GHG Protocol Compliance Mapping — DaedArch Platform Alignment

Scope

This compliance mapping document outlines the alignment of the DaedArch Corporation's sensor-based Measurement, Reporting, and Verification (MRV) platform with the requirements set forth by the GHG Protocol, which is recognized as the de facto global standard for greenhouse gas (GHG) accounting. This document will cover the Corporate Standard, Scope 3 Standard, and Product Standard, along with the Land Sector and Removals Guidance currently under development. The DaedArch platform's capabilities will be evaluated against these requirements, identifying compliance status, gaps, and remediation plans.

Requirements Matrix

The following matrix details the specific requirements of the GHG Protocol and how the DaedArch platform aligns with these requirements. Each requirement will be assessed based on the following categories: Requirement, Data Format, API Endpoint, and Compliance Status.

Requirements Overview

| Requirement ID | Requirement Description | Data Format | API Endpoint | Compliance Status | |----------------|----------------------------------------------------------------------------------------|------------------------------------|------------------------------------------|-------------------| | GHG-001 | The organization shall quantify and report GHG emissions in accordance with the Corporate Standard. | JSON, CSV | /api/emissions/report | Compliant | | GHG-002 | The organization shall include Scope 3 emissions in its GHG inventory as per Scope 3 Standard. | JSON, CSV | /api/emissions/scope3 | Partially Compliant| | GHG-003 | The organization shall ensure that all data inputs are sourced from verifiable and credible data sources. | JSON, CSV, XML | /api/data/source | Compliant | | GHG-004 | The organization shall maintain a full chain-of-custody audit trail for all emissions data reported. | JSON, CSV | /api/audit/trail | Compliant | | GHG-005 | The organization shall align its reporting with the Product Standard for GHG emissions. | JSON, CSV | /api/products/report | Not Compliant | | GHG-006 | The organization shall provide detailed reporting for land use, land-use change, and forestry (LULUCF) as per Land Sector and Removals Guidance. | JSON, CSV | /api/lulucf/report | Under Development |

Detailed Requirement Analysis

1. GHG-001: Corporate GHG Emissions Reporting

• Requirement: The organization shall quantify and report GHG emissions in accordance with the Corporate Standard.
• Data Format: The emissions data shall be reported in JSON or CSV format, ensuring compatibility with external reporting systems.
• API Endpoint: The endpoint /api/emissions/report shall be utilized for submitting GHG emissions reports.
• Compliance Status: Compliant. The DaedArch platform captures emissions data through IoT sensors and processes it using certified algorithms, generating reports that meet the Corporate Standard.

1. GHG-002: Scope 3 Emissions Inclusion

• Requirement: The organization shall include Scope 3 emissions in its GHG inventory as per Scope 3 Standard.
• Data Format: Scope 3 data shall be reported in JSON or CSV format.
• API Endpoint: The endpoint /api/emissions/scope3 shall be used for reporting Scope 3 emissions.
• Compliance Status: Partially Compliant. The DaedArch platform currently captures direct emissions but requires enhancements to fully integrate Scope 3 emissions data from supply chain activities.

1. GHG-003: Data Source Verification

• Requirement: The organization shall ensure that all data inputs are sourced from verifiable and credible data sources.
• Data Format: Data sources shall be documented in JSON, CSV, or XML format.
• API Endpoint: The endpoint /api/data/source shall be used to submit data source verification.
• Compliance Status: Compliant. The platform utilizes certified algorithms and verified data sources to ensure data integrity.

1. GHG-004: Chain-of-Custody Audit Trail

• Requirement: The organization shall maintain a full chain-of-custody audit trail for all emissions data reported.
• Data Format: Audit trail data shall be maintained in JSON or CSV format.
• API Endpoint: The endpoint /api/audit/trail shall be used to access the audit trail data.
• Compliance Status: Compliant. The DaedArch platform generates a full audit trail for all emissions data, ensuring traceability.

1. GHG-005: Product Standard Compliance

• Requirement: The organization shall align its reporting with the Product Standard for GHG emissions.
• Data Format: Product emissions data shall be reported in JSON or CSV format.
• API Endpoint: The endpoint /api/products/report shall be used for product emissions reporting.
• Compliance Status: Not Compliant. The DaedArch platform does not currently support the specific reporting requirements of the Product Standard.

