115 Essential Terms
| Term | Definition | Source Link |
|---|---|---|
| Abiotic Depletion Potential | The depletion of non-renewable natural resources like minerals and fossil fuels, based on their concentration reserves and extraction rates. | https://cml.leiden.edu/ |
| Acidification Potential | The potential for substances to form acids that can lower the pH of rainwater and cause environmental damage to soils, waters, and ecosystems. | https://www.epa.gov/acidrain |
| Additionality | Principle that emission reductions or removals from a project would not have occurred without carbon credit financing, ensuring offsets represent genuine climate benefits. | https://unfccc.int/ |
| Allocation | The procedure used to divide environmental impacts between multiple products from the same process, typically using mass, energy, or economic criteria. | https://www.iso.org/standard/37456.html |
| Attributional LCA | An LCA modeling approach that describes the environmental impacts attributable to a product system using average data and allocation procedures. | https://consequential-lca.org |
| B Corp | Certification for companies meeting high standards of social and environmental performance, accountability, and transparency as verified by B Lab. | https://www.bcorporation.net |
| Baseline | Reference scenario representing what would have happened without a carbon project, used to measure the actual emission reductions achieved. | https://unfccc.int/ |
| BECCS | Bioenergy with Carbon Capture and Storage – process combining biomass energy generation with carbon capture and storage, potentially achieving negative emissions. | https://www.iea.org/ |
| Big Data Analytics | Advanced computational techniques for processing large, complex environmental datasets to extract insights and support data-driven decision-making in sustainability. | Academic literature on sustainability analytics |
| Biomimicry | Innovation inspired by nature’s strategies and designs, applying biological principles to create sustainable technologies and processes. | Industrial ecology literature |
| Biotic Depletion Potential | The depletion of renewable biological resources like forests and fisheries faster than their natural regeneration rate. | Ecological Footprint Methodology |
| BREEAM | Building Research Establishment Environmental Assessment Method – science-based sustainability assessment method for buildings providing ratings from Pass to Outstanding. | https://www.breeam.com |
| Carbon Accounting | Systematic methodology for measuring, monitoring, and quantifying greenhouse gas emissions across an organization’s operations and value chain. | https://ghgprotocol.org/ |
| Carbon Credits | Certificates representing one tonne of CO2 equivalent emissions reduced or removed, traded in carbon markets to meet climate commitments. | https://unfccc.int/ |
| Carbon Footprint | The total greenhouse gas emissions caused directly and indirectly by an individual, organization, event, or product, expressed in CO2 equivalents. | https://www.epa.gov/carbon-footprint-calculator |
| Carbon Intensity | Measure of carbon emissions per unit of economic output, energy use, or production, enabling comparison of emission efficiency across activities. | https://ghgprotocol.org/ |
| Carbon Management Software | Digital platforms that help organizations measure, track, and manage greenhouse gas emissions across all scopes and generate compliance reports. | https://www.workiva.com/products/carbon |
| Carbon Markets | Systems where carbon credits are bought and sold, enabling cost-effective achievement of emission reduction targets through market mechanisms. | https://unfccc.int/ |
| Carbon Neutral | Balancing carbon emissions with an equivalent amount of carbon removal or offsetting, often achieved through emission reductions and carbon credits. | https://unfccc.int/ |
| Carbon Reporting | Process of calculating and disclosing greenhouse gas emissions data to stakeholders, regulators, or voluntary disclosure platforms like CDP. | https://www.cdp.net/ |
| CDP | Global non-profit running the world’s environmental disclosure system where companies report on climate, forests, and water security risks. | https://www.cdp.net |
| Characterization Factor | A numerical value that converts inventory data into common units for specific impact categories (e.g., converting methane to CO₂ equivalents). | https://www.iso.org/standard/37456.html |
| Circular Economy | A systems framework that eliminates waste and pollution, circulates products and materials at highest value, and regenerates nature through design. | https://ellenmacarthurfoundation.org/ |
| Cleaner Production | A preventive environmental strategy applying continuous improvement to processes, products, and services to increase efficiency and reduce environmental risks. | UNEP Cleaner Production resources |
| Compliance Carbon Market | Regulated markets created by mandatory emission trading schemes where companies must purchase credits to meet legally binding emission limits. | https://unfccc.int/ |
