#LogisticsAdvice

Scope 3 Emissions: How to Measure and Reduce Your Supply Chain Carbon Footprint

Key Takeaways

  • Scope 3 Transparency: Understanding emissions from supply chain transport is a major part of your indirect carbon footprint, so accurate measurement is essential for your business.
  • Insetting over Offsetting: Carbon insetting offers a more direct approach, cutting emissions inside your own supply chain, while offsetting pays for reductions in unrelated projects.
  • Regulatory Readiness: Evolving reporting rules in Indonesia and key export markets mean you'll need validated data to maintain your competitive edge and secure contracts.
  • The DHL Express Solution: GoGreen Plus is our service that lets you directly reduce your transport emissions by investing in Sustainable Aviation Fuel across our global network.

Your carbon data is only as good as the systems behind it. If the underlying tracking isn't right, even a genuine sustainability effort may not hold up under an external audit. Here's how to get your Scope 3 transport data in order before the next reporting window closes.

 

Why is Scope 3 tracking suddenly urgent for logistics managers?

The pressure to be more sustainable is growing. Corporate buyers are carefully selecting suppliers who can prove their emissions data, and regulators like Indonesia’s Ministry of Environment and Forestry (KLHK) are introducing frameworks like the Presidential Regulation on Carbon Economic Value. This makes having clear, verifiable data more important than ever.

What this puts at risk

  • Contract Risks: Large corporate customers are actively choosing suppliers who can provide clear carbon metrics for their supply chains.
  • Audit Pressures: Your transport data must be able to stand up to external audits to avoid potential financial penalties and maintain trust.
  • Tender Protection: Having precise emissions data can protect your eligibility when tendering for new contracts.

What a single lapse can cost you

A variance of IDR 895,000 per shipment can add up quickly across an annual freight program, and that's before factoring in the cost of losing a contract entirely.

 

What is the difference between carbon offsetting and carbon insetting?

These two approaches might sound similar, but they work very differently. Understanding the distinction is key to building a credible environmental strategy for your business.

How the two approaches compare

  • Carbon Offsetting: This approach aims to balance emissions by funding external projects, like reforestation, that are completely outside of your logistics network.
  • Carbon Insetting: This focuses on reducing emissions directly within the transport network where your actual freight movement happens.

Aspect

Carbon Offsetting

Carbon Insetting

Focus area

Funding external projects

Cutting emissions in your own value chain

Aviation impact

No direct change to the fuel used

Replaces fossil fuel with Sustainable Aviation Fuel (SAF)

Methodology

Compensates for emissions elsewhere

Avoids emissions at the source of transport

Data proof

Compensating carbon credits

Verified carbon reduction certificates

Why insetting wins for logistics

  • Direct Reduction: You are lowering the actual carbon intensity of your logistics operations, not just paying for external projects.
  • Audit Credibility: Insetting data maps directly to your specific freight routes and shipment weights, providing clear, traceable information.
  • Future Proofing: This method aligns directly with international transport decarbonisation frameworks, helping prepare your business for the future.

 

What exactly is Sustainable Aviation Fuel?

Sustainable Aviation Fuel, or SAF, is a renewable alternative to standard jet fuel. It's made from sources like waste oils and agricultural by-products and can be used in existing aircraft engines with no modifications. This is what makes it such a practical and effective tool for insetting.

How much SAF cuts from your footprint

SAF can reduce lifecycle carbon emissions by up to 80% compared to conventional jet fuel, according to DHL's own published sustainability data. It’s one of the most direct ways for you to cut your transport footprint without changing how your cargo moves.

Why this matters for insetting

This is the kind of insetting we focus on at DHL Express: replacing fuel inside the same network your cargo already moves through, rather than buying a credit somewhere else. GoGreen Plus is how you can book and verify it for your own shipments, which is especially valuable if you're shipping high volumes out of a major hub like Jakarta's Soekarno-Hatta International Airport (CGK).

 

How do you lower shipping emissions with GoGreen Plus?