1. GHG-006: LULUCF Reporting

• Requirement: The organization shall provide detailed reporting for land use, land-use change, and forestry (LULUCF) as per Land Sector and Removals Guidance.
• Data Format: LULUCF data shall be reported in JSON or CSV format.
• API Endpoint: The endpoint /api/lulucf/report shall be used for LULUCF reporting.
• Compliance Status: Under Development. The DaedArch platform is currently enhancing its capabilities to support LULUCF reporting.

Compliance Status

The overall compliance status of the DaedArch platform against the GHG Protocol requirements is summarized below:

• Total Requirements: 6
• Compliant: 3
• Partially Compliant: 1
• Not Compliant: 1
• Under Development: 1

Summary of Compliance Findings

• The DaedArch platform demonstrates strong compliance with the Corporate Standard and data source verification requirements.
• There are notable gaps in the integration of Scope 3 emissions and alignment with the Product Standard, which require immediate attention.
• The platform is actively working on enhancing its capabilities to support LULUCF reporting.

Gap Analysis

The following table outlines the identified gaps in compliance with the GHG Protocol requirements, along with the implications of these gaps and potential solutions.

| Gap ID | Requirement ID | Gap Description | Implications | Proposed Solution | |--------|----------------|---------------------------------------------------------------------------------|--------------------------------------------------------------------------|-----------------------------------------------------------------------------------| | GAP-001| GHG-002 | Incomplete integration of Scope 3 emissions data from the supply chain. | Inability to provide a comprehensive GHG inventory, risking non-compliance. | Develop partnerships with supply chain stakeholders to gather Scope 3 data. | | GAP-002| GHG-005 | Lack of alignment with the Product Standard for GHG emissions reporting. | Potentially inaccurate product-level reporting leading to compliance issues. | Implement product-specific reporting modules and ensure alignment with the Product Standard. | | GAP-003| GHG-006 | Limited capabilities for LULUCF reporting. | Non-compliance with forthcoming Land Sector and Removals Guidance. | Accelerate development of LULUCF reporting features within the platform. |

Remediation Plan

To address the identified gaps, the following remediation plan is proposed:

Remediation Actions

1. Scope 3 Emissions Integration

• Action: Establish partnerships with key supply chain stakeholders to facilitate the collection of Scope 3 emissions data.
• Timeline: 6 months.
• Responsible Party: Data Integration Team.

1. Product Standard Alignment

• Action: Develop and implement product-specific reporting modules that align with the GHG Protocol Product Standard.
• Timeline: 12 months.
• Responsible Party: Product Development Team.

1. LULUCF Reporting Capabilities

• Action: Prioritize the development of features to support LULUCF reporting in accordance with the Land Sector and Removals Guidance.
• Timeline: 8 months.
• Responsible Party: R&D Team.

Monitoring and Evaluation

To ensure successful implementation of the remediation plan, the following monitoring and evaluation procedures shall be adopted:

• Monthly Progress Reports: Each responsible party shall provide monthly updates on the status of remediation actions.
• Quarterly Compliance Audits: Conduct quarterly audits to evaluate compliance with GHG Protocol standards and the effectiveness of remediation actions.
• Stakeholder Feedback: Engage with stakeholders to gather feedback on the effectiveness of the platform enhancements and compliance measures.

Conclusion

The DaedArch platform exhibits strong capabilities in capturing and reporting GHG emissions data in alignment with the GHG Protocol. However, certain gaps in compliance, particularly regarding Scope 3 emissions and product-level reporting, necessitate immediate attention and action. The proposed remediation plan outlines actionable steps to address these gaps and enhance the platform's compliance posture. Continuous monitoring and evaluation will be essential to ensure ongoing alignment with GHG Protocol standards and to support the integrity of carbon markets.

---

This compliance mapping document serves as a foundational resource for DaedArch Corporation as it seeks to align its platform capabilities with the GHG Protocol requirements, ensuring adherence to global standards for greenhouse gas accounting and reporting.