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Audit-Ready Carbon Reporting for E&C Contractors

Track construction equipment diesel, concrete batching emissions, material embodied carbon, and project lifecycle footprint—allocating responsibility between client and contractor.

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The Industry Hotspot: Embodied Carbon in Materials Specified

70-85% from material embodied carbon

For engineering & construction firms, 70-85% of project carbon footprint is embodied carbon in materials (concrete, steel, glass) specified during design. Contractor direct emissions (Scope 1) from diesel equipment and on-site concrete batching account for 10-20%. Material transport adds 5-10% (Scope 3). A $100M commercial building project generates ~5,000 tCO2 contractor Scope 1, but 25,000-50,000 tCO2 embodied carbon in materials. NetNada tracks equipment fuel consumption, calculates embodied carbon from bill of quantities, and allocates emissions between owner and contractor per ISO 14067 and RICS guidance.

SASB Industry Definition

The Engineering & Construction Services industry consists of entities that provide design, engineering, procurement, and construction (EPC) services for infrastructure, commercial buildings, industrial facilities, and residential projects. Services include project management, general contracting, specialty trades, and design-build delivery. Revenue comes from fixed-price contracts, cost-plus arrangements, and EPC lump-sum agreements. The industry generates emissions from on-site equipment, material transport, and embodied carbon in materials specified.

View SASB Standard →

Industry-Specific Carbon Accounting

No generic solutions. Metrics, data sources, and reporting aligned to Engineering & Construction Services operations.

Construction Equipment Fuel Tracking

Import fuel card data or site fuel logs: Diesel gallons by equipment type (excavators, cranes, loaders, trucks). Emission factor: 10.2 kgCO2/gallon diesel. Allocate to projects by equipment hours. Track fuel efficiency: Gallons per cubic yard excavated, gallons per tonne material moved.

Equipment emissions per project

Embodied Carbon Calculation from Bill of Quantities

Extract material quantities from project estimates: 5,000 m³ concrete, 500 tonnes rebar, 200 tonnes structural steel, 10,000 m² glass. Apply emission factors: Concrete 0.4 tCO2/m³, Rebar 1.85 tCO2/tonne, Steel 1.85 tCO2/tonne, Glass 0.85 tCO2/m². Sum for total embodied carbon. Compare low-carbon alternatives (slag cement, recycled steel).

Embodied carbon per project

Concrete Batching Plant Emissions

On-site batching plants generate direct emissions from cement calcination. Portland cement production: 0.9 tCO2/tonne cement. If batching 5,000 m³ concrete (15% cement content by weight) → 5,000 × 2.4 t/m³ × 0.15 = 1,800 tonnes cement × 0.9 = 1,620 tCO2 from cement. Report as contractor Scope 1.

Batching plant emissions tracked

Material Transport Emissions (Scope 3)

Calculate delivery emissions: Material tonnage × Distance (km) × Emission factor (0.062 kgCO2/tonne-km for heavy truck). Example: 500 tonnes steel delivered from 200 km away → 500 × 200 × 0.062 = 6,200 kgCO2. Aggregate across all materials for project transport footprint.

Material transport tracked

Project Lifecycle Carbon Allocation

Allocate project emissions: Embodied carbon → Owner (they specify materials). Equipment diesel → Contractor (operational control). Material transport → Depends on contract (FOB site = contractor, FOB plant = owner). Clarify in contract and ESG reports to avoid double-counting.

Emissions allocated per ISO 14067

SASB IF-EN Metrics Automation

Auto-generate disclosure: Gross Scope 1 emissions, emissions intensity (tCO2 per $M revenue), backlog in projects with green building certifications, safety incident rate. Footnotes cite project allocation methodology.

SASB IF-EN compliant

Product Features for Engineering & Construction Services

Use Carbon Data Uploader to import fuel logs, bill of quantities (BoQ), and material delivery records for automated project-level emissions calculation. Learn more →

The Activity Calculator applies emission factors for diesel equipment, concrete, steel, and material transport—calculating construction project carbon footprints. Learn more →

Related Solutions

See our Carbon Accounting solution for end-to-end construction emissions tracking from equipment fuel through material embodied carbon.

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Engineering & Construction Services Case Studies

How entities in this industry use NetNada to solve carbon accounting challenges.

Commercial Building Contractor ($800M annual revenue, 15 active projects)

Challenge

Client RFPs increasingly required project carbon footprint disclosure. Manual calculations from fuel receipts and material invoices took 60 hours per project. No standardized embodied carbon database.

Solution

Deployed NetNada with project-level fuel tracking integration. Created material emission factor library: Concrete 0.11 tCO2/tonne (standard mix), 0.08 tCO2/tonne (30% slag cement), Steel 1.85 tCO2/tonne, Recycled steel 0.5 tCO2/tonne. Automated BoQ upload and embodied carbon calculation.

Result

Reduced project carbon reporting from 60 hours to 8 hours. Won $50M LEED Platinum project by demonstrating embodied carbon tracking capability. Identified 20% embodied carbon reduction opportunity by specifying low-carbon concrete (saved 1,000 tCO2 on $100M project).

Heavy Civil Contractor (Highway, Bridge, Infrastructure)

Challenge

State DOT required carbon footprint disclosure for all projects >$20M. 80% of emissions from asphalt and concrete. Needed to differentiate projects using recycled asphalt pavement (RAP) vs virgin materials.