Cutting transport emissions doesn't have to mean slowing down your business or overhauling how you ship. It’s possible to keep your delivery speed and still shrink your carbon footprint.

Four features that make this easy

  • Direct Integration: The GoGreen Plus service is integrated directly into the MyDHL+ platform when you book a shipment.
  • Flexible Targets: You can choose the percentage of Sustainable Aviation Fuel allocation that matches your specific corporate goals.
  • Verified Reporting: You will receive an annual certification detailing your exact carbon reductions, ready for your compliance files.
  • Platform Simplicity: Selecting GoGreen Plus adds no extra steps to your existing booking flow on MyDHL+.

How DHL Express verifies every reduction

An external auditor rigorously checks the entire blending and allocation process, giving you auditable proof of every carbon reduction for your compliance files. GoGreen Plus applies specifically to your international air express shipments with us.

 

What steps should you take to audit your carbon footprint?

A systematic approach to data collection can prevent errors and make your annual sustainability audit a much smoother process.

Four things to get right before you audit

  • Centralised Reporting: We share an annual carbon emissions report with our GoGreen Plus customers to help with your record-keeping.
  • Peak Planning: Capacity can tighten dramatically during the busy Lebaran and Idul Fitri peak season, so planning ahead is key.
  • Customs Readiness: Our customs services help maintain documentation readiness during international transport.
  • Continuous Visibility: Running automated audits helps you maintain data accuracy, even during high-volume periods.

Four steps to build your audit process

  • Identify Routes: First, identify all international air express freight routes within your operational control to map your transport footprint.
  • Consolidate Shipping Data: Consolidate your shipping data inside MyDHL+ to view your automated carbon footprint metrics.
  • Select Insetting Targets: From there, you can choose an insetting percentage within the platform that aligns with your corporate sustainability goals.
  • Export Verified Reports: Finally, export the verified carbon reports from the system to share with your corporate compliance auditors.

 

How can regional green grants help fund your sustainability shift?

Switching to low-carbon shipping can sometimes have upfront costs, but local governments often offer financial assistance to help businesses make the transition.

What this support looks like

  • Offsetting Costs: Grants and incentives can help balance your operational budget during the early phases of adoption.
  • Emissions Verification: We can support your application readiness by providing verified emissions data reports to prove your carbon reduction activities.
  • Local Opportunities: It's a good idea to investigate local financial assistance options available to your business.
  • Budget Balance: Combining public financial support with carbon insetting can help you manage your overall freight spend effectively.

Where to start looking

For example, you could explore programs managed by bodies like the Indonesia Environment Fund (BPDLH), which supports environmental protection and management projects. We do not qualify customers for government programmes or guarantee regulatory outcomes, so your compliance status and grant eligibility remain your own responsibility.

 

Audit your logistics carbon footprint today

Managing Scope 3 emissions comes down to a smart balance of speed and precise data. We are here to support you with GoGreen Plus, letting you cut real transport emissions through Sustainable Aviation Fuel while keeping full, audit-ready records.

Speak to a DHL Express specialist today. We would be happy to check your shipping lanes and help you find a cleaner way to move your cargo.

 

Frequently Asked Questions

For most companies, indirect emissions from transport and distribution usually form the largest share of their Scope 3 footprint. This means your logistics partner's fuel choices and routing decisions are a direct factor in your own reported numbers.

Carbon insetting directly reduces emissions within your own supply chain, for example by using cleaner fuels. In contrast, offsetting involves funding external projects like planting trees that do not lower the actual carbon footprint of how your shipments are transported.

Sustainable Aviation Fuel can reduce lifecycle carbon emissions by up to 80% compared to traditional jet fuel. That's why it's a central part of how we approach carbon insetting at DHL Express.

An independent third-party auditor verifies the entire blending and allocation process annually. This helps ensure that every contribution provides reliable and credible data for your compliance reports.

Many local governments offer green grants and tax incentives to support companies transitioning to more sustainable shipping. We can provide the verified emissions reports you need to help support your application.