Transforming Environmental Sustainability with Blockchain: EY Launches Ethereum-Based Platform for Carbon Emission Tracking
EY, a prominent professional services firm, has launched a new platform on the Ethereum blockchain that allows businesses to monitor their carbon emissions and the traceability of their carbon credits.
The announcement was made at the Global Blockchain Summit in London, where EY OpsChain ESG revealed that the platform is currently available in beta form on the EY Blockchain SaaS platform.
The system makes use of carbon emission tokens that were created by the InterWork Alliance, a standards organization that is supported by Microsoft and is a member of the Global Blockchain Business Council, of which EY is also a member.
In recent years, companies have utilized blockchain technology to keep track of various aspects of their operations, ranging from trade finance to food products. However, tracking carbon emissions and credits has become a particular focus for those involved in environmental and social governance, and EY has long advocated for the use of the public Ethereum blockchain to achieve this goal.
According to EY Global Blockchain Leader Paul Brody, the ESG chain developed by EY is founded on the idea that blockchains can serve as a bridge that connects business processes and global ecosystems beyond organizational boundaries.
The platform’s ability to trace and track emissions inventory through tokenization enables companies to associate their carbon output with specific product output.
Brody also noted that the use of carbon credit tokens, which can be either created or obtained from the market, offers businesses greater insight into their efforts to reduce carbon emissions.