Solution

Used NetNada to track: (1) Equipment diesel by project phase (earthwork, paving, finishing). (2) Material embodied carbon: Virgin asphalt 0.45 tCO2/tonne, 30% RAP asphalt 0.32 tCO2/tonne (30% reduction). (3) Concrete: Standard 0.4 tCO2/m³, 50% slag 0.28 tCO2/m³. Generated project carbon reports comparing material scenarios.

Result

Submitted winning bid for $200M highway project using low-carbon material specifications: 40% RAP asphalt, 50% slag cement concrete. Project embodied carbon: 35,000 tCO2 vs 52,000 tCO2 baseline (33% reduction). Awarded 5% bid preference for sustainability, securing project.

SASB Disclosure Topics for Engineering & Construction Services

Material sustainability topics beyond emissions that investors and stakeholders expect disclosed per SASB standards.

Greenhouse Gas Emissions

environment

Track Scope 1 from construction equipment diesel, concrete batching plants, and backup generators. Report emissions per $ revenue or per sqm constructed. Disclose embodied carbon in materials separately.

Materials Embodied Carbon

environment

Calculate embodied carbon from concrete (0.11 tCO2/tonne), steel (1.85 tCO2/tonne), glass (0.85 tCO2/tonne), insulation, timber. Report total project embodied carbon and low-carbon material substitutions.

Energy Management in Construction

environment

Track on-site electricity consumption for temporary facilities, lighting, and tools. Report % from diesel generators vs grid connection and renewable energy usage.

Workforce Health and Safety

social

Monitor construction site injury rates, lost-time incidents, and OSHA recordable cases. Report safety training hours per worker and fatal injury rate.

Climate Resilience in Design

business model

Disclose % of projects incorporating climate adaptation measures (flood protection, heat island mitigation). Report % of projects achieving green building certifications (LEED, Green Star).

Waste Management and Circularity

environment

Track construction waste diverted from landfill (recycled concrete, scrap metal). Report % waste diversion by weight and use of recycled content materials.

NetNada tracks all SASB material topics, not just emissions. Our platform supports disclosure across environmental, social, governance, and business model topics relevant to your industry.

Engineering & Construction Services FAQs

Common questions about carbon accounting for this industry

How do you allocate project emissions between the contractor and the building owner?
ISO 14067 and RICS Whole Life Carbon guidance: (1) Embodied carbon in materials → Owner (they specify through design). (2) Construction equipment diesel → Contractor (operational control). (3) Material transport → Depends on contract terms (FOB site = contractor pays freight and emissions, FOB plant = owner). (4) Temporary works (scaffolding, site offices) → Contractor. Specify allocation in contract to avoid disputes. Owner reports as Scope 3 Category 1 (purchased goods) or Category 2 (capital goods).
What's the difference between embodied carbon and operational carbon in buildings?
Embodied carbon = Emissions from materials manufacturing, construction, renovation, demolition (one-time). Operational carbon = Emissions from building energy use over lifetime (annual, recurring). For new low-energy buildings: Embodied carbon now represents 40-60% of lifetime carbon (historically <10% when buildings were inefficient). Construction industry controls embodied carbon through material selection. Owner controls operational carbon through HVAC efficiency, renewable energy.
How do you calculate embodied carbon for concrete with different mix designs?
Concrete embodied carbon driven by cement content. Portland cement: 0.9 tCO2/tonne. Standard concrete (400 kg cement/m³) × 0.9 = 0.36 tCO2/m³. Low-carbon alternatives: (1) 30% fly ash replacement → 280 kg cement/m³ → 0.25 tCO2/m³ (30% reduction). (2) 50% slag cement → 200 kg cement/m³ → 0.18 tCO2/m³ (50% reduction). (3) Recycled aggregate (minimal impact on cement). Strength requirements may limit substitution (high-strength = more cement). Use EPDs (Environmental Product Declarations) for supplier-specific values.
Should we include demolition and end-of-life emissions for construction projects?
Depends on scope. Cradle-to-gate (materials production to construction gate): Most common for contractor reporting, excludes demolition. Cradle-to-grave (full lifecycle including demolition): Required for LEED v4+ whole building LCA, green building certifications. Demolition emissions usually small (2-5% of embodied carbon) unless significant material processing. Demolition diesel: 10-50 tCO2 for typical building. Waste transport and processing: 5-15 tCO2. Report separately if included.
How do timber buildings compare to concrete/steel for embodied carbon?
Mass timber (CLT, glulam) has lower embodied carbon than concrete/steel for mid-rise buildings. Cross-laminated timber (CLT): 0.1-0.2 tCO2/m³ (includes manufacturing) + biogenic carbon sequestered (~0.9 tCO2/m³). Concrete structure: 0.4 tCO2/m³. Steel structure: 0.8-1.2 tCO2/m³. Timber advantage: 50-80% lower embodied carbon. Challenge: Fire resistance requires additional treatment, seismic performance varies. Timber sequesters carbon during growth (report separately as negative biogenic carbon, not a Scope reduction).

Track Construction Equipment and Material Embodied Carbon

See how E&C contractors measure project-level emissions, calculate embodied carbon from bill of quantities, and win green building projects—automated.

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