| Consequential LCA | An LCA modeling approach that estimates how environmental impacts change as a consequence of a decision, using marginal data and system expansion. | https://consequential-lca.org |
| Co-product Allocation | The method for distributing environmental impacts when a single process produces multiple valuable products, requiring division of impacts between outputs. | https://www.iso.org/standard/37456.html |
| Cradle-to-Cradle | A design philosophy treating all materials as nutrients in cycles, where products are designed for complete material recovery and reuse without waste. | McDonough & Braungart Framework |
| Cradle-to-Gate | A partial LCA approach that assesses environmental impacts from raw material extraction through the factory gate, excluding use and disposal phases. | https://www.epa.gov/lca |
| Cradle-to-Grave | A comprehensive LCA approach that assesses environmental impacts from raw material extraction through production, use, and final disposal of a product. | https://www.epa.gov/lca |
| CSRD | Corporate Sustainability Reporting Directive – EU regulation requiring nearly 50,000 companies to report comprehensive sustainability information using double materiality. | https://finance.ec.europa.eu/ |
| Cumulative Energy Demand | The total amount of primary energy required throughout a product’s life cycle, including renewable and non-renewable sources. | Ecoinvent Database |
| Cut-off Criteria | Rules that define which processes or materials can be excluded from LCA based on their low contribution to total impacts (typically 1-5% thresholds). | https://www.iso.org/standard/37456.html |
| Damage Assessment | The evaluation of environmental impacts at the endpoint level, measuring final damage to areas of protection like human health and ecosystems. | UNEP/SETAC Guidelines |
| Decoupling | Breaking the link between economic growth and environmental impact by reducing resource consumption and emissions per unit of economic activity. | Ellen MacArthur Foundation |
| Dematerialization | The reduction of material inputs and waste outputs per unit of economic output, achieved through improved efficiency and design optimization. | Industrial ecology literature |
| Design for Disassembly | Engineering products to be easily taken apart at end-of-life, facilitating material recovery, reuse, and recycling while reducing waste disposal costs. | https://www.epa.gov/ |
| Design for Environment (DfE) | A design methodology that considers environmental impacts throughout a product’s lifecycle, from material selection through end-of-life disposal or recycling. | https://www.epa.gov/ |
| Direct Air Capture (DAC) | Technology that uses chemical processes to extract CO2 directly from ambient air for permanent storage or utilization, offering scalable carbon removal. | https://www.iea.org/ |
| Eco-efficiency | Achieving maximum economic value while minimizing environmental impact through resource optimization and waste reduction strategies. | Academic literature on sustainable manufacturing |
| Ecoinvent | The world’s leading life cycle inventory database containing over 18,000 datasets covering energy, agriculture, transport, chemicals, and construction materials. | https://ecoinvent.org |
| Ecotoxicity | The potential for toxic substances to harm ecosystems and biodiversity in freshwater, marine, or terrestrial environments. | https://www.oecd.org/chemicalsafety/testing/ |
| Economic Allocation | An allocation method that divides environmental impacts between co-products based on their relative economic value or market price. | https://www.iso.org/standard/37456.html |
| Embodied Carbon | The total greenhouse gas emissions associated with a product’s upstream production stages, including material extraction, transportation, and manufacturing. | https://www.epa.gov/greeningepa/ |
| Endpoint Indicators | Environmental impact measures at the final damage level, showing effects on human health, ecosystem quality, and resource availability. | UNEP/SETAC Guidelines |
| EPD | Environmental Product Declaration – ISO Type III environmental declaration providing third-party verified data about a product’s environmental performance from lifecycle perspective. | https://www.environdec.com |
| EU Taxonomy | European Union’s classification system establishing science-based criteria to determine which economic activities are environmentally sustainable. | https://finance.ec.europa.eu/ |
| Eutrophication | The process where water bodies accumulate excessive nutrients, primarily phosphates and nitrates, leading to algae overgrowth and oxygen depletion. | https://www.epa.gov/nutrientpollution/ |
| Extended Producer Responsibility (EPR) | A policy approach that makes manufacturers responsible for the entire lifecycle of their products, especially end-of-life management and environmental costs. | https://www.epa.gov/international-cooperation/ |
| Fossil Fuel Depletion | The depletion of non-renewable fossil fuel resources (oil, gas, coal) based on remaining reserves and current extraction rates. | CML-IA Methodology |
