Sustainability module setup

Before the Sustainability module can work correctly, you must set up some basic controls and instructions that are related to the whole functionality.

To set up the Sustainability module, follow the steps:

Role center

For individuals whose primary responsibilities involve sustainability processes, it's recommended to utilize the Sustainability Manager role center. To configure this role center, follow the steps:

  1. Select the Lightbulb that opens the Tell Me feature. icon, enter My settings, and then select the related link.
  2. In the Role field, select the Available Roles page.
  3. Choose the Sustainability Manager line.
  4. Select OK.

The Sustainability Manager role center facilitates efficient management of all key areas related to sustainability. It encompasses core sustainability features, as well as finance and procurement processes. Additionally, it provides visibility into the most critical sustainability-related KPIs.

Sustainability setup

  1. Select the Lightbulb that opens the Tell Me feature. icon, enter Sustainability Setup, and then select the related link.

  2. On the General FastTab, configure the required fields that are related to the Sustainability module.

    Field Description
    Emission Unit of Measure Code Specify the unit of measure code that is used to register emissions.
    Emission Decimal Places Specify the number of decimal places that are shown for emission amounts. The default setting, 2:5, indicates that a minimum of two decimal places and a maximum of five decimal places are shown for all amounts. You can also enter a fixed number. For example, if you enter 2, two decimal places are shown for all amounts.
    Country/Region Mandatory Specify whether the country/region is mandatory. Users can set the country/region field in journals even if you don't select this field. However, by selecting it, you require that users set the country/region field before posting.
    Responsibility Center Mandatory Specify whether the responsibility center is mandatory. The responsibility center can be used as a facility, so that you can measure facility-based emissions. Users can set the responsibility center field in journals even if you don't select this field. However, by selecting it, you require that users set the responsibility center field before posting.
    Block Calculation Foundation Change If Ledger Entries Exist Specify whether changes to the calculation foundation (formula) at the account category level are blocked at the time of sustainability entry, when the formula has already been applied.
    Enable Background Error Check Specify whether the background error check of sustainability journal lines is enabled.
    Note

    After you enable or turn off the background error check in journals, you must sign in again before you start the new setup.

  3. On the Procurement FastTab, configure the required fields that are related to usage of sustainability features in the purchase process.

    Field Description
    Use Emissions In Purchase Documents If you enable this field, sustainability related fields and features will appear in the purchase documents, such as Sustainability Account or different emissions.

  4. On the Calculations FastTab, configure the required fields that are related to the formulas that are used to calculate emissions.

    Field Description
    Fuel/Electricity Decimal Places Specify the number of decimal places that are shown for fuel/electricity amounts. The default setting, 2:5, indicates that a minimum of two decimal places and a maximum of five decimal places are shown for all amounts. You can also enter a fixed number. For example, if you enter 2, two decimal places are shown for all amounts.
    Distance Decimal Places Specify the number of decimal places that are shown for distance measurements. The default setting, 2:5, indicates that a minimum of two decimal places and a maximum of five decimal places are shown for all amounts. You can also enter a fixed number. For example, if you enter 2, two decimal places are shown for all amounts.
    Custom Amount Decimal Places Specify the number of decimal places that are shown for custom amounts. The default setting, 2:5, indicates that a minimum of two decimal places and a maximum of five decimal places are shown for all amounts. You can also enter a fixed number. For example, if you enter 2, two decimal places are shown for all amounts.

  5. On the Reporting FastTab, complete the setup by configuring the fields that are related to reporting to authorities.

    Note

    In version 24.0, Business Central doesn't support reporting to any authority. Therefore, the fields that are related to the configuration of this functionality on the Reporting FastTab are intended for future reporting capabilities. However, partners can also use these fields in localized versions.

    Field Description
    Emission Reporting Unit of Measure Code Specify the unit of measure code that is used to report emissions, because you can use a different unit of measure when you report to authorities. This field isn't applicable to the standard reports.
    Reporting UOM Factor Specify the unit of measure factor that is used to register emissions, if you use a different unit of measure when you report to authorities.
    Emission Rounding Precision Specify the size of the interval that is used during rounding of emission amounts when you report to authorities.
    Emission Rounding Type Specify how the program rounds emission amounts when you report to authorities. The following options are available: Nearest, Up, and Down.

Emission Fees

To track internal carbon fees or calculate your emissions using carbon dioxide (CO2) equivalents, you need to configure the Emission Fees page. To set up this information, follow these steps:

  1. Select the Lightbulb that opens the Tell Me feature. icon, enter Emission Fees, and then select the related link.
  2. In the Emission Type field, choose the GHG emission you want to configure: CO2, CH4, or N2O. This option is mandatory.
  3. You can further specify the Scope Type. If you leave this field blank, it will apply to all scopes, but you can configure for each scope.
  4. You can configure Starting Date and Ending Date. That particullary means you can use different configurations for different period.
  5. The Country/Region Code and Responsibility Code are optional fields and you can choose if you want to use them. These fields can be useful as it's possible to have different carbon fees per country or to use different conversions to the CO2e per country or per facility (responsibility center).
  6. The Carbon Fee field represents the internal carbon fee that a company charges itself for each unit of CO2 equivalent that it emits. It can be used based on some local or regional regulations, but also for internal calculations. Carbon Fee will be calculated every time when you post emissions and this information will be visible on the Sustainability Ledger Entries, without any additional posting on G/L Ledger. You can set up Carbon Fee per unit of measure that you have in the Sustainability Setup and it can be populated only for the line where the Emission Type is CO2.
  7. The Carbon Equivalent Factor specifies the coefficient that converts the impact of various greenhouse gases into the equivalent amount of carbon dioxide based on their global warming potential. If the Emission Type is CO2, the Carbon Equivalent Factor will always be 1 and you can't modify this value, because CO2 is the reference gas used for calculating the global warming potential (GWP) of other greenhouse gases; since CO2 is the baseline, its GWP is set to 1. For other GHG gases, users must configure the values manually. To make proper calculation, you can use the following example: If we assume that 1 kilogram of N2O is equivalent to 298 kilograms of CO2, you need to calculate 1/298 and the result you need to populate will be 0.00336.
Note

Note:
Carbon Fee field on the Sustainability Ledger Entries will not be calculated based on the CO2 Emission values. Instead, as a foundation for this formula, Business Central will use the CO2e Emission field. CO2e Emission field will be calculated based on all the emissions posted to entry and the Carbon Equivalent Factor configured for each of the gases on the Emission Fees page.

If you didn't configure the Emission Fees before posting your sustainability entries, and you want to calculate your carbon fees and CO2e retroactively, you need to run the Calculate Emission Fees action to update values on the Sustainability Ledger Entries.

See also

Finance
Sustainability management overview
Chart of sustainability accounts and ledger
Record sustainability entries
Work with Business Central

Find free e-learning modules for Business Central here