According to the WBSCD, "avoided emissions refer to the 'positive' impact on society when comparing the GHG impact of a solution (product or service) to an alternative reference scenario."
"An avoided emission is thus the difference between GHG emissions that occur or will occur and GHG emissions that would have occurred without the solution."
These emissions are often called Scope 4 emissions.
Types of actions
Avoided emissions should be distinguished between those occurring in the value chain (through the sale of products and services) and those that are financed externally.
Emission reductions : Offering "low carbon" products or services
For example, the production of reconditioned electronic devices will reduce the use of virgin raw materials, a service offer for the energy renovation of a home will reduce energy consumption, while a self-service bicycle offer will allow a modal shift from traditional means of transportation
Carbon sequestration (or Carbon Offset projects) : Financing "low carbon" projects with third parties, outside the company's scope of activity
For example, the development of CCUS technologies, the protection of a forest that would have otherwise been cut down or the deployment of renewable energy plants are all eligible projects.
Guidance & Frameworks
The World Business Council for Sustainable Development (WBCSD) in collaboration with Carbone4 and its Net Zero Initiative have released the “Guidance on Avoided Emissions: Helping business drive innovations and scale solutions toward Net Zero”.