We always try to use the most accurate data as possible to calculate the CO₂e emissions estimates per purchase. Given this, if the data is available, we calculate the estimated CO₂e emissions of each single product purchased with Klarna individually (product level estimations). The product level estimations are based on the product category e.g. “cardigan” or “hooded sweatshirt” and, if available, data points like material composition and weight of the product. If the CO₂e emissions of all products of a given purchase can be calculated individually, the sum of the CO₂e emissions of each individual product represents the total estimated CO₂e footprint of that purchase.
If we are not able to estimate the CO₂e emissions of each single product individually, we estimate the CO₂e emissions on a purchase level combining the total price of a purchase and the merchant category of that particular purchase. A merchant category is a high-level summary of the products a merchant sells. e.g. “fashion and apparel” or “consumer electronics”.
What parts of a product’s life cycle are assessed when estimating the CO₂e emissions?
The methodology used covers a complete assessment of the following six stage of a product’s life cycle, often also referred as “Cradle-to-Cradle” approach: Raw Material Extraction, Raw Material Processing, Product Assembly, Deliveries, Use phase of the product and End of life/Recycling. Wherever an emissions breakdown along these life cycle stages is shown, the emissions are attributed to each of the stages depending on the structural characteristics of an average product within the given product category.
By whom are the calculations made?
We’ve partnered with third-party automated software providers to estimate the CO₂e emissions footprint of your purchases.
To monitor our product-level CO₂e emissions, we have partnered with Vaayu. Vaayu offers the world’s first automated carbon software tailored to retailers — their proprietary technology enables retail businesses to track, cut and communicate their carbon emissions. They are providing us with essential tools and data, enabling us to monitor and display product-level carbon emissions in real-time and at scale.
More about Vaayu at www.vaayu.tech
For purchase level CO₂e emissions estimates we have partnered with Doconomy. Doconomy uses the Åland Index for the calculation. The Åland Index was launched in 2016 by Ålandsbanken and has been further developed in cooperation with S&P Global Market Intelligence and Trucost. The index is managed and developed by Doconomy in Sweden. S&P Global Market Intelligence is not an affiliate of Ålandsbanken or Doconomy and it disclaims all liability for any claims, losses, or damages in connection with the use or application of its material in the Åland Index.
More about Doconomy at www.doconomy.com