What Is the PACT Methodology for Scope 3 Emissions?

What Is the PACT Methodology for Scope 3 Emissions?

To address the growing need for reliable Scope 3 emissions data, members of the World Business Council for Sustainable Development (WBCSD) launched PACT—the Partnership for Carbon Transparency. First introduced in 2021 as the Pathfinder Framework, the initiative set out to create a consistent, transparent methodology for calculating and sharing accurate, primary, and verified emissions data at the product level across value chains. Now known as the PACT Methodology, the framework continues to focus on cradle-to-gate Product Carbon Footprints (PCFs) using a standardized, cross-sectoral approach. It builds on and aligns with globally recognized standards, including the GHG Protocol, Product Environmental Footprint (PEF), and ISO standards, providing a credible foundation for value chain decarbonization.

The need for a harmonized, prescriptive methodology has only grown. As organizations face increasing regulatory and stakeholder pressure to decarbonize their value chains, a consistent approach to quantifying and exchanging product-level carbon data is essential. The PACT Methodology provides that foundation, offering detailed guidance that enables companies to measure emissions with consistency, credibility, and comparability.

Why Scope 3 Emissions Matter

For many businesses, Scope 3 emissions make up the vast majority of their carbon footprint—sometimes over 90%. These include everything from the emissions embedded in raw materials to those generated during transportation, manufacturing, and upstream production processes. Yet, because these emissions happen outside a company’s direct operations, they’ve historically been difficult to measure and track with accuracy. By offering a standardized and prescriptive methodology, PACT allows companies to have a common structure to assess the carbon intensity of their products and exchange that data reliably with suppliers and customers.

Cradle-to-Gate Focus

The latest methodology (V3) emphasizes a cradle-to-gate boundary, covering all upstream activities—from raw material extraction through production, processing, storage, and transportation up to the point a product exits the production facility. This enables companies to focus their reporting and reduction strategies on upstream emissions, which typically make up the bulk of Scope 3 emissions.

Outbound logistics and downstream use phases can be reported separately, ensuring a modular yet comprehensive approach to lifecycle emissions.

Key Features of the PACT Methodology

Prescriptive Guidance: The methodology sets clear rules for emission factor selection, allocation, data quality, and granularity, reducing room for interpretation and improving data reliability.

Alignment with Existing Standards: PACT does not reinvent the wheel—it reinforces and complements globally recognized standards such as the GHG Protocol, ISO 14067, and the PEF approach.

Transparency by Design: Every PCF includes metadata documenting assumptions, data sources, and boundaries. This transparency makes comparisons between suppliers or products meaningful and actionable.

Third-Party Verifiability: The methodology is designed to be auditable and verifiable, ensuring trust in reported data and enabling accountability across value chains.

The PACT Network and Technical Specifications

To facilitate the secure, standardized exchange of PCF data, PACT is supported by a growing network of interoperable digital platforms. These platforms adhere to the PACT Technical Specifications, which define a common API, data model, and governance principles for exchanging PCFs.

This technical backbone ensures data sovereignty—organizations retain full control over their data while enabling seamless exchange with business partners and solution providers.

Scaling Impact Through Collaboration

The development of the PACT Methodology is the result of extensive multi-stakeholder collaboration. It brings together companies from all sectors, technical experts, NGOs, industry coalitions, and digital solution providers. Today, the PACT ecosystem includes more than 2,500 companies, 30+ software platforms, and dozens of pilot projects driving Scope 3 transparency at scale.

Whether you're a manufacturer aiming to decarbonize your supply chain or a retailer seeking credible supplier data, the PACT Methodology provides a shared language and infrastructure for action.

Why It Matters

The lack of standardized product-level data has long hindered progress on Scope 3 emissions. With the PACT Methodology, companies finally have a clear, consistent way to measure, verify, and exchange carbon data—unlocking real progress toward net-zero goals.

Adopting PACT means:

  • Making data-driven procurement decisions
  • Enabling product design for lower emissions
  • Meeting regulatory and voluntary reporting requirements with greater confidence
  • Engaging suppliers in meaningful decarbonization efforts

A Global Standard for the Decarbonization Era

As supply chain emissions gain increasing attention from regulators, investors, and customers, the ability to accurately track and exchange product-level carbon data is becoming a business imperative. The PACT Methodology offers a clear path forward—grounded in global standards, built on transparency, and supported by an open, scalable network.

The time to act is now. Whether you're a sustainability leader, data provider, or business strategist, PACT offers the tools and structure needed to move from ambition to execution in Scope 3 decarbonization with product-level data.

Next Steps: Measuring Impact

CarbonBright’s AI-powered LCA software helps organizations accurately measure emissions at the product level and comply with PACT Methodology —at a fraction of the time and cost of traditional methods. Contact us to get started!