CSR Climate Change and Carbon Management

Question 1

Which framework categorizes corporate greenhouse gas emissions into Scope 1, Scope 2, and Scope 3?

Accepted Answer

The Greenhouse Gas Protocol Corporate Standard

Answer

The Carbon Disclosure Project (CDP) Standard

Answer

The Science Based Targets initiative (SBTi)

Answer

The Task Force on Climate-related Financial Disclosures (TCFD)

Question 2

What are Scope 3 emissions in corporate carbon accounting?

Accepted Answer

All other indirect emissions in a company's value chain

Answer

Direct emissions from company-owned facilities and vehicles

Answer

Indirect emissions from purchased electricity and heat

Answer

Emissions from company-sponsored employee travel only

Question 3

Under the Paris Agreement, what is the primary long-term temperature goal?

Accepted Answer

Limit warming to well below 2°C, pursuing efforts to limit to 1.5°C

Answer

Limit warming to 1.0°C above pre-industrial levels

Answer

Achieve net zero emissions by 2030

Answer

Reduce global emissions by 50% from 2000 levels by 2050

Question 4

What is the key distinction between 'carbon neutral' and 'net zero'?

Accepted Answer

Net zero typically requires deeper absolute emissions reductions before using offsets; carbon neutral can rely more heavily on offsets

Answer

Carbon neutral applies only to Scope 1 emissions; net zero covers all scopes

Answer

Carbon neutral and net zero are legally interchangeable terms

Answer

Carbon neutral is a government standard; net zero is a voluntary corporate pledge

Question 5

What does a Science Based Target (SBT) require of a company's emissions reduction goals?

Accepted Answer

Aligning emission reduction targets with what climate science says is needed to meet Paris Agreement goals

Answer

Reducing emissions by at least 10% per year regardless of sector

Answer

Achieving carbon neutrality within five years of commitment

Answer

Purchasing offsets equivalent to 100% of Scope 1 and 2 emissions annually

Question 6

In cap-and-trade systems, what happens when a company emits less than its allocated carbon allowance?

Accepted Answer

The company can sell or bank its surplus allowances

Answer

The surplus allowances are automatically retired to reduce total market emissions

Answer

The company faces a penalty for underutilizing its allowance

Answer

The allowances expire at the end of the compliance period with no value

Question 7

What is a carbon offset credit?

Accepted Answer

A verified unit representing the reduction or removal of one metric ton of CO2-equivalent from the atmosphere

Answer

A tax deduction granted for investing in renewable energy infrastructure

Answer

A government certificate confirming a company has paid its carbon tax

Answer

A financial instrument that allows companies to exceed their emissions cap temporarily