Carbon Intensity
The amount of carbon emissions per unit of economic activity or energy consumed.
What is Carbon Intensity?
Carbon intensity is a measure of the amount of carbon dioxide (or CO₂ equivalent) emissions released per unit of activity, output, or energy consumed. It indicates how carbon-efficient a process, product, or economy is. For example, it can be measured as tonnes of CO₂ per unit of GDP, per kilowatt-hour of electricity, or per unit of product manufactured.
Why is Carbon Intensity important?
Carbon intensity is a key metric for tracking progress towards decarbonization and identifying areas for improvement. Reducing carbon intensity means that economic growth or production can continue with a lower environmental impact, even if absolute emissions haven't reached zero yet. It highlights efficiency gains and shifts towards cleaner energy sources.
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Frequently asked questions
Carbon intensity can be expressed in various units, such as kg CO₂e per kWh (for electricity), tonnes CO₂e per million USD of revenue (for a company), or kg CO₂e per unit of product.
A decreasing carbon intensity indicates that the company is becoming more carbon-efficient, meaning it's producing more goods or services with fewer emissions, likely due to energy efficiency improvements, fuel switching, or process optimization.
No. While reducing carbon intensity is a step in the right direction, absolute emissions can still increase if the overall activity level grows significantly. Both intensity and absolute emissions need to be addressed to achieve climate goals.