| Fossil Resource Scarcity | The increasing difficulty and cost of extracting remaining fossil fuel resources as easily accessible reserves are depleted. | ReCiPe 2016 Methodology |
| Freshwater Consumption | The volume of freshwater consumed and not returned to its original source, affecting local water availability. | https://www.iso.org/standard/43263.html |
| Functional Unit | A quantified description of the performance requirements that the product system fulfills, providing a reference basis for comparing different products. | https://www.iso.org/standard/37456.html |
| GaBi | Enterprise LCA software platform combining robust modeling capabilities with extensive databases to support carbon footprinting and sustainability assessments. | https://sphera.com/ |
| GHG Protocol | The world’s most widely used greenhouse gas accounting standards, providing frameworks for measuring emissions across Scope 1, 2, and 3 categories. | https://ghgprotocol.org |
| Global Warming Potential (GWP) | A measure of how much energy the emission of one ton of a gas absorbs over a given period relative to one ton of CO2. | https://www.epa.gov/ghgemissions/ |
| Goal & Scope Definition | The first phase of LCA that defines the purpose, intended audience, and boundaries of the assessment, establishing what will be studied and why. | https://www.iso.org/standard/37456.html |
| Green Supply Chain | Supply chain management practices that integrate environmental considerations into procurement, production, and distribution decisions to reduce ecological footprint. | Academic research on green logistics |
| GRI | Global Reporting Initiative – provides the world’s most widely used sustainability reporting standards, used by over 10,000 reporters across 100+ countries. | https://www.globalreporting.org |
| Human Toxicity | The potential for chemical substances to cause cancer and non-cancer health effects in humans through environmental exposure pathways. | USEtox Model Documentation |
| Hybrid LCA | A methodology combining process-based LCA data with input-output economic analysis to address truncation errors while achieving more complete impact coverage. | Academic literature on hybrid LCA |
| Impact Category | A class of environmental effects (like climate change or acidification) to which life cycle inventory results are assigned based on their potential impacts. | https://www.iso.org/standard/37456.html |
| Industrial Ecology | The study of material and energy flows in industrial systems aimed at creating closed-loop industrial processes that mimic natural ecosystems. | Industrial ecology literature |
| Industrial Symbiosis | A collaborative network where different industries exchange resources, materials, and energy to create closed-loop relationships that reduce waste and improve efficiency. | Kalundborg Symbiosis case studies |
| Input-Output Analysis | An economic modeling technique used in LCA that employs sector-level monetary data to trace environmental impacts through entire economic supply chains. | Academic literature on IO-LCA |
| Ionizing Radiation | The emission of radioactive substances that can damage living tissue and DNA, measured in human health impacts. | ReCiPe 2016 Methodology |
| ISO 14040/14044 | International standards for Life Cycle Assessment – ISO 14040 provides framework and principles, while ISO 14044 provides detailed requirements and guidelines. | https://www.iso.org |
| Land Transformation | The conversion of natural land to human-dominated land uses, causing habitat loss and biodiversity impacts. | LC-IMPACT Methodology |
| Land Use | The area of land occupied and time duration for production processes, measured in square meters per year, indicating biodiversity and habitat impacts. | https://www.iso.org/standard/37456.html |
| Leakage | Phenomenon where emission reduction activities in one location cause emissions to increase elsewhere, reducing the net climate benefit of the project. | https://unfccc.int/ |
| LEED | Leadership in Energy and Environmental Design – the world’s most widely used green building rating system with over 195,000 certified buildings. | https://www.usgbc.org/leed |
| Life Cycle Impact Assessment (LCIA) | The LCA phase that evaluates potential environmental impacts by converting inventory data into impact category indicators using characterization factors. | https://www.iso.org/standard/37456.html |
| Life Cycle Interpretation | The final LCA phase where results are analyzed, conclusions drawn, and recommendations made based on inventory and impact assessment findings. | https://www.iso.org/standard/37456.html |
| Life Cycle Inventory (LCI) | The data collection and modeling phase that quantifies all inputs (energy, materials) and outputs (emissions, waste) for the product system. | https://www.iso.org/standard/37456.html |
| Life Cycle Inventory Database | A comprehensive collection of quantified environmental data documenting inputs and outputs for thousands of industrial processes used in LCA. | https://ecoinvent.org |
| Machine Learning in LCA | Application of AI algorithms to automate data collection, predict environmental impacts, and discover patterns in sustainability data to improve LCA efficiency. | Academic literature on ML-LCA |
