Global warming places life on earth in danger, threatening fresh water, food, and energy supplies. Greenhouse gas (GHG) emissions are the primary cause of global warming. Carbon dioxide (CO2), methane (CH4), and nitrogen oxides (NOx) are GHGs produced by the combustion of oil, fossil fuels, and other sources.
Scope 1, 2, and 3 emissions are the three categories of GHG emissions. Scope 1 emissions result from energy production of the company’s controlled assets. Indirect GHG emissions during the production of purchased electricity, and grid losses, are referred to as Scope 2. Scope 3 emissions refer to the company's other indirect emissions beyond the company’s direct operations and occur in the company’s value chain, including upstream and downstream activities, such as gas sales, gas consumption by customers, and business trips.
The power & utility sector is one of the most significant contributors to global greenhouse gas emissions, responsible for approximately 35% of total emissions. The Covid-19 pandemic impacted the energy demand in 2020, reducing global CO2 emissions by 5.2%. However, the rapid economic recovery in 2021 increased the energy demand. The most significant increase in CO2 emissions by sector in 2021 occurred in electricity and heat production, where they jumped by more than 900 million tonnes CO2 equivalent (MtCO2eq), which accounted for 46% of the global increase in emissions.
Engie SA (Engie), Electricite de France SA (EDF), and Enel SpA (Enel) are significant power & utility companies in the European region with a substantial amount of greenhouse gas emissions.
Engie is a France-based power and utility company. It generates electricity using natural gas, coal, nuclear, hydro, wind, biomass, geothermal, and solar sources and trades and sells that energy. In 2021, the energy company reported total GHG emissions of around 166.3 MtCO2eq, up 0.4% from 2020.
EDF, a France-based power and utility company, is one of the most significant contributors to GHG emissions. It carries out generation, transmission, distribution, energy supply, trading, and other related services. In 2021, the energy company reported total GHG emissions of around 129.3 MtCO2eq, down 4% from 2020.
Enel is Italy based integrated electricity and gas company. It produces, transports, and distributes electricity and sells and trades electric energy and natural gas, green certificates, and CO2 emission rights. In 2021, the energy company reported total GHG emissions of around 127.8 MtCO2eq, up 9% from 2020.
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