Sustainserv, Inc.
311 Summer St.
Suite 310
Boston, MA 02210
USA
617-330-5001
www.sustainserv.com
Sustainserv, GmbH
Gartenstrasse 25
8002 Zürich
Switzerland
41-43-322-1010
The Next Round of GRI G4 Changes
Thematic Revisions
November, 2012
After the initial comment period closed for the G4 Exposure Draft this fall, GRI released a draft of
thematic revisions on energy and greenhouse gas (GHG) emissions, and anti-corruption measures.
Continuing in our series of practical GRI reporting guidance, we have summarized key changes to
help you stay informed.
Energy & GHG Emissions
GRI is attempting to improve energy and GHG reporting under G4 to better coincide with other
widely-used carbon reporting frameworks:
The Disclosure on Management Approach (DMA) for Environment and the economic core indicator
on risks and opportunities from climate change (EC2) would be more closely aligned with the
Carbon Disclosure Project (CDP) reporting requirements. It will be easier for companies to use the
same information for a GRI report and a CDP statement. Companies would also be encouraged, but
not necessarily required, to have GHG inventories assured, and to set and monitor energy and
carbon goals.
Reporting on energy use and carbon emissions would now be
clearly aligned with the Greenhouse Gas Protocol. Both
on-site fuel consumption and use of imported electricity/steam
would be reported as “direct energy” under EN3, but with more
relaxed reporting compared to G3/3.1, which requires details
on primary energy sources. EN4 would then be changed to
cover energy use across the value chain, which was not an
explicit indicator under G3/3.1. Since value chain energy use
can be difficult to measure, it is fortunate that this indicator
would be “additional” (optional), avoiding undue burden on
reporting organizations.
Greenhouse gas emissions under scopes 1, 2, and 3 would
now be reported under three separate indicators, allowing
those who previously reported scope 1 and 2 emissions
together (EN16) to claim one additional indicator. New
intensity-based indicators would also be added for both
energy and carbon (for example, emissions per production
volume or employee headcount).
Practical Implications
Overall, these proposed changes should be within reach of most reporters, and would allow you to
get more value out of your efforts. Key things to keep in mind for you as you prepare for G4:
 If the current proposal is adopted, you may need to make a few changes to how you collect
data for your GRI report (such as aggregating fuel-based energy with imported electricity data,
and compiling additional intensity-based indicators)

More significantly, scope 3 is a core indicator (EN17), and under the proposal to discontinue GRI
Application Levels all material core indicators must be reported. This means that many
companies would see increased pressure to measure and report value chain GHG
emissions.
Anti-Corruption
The new proposal brings clarity to the somewhat ambiguous definitions of anti-corruption
indicators in G3/G3.1. For example, under SO6, regarding political contributions, the terms “political
parties, politicians, and related institutions” are explained in more detail. The proposal also states
explicitly that donations to political action committees would be included under indirect political
contributions. Additional requirements include reporting information on tools such as “ethics
helplines” and details on anti-corruption policies and measures.
Practical Implications
We think it would be helpful if the final G4 guidelines make much of these sections optional by
specifying that reporting “may” include these details, but overall we see no major cause for concern
with these changes.
What's Next for G4?
Now that the Public Comment Periods have closed for the G4 Exposure Draft and Thematic
Revisions, GRI will be working over the next few months to integrate the comments into the G4 draft
and submit it to the GRI governance bodies for review and approval. Reporters can expect the final
release of G4 toward the late spring (May 2013).
As the G4 continues to evolve, we will keep you informed of the latest news and developments. If
you have questions about the changes and what they mean for your sustainability reporting,
contact us for a free consultation.
Sustainserv, Inc.
311 Summer St.
Suite 310
Boston, MA 02210
USA
617-330-5001
Sustainserv, GmbH
Gartenstrasse 25
8002 Zürich
Switzerland
41-43-322-1010
www.sustainserv.com
About the Author:
Dr. Bernd Kasemir (Director) focuses
on the intersection of strategy,
management,
and
reporting
for
corporate sustainability programs. His
work
often
involves
making
sustainability indicators, such as those
of the Global Reporting Initiative,
accessible and easy to use for internal
management systems and external
reports.
Dr. Kasemir can be reached at:
[email protected]