| Marine Eutrophication | Nutrient enrichment in marine coastal environments leading to algal blooms, dead zones, and marine ecosystem degradation. | https://www.noaa.gov/ |
| Mass Allocation | An allocation method that divides environmental impacts between co-products based on their relative mass or physical quantities. | https://www.iso.org/standard/37456.html |
| Material Flow Analysis (MFA) | A quantitative method to track flows and stocks of materials within a defined system, helping identify opportunities for waste reduction. | Academic literature on MFA |
| Midpoint Indicators | Environmental impact measures at intermediate points in the cause-effect chain, focusing on specific problems like global warming potential or ozone depletion. | UNEP/SETAC Guidelines |
| Mineral Depletion | The depletion of mineral resources from the Earth’s crust, measured against global reserves and extraction rates. | CML-IA Methodology |
| Nature-Based Solutions | Actions that protect, restore, or sustainably manage ecosystems to address climate change while delivering benefits for biodiversity and human well-being. | https://www.iucn.org/ |
| Net Zero | Achieving balance between greenhouse gas emissions produced and removed from atmosphere, typically requiring 90-95% emission reductions with remaining emissions offset. | https://unfccc.int/ |
| Normalization | An optional step that relates impact assessment results to reference values to help interpret the relative magnitude of impacts. | https://www.iso.org/standard/37456.html |
| OpenLCA | Free, open-source life cycle assessment software providing professional LCA modeling capabilities with access to multiple databases including ecoinvent. | https://www.openlca.org |
| Ozone Depletion Potential (ODP) | The relative ability of a substance to destroy stratospheric ozone compared to CFC-11, which has an ODP of 1.0. | https://www.epa.gov/ozone-layer-protection |
| Particulate Matter Formation | The creation of fine particles in the atmosphere that can cause respiratory health problems and visibility reduction. | https://www.epa.gov/pm-pollution |
| PCF | Product Carbon Footprint – calculation of all greenhouse gas emissions generated throughout a product’s entire life cycle, measured in CO2 equivalents. | https://ghgprotocol.org/ |
| Permanence | Requirement that carbon storage or emission reductions are maintained over the long term, preventing reversals that would undermine climate benefits. | https://unfccc.int/ |
| Photochemical Oxidation (POCP) | The formation of ground-level ozone and smog through reactions of volatile organic compounds and nitrogen oxides in sunlight. | https://eplca.jrc.ec.europa.eu/ |
| Process-Based LCA | The traditional bottom-up LCA approach that models environmental impacts by connecting specific unit processes representing individual activities in a product’s life cycle. | https://ecoinvent.org |
| Product Stewardship | A shared responsibility approach where all stakeholders in a product’s lifecycle work together to reduce environmental impacts. | https://www.epa.gov/smm/ |
| Product System | The collection of unit processes connected by flows of intermediate products that performs one or more defined functions within the LCA boundary. | https://www.iso.org/standard/37456.html |
| PUE | Power Usage Effectiveness – data center efficiency metric calculated by dividing total facility energy by IT equipment energy, with values closer to 1.0 indicating higher efficiency. | Data center industry standards |
| REDD+ | Reducing Emissions from Deforestation and Forest Degradation – UN mechanism providing financial incentives for developing countries to reduce forest emissions. | https://unfccc.int/ |
| Reference Flow | The amount of product needed to fulfill the functional unit, expressed in physical quantities that flows through the system. | https://www.iso.org/standard/37456.html |
| Resource Depletion | The consumption of natural resources faster than they can be replenished, threatening long-term availability for future generations. | UNEP Resource Panel Reports |
| Reverse Logistics | Supply chain processes dedicated to the backward flow of products and materials for maintenance, repair, reuse, refurbishment, remanufacturing, recycling, or disposal. | Ellen MacArthur Foundation |
| SASB | Sustainability Accounting Standards Board – provides industry-specific standards for companies to disclose financially material sustainability information to investors. | https://www.sasb.org |
| SBTi | Science Based Targets initiative – enables companies to set greenhouse gas emissions reduction targets aligned with climate science and Paris Agreement goals. | https://sciencebasedtargets.org |
| Science-Based Targets | Emission reduction targets that align with what climate science deems necessary to meet Paris Agreement goals of limiting warming to 1.5°C. | https://sciencebasedtargets.org |
| Scope 1 Emissions | Direct greenhouse gas emissions from sources owned or controlled by an organization (e.g., fuel combustion in boilers, company vehicles). | https://ghgprotocol.org/ |
