What changes with the new GHG Protocol standard for the agri sector and CO₂ removals?

Did you know that starting in 2027, more than one-fifth of global emissions associated with land use — many of which have so far been reported in a fragmented manner or under less rigorous methodological requirements — will be subject to a much stricter framework? The GHG Protocol has just changed the rules of the game for the agri-food sector.

With the publication of the Land Sector and Removals Standard v1.0, approved in October 2025 and effective as of January 1, 2027, a dedicated corporate standard is established for the first time to account for land-sector emissions and integrate CO₂ removals into greenhouse gas inventories.

The change is structural. The agriculture and land-use sector accounts for approximately 22% of global net emissions, while terrestrial ecosystems absorb nearly 30% of annual anthropogenic CO₂. Until now, the absence of a harmonized framework led to methodological inconsistencies, risks of double counting, and reputational exposure.

In this article, we analyze the main updates introduced by the standard, which companies it applies to, and its strategic implications for climate reporting from 2027 onward.

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A Complementary Standard, Not a Standalone One

The new framework does not replace existing standards. It serves as a supplement to the Corporate Standard and the Scope 3 Standard, which remain mandatory.

Its primary objective is to strengthen annual entity-level accounting, distinguishing it from the Product Standard.

In other words, this is not a project-based or crediting standard — it is a corporate inventory standard.

The document also clarifies that it:

• Does not regulate the certification or verification of carbon credits.
• Does include requirements to prevent double counting when credits are used.
• Requires consistency with the principles of accuracy, completeness, transparency, and permanence.

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Who Does the Land Sector and Removals Standard Apply To?

The standard is mandatory for companies that:

• Have significant activities related to land use in their operations or value chain.
• Report or intend to report CO₂ removals or carbon capture with geological storage.

Affected sectors include:

• Agricultural and agri-food companies.
• Companies that purchase or sell large volumes of agricultural commodities.
• Bioenergy producers.
• Companies managing land to increase carbon storage.
• Operators of CO₂ removal technologies (DAC, BECCS, geological storage).

A key point: Version 1.0 does not apply to forestry, although it may be incorporated in future revisions.

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Key Updates Introduced by the Standard

1. Formal Integration of Removals into Corporate Inventories

For the first time, the standard establishes specific requirements for:

• Land management removals.
• Technological carbon dioxide removals (TCDR).
• Geological CO₂ capture and storage.

These categories are optional, but if reported, they must comply with strict methodological requirements.

2. Detailed Accounting for Land Use Change (LUC)

The standard introduces a hierarchy of methods to calculate land use change emissions, prioritizing:

• Management unit–level approaches (LMU-level dLUC).
• Jurisdictional approaches.
• Statistical methods when sufficient spatial data is not available.

Greater supply-chain traceability and spatial data use are required where available.

3. New Mandatory Inventory Categories

Companies will be required to include, among other elements:

• Emissions from land use change.
• Net biogenic CO₂ emissions.
• Production emissions associated with land management.
• Carbon leakage.
• Emissions from biogenic products (CH₄, N₂O, and in some cases CO₂).

Additionally, companies must apply the most recent IPCC 100-year Global Warming Potentials (GWPs).

4. Strengthened Traceability and Chain-of-Custody Requirements

The standard introduces specific requirements related to:

• Traceability systems.
• Consistent allocation methods.
• Justification of sourcing regions.

The ability to identify the origin of raw materials becomes a central component of reporting.

5. Enhanced Reporting and Assurance Requirements

Companies must:

• Disaggregate emissions by categories and subcategories.
• Disclose whether external assurance has been obtained.
• Justify the absence of verification if not conducted.

External assurance is recommended at least at a limited level.

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Strategic Implications for Companies

Beyond technical compliance, the standard carries significant strategic implications:

• Increased scrutiny of agricultural supply chains.
• Higher expectations for spatial data and traceability.
• Greater professionalization of technological removals reporting.
• Reduced reputational risk related to greenwashing and improperly accounted credits.

It also anticipates a regulatory environment in which FLAG (Forest, Land and Agriculture) emissions will play an increasingly important role in corporate climate targets.

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What Should Companies Do Now?

With the standard taking effect in 2027, companies exposed to land-sector activities should begin to:

• Assess whether their activities are considered “significant.”
• Review supply-chain traceability systems.
• Analyze the availability of spatial data.
• Prepare for methodological transition in LUC accounting.
• Define whether they will report removals.

The technical complexity of the standard suggests that many organizations will require specialized tools to properly integrate these new requirements into their corporate inventories.

Companies that act early will not only reduce regulatory and reputational risks, but also enhance the strategic quality of their climate data.

Is your company prepared to integrate land-sector emissions and removals into its inventory before 2027?

At Manglai, we help industrial and agri-food companies automate their emissions inventories and adapt to new GHG Protocol standards.

Request a personalized demo.

Get ahead of the new global climate reporting framework.

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Frequently Asked Questions About the Land Sector and Removals Standard

Is this standard mandatory?‍

Yes, for companies with significant land-sector activities or that report CO₂ removals within their corporate inventory.

Does it apply to forestry companies?‍

Not in version 1.0. Forestry is currently outside the scope, though it may be included in future versions.

Does it regulate carbon credits?‍

No. The standard does not regulate credit certification or verification, although it establishes requirements to prevent double counting.

When does it enter into force?‍

The standard becomes effective on January 1, 2027.

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