based method calculates Scope 2 emissions using average emission factors for the local grid where electricity consumption occurs. For the UK, this means using the UK grid average factor from the Government conversion factors.
Why It Matters for SECR
SECR requires the location-based method as the primary Scope 2 calculation. This ensures comparability between companies regardless of their electricity purchasing arrangements.
Examples
- 1
Using the UK national grid average factor (~0.2 kg CO2e/kWh)
- 2
Cannot use green tariff zero-emission claims with this method
SECR Reporting Requirements
Mandatory for SECR. Companies may additionally report using the market-based method if desired.
Related Terms
How Location-Based Method Fits Into Your SECR Report
Understanding Location-Based Method is essential for accurate SECR reporting. This concept appears throughout the reporting process—from data collection to final disclosure. Make sure your finance and sustainability teams have a shared understanding of this term.
For practical guidance on applying this concept, see our calculation guides or use the compliance checker to assess your specific situation.
Master SECR Terminology
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