Greenhouse gas (GHG)
accounting in industrial plants usually has
multiple purposes, including mandatory reporting, shareholder and
stakeholder communication, developing key performance indicators (KPIs),
or informing cost-effective mitigation options. Current carbon accounting
systems, such as the one required by the European Union Emission Trading
Scheme (EU ETS), ignore the system context in which emissions occur.
This hampers the identification and evaluation of comprehensive mitigation
strategies considering linkages between materials, energy, and emissions.
Here, we propose a carbon accounting method based on multilevel material
flow analysis (MFA), which aims at addressing this gap. Using a Norwegian
primary aluminum production plant as an example, we analyzed the material
stocks and flows within this plant for total mass flows of goods as
well as substances such as aluminum and carbon. The results show that
the MFA-based accounting (i) is more robust than conventional tools
due to mass balance consistency and higher granularity, (ii) allows
monitoring the performance of the company and defines meaningful KPIs,
(iii) can be used as a basis for the EU ETS reporting and linked to
internal reporting, (iv) enables the identification and evaluation
of systemic solutions and resource efficiency strategies for reducing
emissions, and (v) has the potential to save costs.