Environmental Sustainability Glossary

Average emissions refer to the mean level of emissions that result from a given level of electricity demand at a given moment. They are calculated by averaging the GHG intensity of each power source by contribution to the energy mix of a specific grid.

A tool that accepts inputs describing activity in the value chain (e.g. number of impressions, creative file size) and returns an estimate for the associated GHG footprint. IAB Europe's Sustainability Standards Committee recommends these tools are referred to as 'estimators' or 'models' rather than 'calculators'.

Purchase of credits intended to represent subsidisation of projects with positive environmental impact that wouldn't have been financially viable otherwise. Carbon offsets are intended to be balanced against a company's residual emissions following a reduction strategy. Projects generating carbon offsets and verification partners have been heavily scrutinised.

Approach used to define the scope of emissions analysis, based on equity share, financial control, or operational control.

Third stage of a digital advertising campaign; emissions result from loading and rendering creatives on the user device. Included in the GARM framework and the SRI / Alliance Digitale framework.

Emissions associated with business activity of a company, covering all business units and products or services.

A proposed EU legislation that obliges large companies to identify, prevent, mitigate, and account for actual and potential adverse human rights and environmental impacts throughout their value chains. The directive aims to foster sustainable and responsible corporate behaviour by integrating due diligence into corporate governance frameworks.

A European Union regulation that mandates extensive sustainability reporting requirements for large companies and listed SMEs, aiming to enhance transparency and accountability in environmental, social, and governance (ESG) matters. It replaces the Non-Financial Reporting Directive (NFRD) and requires detailed disclosures on sustainability risks, opportunities, and impacts.

The global warming impact of a basket of greenhouse gases expressed using a common unit of measurement — the amount of carbon dioxide that would have an equivalent impact on global warming over a given period of time. The mass of each gas is multiplied by its Global Warming Potential (GWP), relating it to the unit impact of carbon dioxide in the atmosphere.

First stage of a digital advertising campaign; emissions during creative production are modelled by various available tools. These tend to include emissions resulting from production of creative assets. Included in the GARM framework are storage and technical manipulation of these assets.

Second stage of a digital advertising campaign; emissions result from the allocation of ad space and the delivery of creatives. Included in the GARM framework and the SRI / Alliance Digitale framework.

The concept underpinning the CSRD, which states that companies need to consider and report both their environmental impacts and how sustainability issues impact the financial well-being of the company. The European Commission and EFRAG are developing additional guidance on materiality assessment.

Emissions that occur after the company sells its products or services, such as the emissions from the use and disposal of the company's products.

The total emissions generated during the lifecycle of a product, including manufacturing and end-of-life.

Assigning portions of emission totals to a specific product or service. For example, a company's emissions could be allocated to its different products or services based on the levels of revenue they generate.

Metrics that reflect a campaign's environmental performance (e.g. gCO₂e per thousand impressions).

In digital advertising, the adoption of actions and strategies by stakeholders to reduce and ultimately minimise the aggregated negative environmental impact of business activity across the digital advertising value chain. This covers GHG emissions from the lifecycle of IT resources associated with ad delivery, and voluntary contribution to positive environmental initiatives where reduction is not possible.

Calculation of emissions through modelling of activities and their environmental intensity utilising secondary data. Secondary data sources can include research, intensity databases, or government agencies. Models may rely on industry averages and proxies. Describes a more probabilistic process overall.

Detailed guidelines developed by the European Financial Reporting Advisory Group (EFRAG) for companies under the CSRD, to ensure comprehensive and consistent sustainability reporting. These standards aim to standardise the disclosure of ESG information, facilitating comparability and reliability for stakeholders.

Global, cross-channel standards on GHG estimation in advertising being developed by the Global Alliance for Responsible Media, with IAB Europe support on digital channels.

A categorisation of emissions into three areas (Scope 1, 2, and 3) depending on the source in the value chain, as defined by the GHG Protocol.

A value which reflects how much a kilogram of a given greenhouse gas in the atmosphere contributes to global warming over a specific time period, compared to a kilogram of carbon dioxide. Carbon dioxide always has a GWP of 1. To completely define GWP, the time period considered must be clear, as each gas has its own atmospheric lifetime.

The level of depth and detail in the data used for environmental modelling. Includes both the frequency of the data and its specificity. Monthly energy consumption data from a specific data centre facility is more granular than annual data on an enterprise's total data centre emissions.

A proposed EU regulation designed to combat misleading environmental claims and greenwashing by setting clear criteria for businesses to substantiate their consumer-facing environmental claims. It requires companies to provide reliable, comparable, and verifiable information on the environmental impact of their products and services.

Gases that contribute to the greenhouse effect, whereby heat is trapped in the atmosphere through infrared absorption, leading to global warming. There is scientific consensus that increased concentration of gases such as carbon dioxide, methane, and nitrous oxide leads to an increase in the planet's surface temperature.

The phenomenon of corporations deliberately avoiding the issue of environmental sustainability in their communications, in order to evade public or regulatory scrutiny.

Perpetuation of unsubstantiated or misleading claims in relation to an advertiser or product's environmental impact.

The life cycle of a product refers to all the stages associated with it, from creation to disposal. Life cycle analysis focuses on the impact that each of these product stages has beyond its contribution to a firm's profits. These impacts may be grouped broadly under the categories of social and environmental impacts.

Carbon emissions calculated using the emissions intensity factor for electricity at the specific geographic location where the activity takes place. Government agencies, databases, or international organisations typically provide the emissions factors.

A long-term emissions reduction target set under the SBTi framework that reflects the level of supply chain emissions reduction required in each sector to remain in line with a 1.5°C increase in global average temperature by 2050.

The additional emissions that result from a small increase in electricity demand on the grid at a given moment.

Emissions that incorporate emissions factors reflecting the specific sources of electricity used, taking into account the purchasing decisions of businesses. This approach allows organisations to account for the environmental impact of their energy purchasing decisions when reporting. Emissions factors may be derived from contractual instruments as defined in the GHG Protocol Scope 2 Guidance.

Calculation of emissions through collection of primary data describing activities and their environmental intensity. Primary data can include energy consumption figures, for example. Describes a more deterministic process overall.

As defined by the Science Based Targets initiative (SBTi): reducing scope 1, 2, and 3 emissions to zero or a residual level consistent with reaching global net-zero emissions, or at a sector level in eligible 1.5°C-aligned pathways; and permanently neutralising any residual emissions at the net-zero target year and any GHG emissions released thereafter.

Disclosure of information relating to a company's performance beyond financial data, covering areas such as environmental impact and diversity and inclusion.

Emissions associated with a specific product, covering activity involved in its creation, distribution, use, and disposal.

Direct emissions from owned or controlled sources. This includes energy used on site such as heat, electricity, and emissions from corporate fleets.

Indirect emissions from the generation of purchased energy.

All indirect emissions that occur in the value chain of the reporting company, including both upstream and downstream emissions.

A short-term target (5–10 years) set under the SBTi framework that describes the reduction path a company will take to reach their long-term target. Once their short-term target date is reached, a new short-term target must be calculated.

A set of guidelines designed to standardise sustainability reporting for businesses operating in the United Kingdom.

The level by which data used in environmental modelling is incomplete, inaccurate, or imprecise, affecting the overall robustness of analysis and decision-making based on model results.

Emissions that occur before the company purchases goods or services, such as the emissions from the extraction and transportation of raw materials.

Disclosures of information describing the environmental performance of an organisation or product or service line beyond what is mandated by regulatory bodies. For example, setting a reduction target through the Science-Based Targets initiative is a voluntary action that requires voluntary disclosure of emissions data.