Guidance on Avoided Emissions v2.0: Drive Innovations and Scale Solutions Toward Net Zero

Published: July 24, 2025

We have updated our Guidance on Avoided Emissions to better support businesses and investors who want to assess and communicate the impact of their low-carbon solutions and portfolios – beyond the greenhouse gas (GHG) inventory footprint. 

Avoided emissions (AE) are the positive impact created when comparing the GHG impact of a low-carbon solution to an alternative scenario without that solution in place. We provide a robust, science-aligned methodology to quantify and disclose AE – so companies, investors and policymakers can scale climate solutions with integrity and transparency. 

What’s new in version 2.0?

  • Expanded methodology: A more comprehensive approach to assessing AE, including guidance on data, reference scenario definition, contribution validation and optional steps for allocation and consolidation. 
  • Eligibility gates: Clearer, more inclusive criteria to ensure claims are credible and aligned with science. 
  • Reporting and communication: Standardized templates and best practices to support transparent disclosure, impact validation and third-party review. 
  • Implementation tools: Sector-specific guidance, technical templates and a growing library of use cases in an open access online hub. 
  • Alignment with global frameworks: Guidance that works with global standards and frameworks like the GHGP, IPCC, PCAF and ISO. 

Who is this Guidance for?

We designed this guidance for:

  • Businesses: To assess and report the decarbonization impact of their products and services. 
  • Investors: To evaluate climate-aligned opportunities and steer capital toward the most impactful solutions. 
  • Policymakers: To inform climate policy mechanisms and innovations that accelerate decarbonization. 
  • Standard setters and NGOs: To create alignment as we work toward standardizing  intervention-based impact assessment and disclosure. 

Why does it matter?

AE are a critical lever for accelerated, system-wide decarbonization. By applying this Guidance you can: 

  • Demonstrate the climate impact of your solutions. 
  • Make informed decisions that maximize decarbonization potential and strengthen competitiveness.  
  • Avoid greenwashing through credible, transparent and conservative assessment and disclosure. 
  • Strengthen your role as a solution provider in the Net Zero transition. 

Download our Guidance on Avoided Emissions v2.0

Explore more about AE