LCA (Life Cycle Assessment) - TX

Overview

Life Cycle Assessment (LCA) is a systematic methodology used to evaluate the environmental impacts associated with all the stages of a product's life, from raw material extraction through materials processing, manufacture, distribution, use, repair and maintenance, and disposal or recycling. LCA provides a comprehensive view of the environmental aspects and potential impacts of a product or service.

Objectives of LCA

• Identify Improvement Opportunities: Pinpoint areas within the product life cycle where environmental impacts can be reduced.
• Support Decision Making: Inform policymakers and industry leaders in making more environmentally conscious decisions.
• Enhance Product Design: Aid in the development of more sustainable products by understanding their environmental footprints.

List of LCA impact indicators

Indicator overview

Group	IndicatorKey	Indicator(eng)	Definition	ValueUnits
Emissions	LcaGghEmissions	Greenhouse Gas (GHG) Emissions	Measures the emissions of GHGs, expressed in terms of CO2 equivalents	kgCO2e
	LcaCo2Emissions	Carbon Dioxide (CO2) Emissions	Measures the emissions of CO	kgCO2
Water	LcaBluewaterFootprint	Blue Water Footprint	Quantifies the consumption of surface and groundwater resources	CBM
Energy	LcaEnergyUse	Energy Use	Assesses the total energy consumption, often distinguishing between renewable and non-renewable sources	MJ or KWH
Eutrophication Potential	LcaNitroEmissions	H+ Nitrogen Emissions	Indicates the impact on aquatic ecosystems due to excess nutrients	MOL
Eutrophication Potential	LcaPhospEmissions	H+ Phosphorus Emissions	Indicates the impact on aquatic ecosystems due to excess nutrients	MOL
Acidification Potential	LcaAcidPotential	H⁺ Ion Acidification Potential	Measures the potential of substances to cause acid rain (measured in moles of H+ or equivalent)	MOL
Ozone Depletion Potential	LcaOzoneDepPot	Ozone Depletion Potential	Assesses the impact on the ozone layer	KGCFC11E
Resource Depletion	LcaRenewResDep	Renewable Resource Depletions	Evaluates the depletion of renewable natural resources	KG
Resource Depletion	LcaNonRenewResDep	Non-Renewable Resource Depletions	Evaluates the depletion of non-renewable natural resources	KG
Waste	LcaWasteGenerate	Waste Generation	Quantifies the amount and type of waste produced	KG or CBM
Toxicological Impact	LcaToxicImpact	Toxicological Impact	Assesses the potential toxic impacts on human health and ecosystems (measured in comparative toxic units)	CTU

LCA's Role in ESG Reporting

While ESG (Environmental, Social, and Governance) reporting predominantly addresses organizational-level sustainability performance, LCA (Life Cycle Assessment) contributes detailed product-level environmental data, offering a granular perspective on the 'Environmental' component of ESG. In a data exchange framework, integrating LCA data into ESG reporting can significantly enhance the accuracy and depth of environmental disclosures. By multiplying LCA results with the number of transactions, shipments, or production runs, organizations can quantify the aggregate environmental impact of their products or services.

This integration allows businesses not only to report on broad organizational policies and goals but also to provide tangible, data-driven insights into the environmental footprint of specific products or processes. Consequently, LCA serves as a critical data source within the ESG framework, enabling organizations to make informed, sustainable decisions and to communicate their environmental stewardship in a more substantiated and transparent manner.