| Scope 2 Emissions | Indirect emissions from purchased electricity, steam, heat, or cooling consumed by the organization but generated off-site. | https://ghgprotocol.org/ |
| Scope 3 Emissions | All other indirect emissions in the organization’s value chain, including upstream and downstream activities like purchased goods and business travel. | https://ghgprotocol.org/ |
| Sensitivity Analysis | The systematic evaluation of how changes in key assumptions, data, or methods affect LCA results to test the robustness of conclusions. | https://www.iso.org/standard/37456.html |
| SimaPro | Professional life cycle assessment software that enables sustainability experts to model environmental impacts and create ISO-compliant LCA studies. | https://simapro.com |
| Software Carbon Intensity (SCI) | An international standard (ISO/IEC 21031:2024) measuring the rate of carbon emissions from software applications per functional unit. | https://greensoftware.foundation |
| Spatial Boundary | The geographical scope of the LCA, determining which locations and regional characteristics are included in the assessment. | https://www.iso.org/standard/37456.html |
| Stratospheric Ozone Depletion | The destruction of the protective ozone layer in the upper atmosphere, increasing harmful UV radiation reaching Earth’s surface. | Montreal Protocol Assessment Reports |
| Supply Chain Emissions | Greenhouse gas emissions generated across a company’s value chain by suppliers and customers, typically representing the largest portion of Scope 3 emissions. | https://carbonchain.com/ |
| Sustainability Reporting Software | Integrated software solutions enabling organizations to collect ESG data, calculate environmental impacts, and generate stakeholder reports aligned with frameworks. | https://www.workiva.com/ |
| Sustainable Manufacturing | Production processes that minimize negative environmental impacts while conserving energy and natural resources, ensuring economic viability and worker safety. | https://www.epa.gov/ |
| System Boundary | The definition of which processes, inputs, and outputs are included or excluded from the LCA, determining the limits of the system being investigated. | https://www.iso.org/standard/37456.html |
| System Expansion | An allocation avoidance method that expands the product system to include additional functions, eliminating the need for impact allocation. | https://www.iso.org/standard/37456.html |
| TCFD | Task Force on Climate-related Financial Disclosures – framework for climate-related financial risk disclosure covering governance, strategy, risk management, and metrics. | https://www.fsb-tcfd.org |
| Technological Boundary | The definition of which technologies, processes, and infrastructure are included within the LCA system boundary. | https://www.iso.org/standard/37456.html |
| Temporal Boundary | The time-related scope of the LCA, defining the time period over which impacts are assessed and when they occur. | https://www.iso.org/standard/37456.html |
| Terrestrial Eutrophication | Nitrogen deposition on land causing changes in plant species composition and reducing biodiversity in natural terrestrial ecosystems. | ReCiPe 2016 Methodology |
| Uncertainty Analysis | The assessment of how data quality, variability, and methodological choices influence the reliability and confidence of LCA results. | https://www.iso.org/standard/37456.html |
| Voluntary Carbon Market | Market where companies, organizations, and individuals purchase carbon credits voluntarily to offset emissions beyond regulatory requirements. | https://unfccc.int/ |
| Waste-to-Energy | Recovery processes that convert non-recyclable waste materials into electricity, heat, or fuel through thermal treatments, providing renewable energy while reducing landfill waste. | https://www.epa.gov/smm/ |
| Water Footprint | The total volume of freshwater used to produce goods and services consumed by an individual, community, or business throughout the entire production process. | https://www.waterfootprint.org/ |
| Water Scarcity | The consumption of water in regions where water resources are limited, affecting local communities and ecosystems. | AWARE Method, UNEP-SETAC |
| Weighting | An optional step that assigns relative importance values to different impact categories to create a single aggregated environmental score. | https://www.iso.org/standard/37456.html |
Business Implementation Notes:
- This glossary covers 115 essential terms across six key areas: LCA methodology, environmental impacts, carbon accounting, supply chain sustainability, standards & certifications, and data & tools
- All definitions are sourced from authoritative organizations including ISO, EPA, GHG Protocol, and leading academic institutions
- Terms are optimized for business professionals working on decarbonization initiatives and sustainability reporting
- Source links provide direct access to authoritative references for deeper technical guidance and SEO backlinking value

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