Scope 3 emissions refer to the indirect greenhouse gas (GHG) emissions that occur in a company’s value chain, both upstream and downstream, excluding Scope 1 (direct emissions) and Scope 2 (indirect emissions from purchased energy). These emissions often represent the largest portion of a company’s carbon footprint and include activities such as purchased goods and services, transportation, waste disposal, and product use. Decentralized reporting of Scope 3 emissions involves collecting and managing emissions data across various independent entities within the value chain rather than relying on a centralized system. This approach can improve data accuracy and completeness by engaging suppliers, customers, and other stakeholders directly. However, it presents challenges such as data consistency, verification difficulties, and increased complexity in coordination. Effective decentralized reporting requires standardized methodologies, clear communication, and technology platforms that facilitate transparent data sharing. It empowers organizations to better understand and reduce their full value chain emissions, driving more comprehensive climate action. Overall, combining Scope 3 emissions accounting with decentralized reporting enhances corporate sustainability efforts and supports regulatory compliance and stakeholder transparency.