Does Solar Power Reduce My Scope 1 or Scope 2 Emissions?

Installing solar is the single best way to reduce a typical Australian business's carbon footprint. But where does it fit on the report?

It Reduces Scope 2

Scope 2 is grid electricity.

When you use power from your roof, you are NOT pulling it from the grid. Therefore, you don't report it. Your Scope 2 number goes down naturally because your bill goes down.

Does it affect Scope 1?

No. Scope 1 is burning fuel (like gas or diesel). Unless you replace a diesel generator with solar-charged batteries, your Scope 1 remains unchanged.

The Goal: Use your solar to electrify everything. Switch gas heating to electric reverse-cycle. Switch petrol cars to EVs. Then your solar panels will kill off your Scope 1 emissions too.