Scottish Budget 2024 to 2025: high level carbon assessment

2. High-level Carbon Assessment of 2024-25 Budget

2.1. Portfolio Expenditure and Associated Emissions

19. Total estimated emissions attributable to the 2024-25 Budget are 8.6 Mt CO2-equivalent. Table 2 shows overall spend and emissions by the individual portfolios and how these emissions arise. Emissions remain broadly proportional to spend, except for Rural Affairs, Land Reform and Islands, where emissions per unit of spend are higher. NHS Recovery, Health and Social Care, Deputy First Minister and Finance, and Social Justice are the largest Budget items, and therefore are associated with the highest emissions.

20. Expenditure is shown net of income, in line with the Budget, and emissions are calculated on that basis.^[4]

21. Direct emissions account for 34 per cent of the total; indirect emissions for a further 17 per cent. Around 48 per cent of emissions attributable to Budget expenditure are generated outside Scotland and are embedded in imported goods and services.

2.2. Emissions by Industry Source

22. Total emissions broken down by industry are shown in Figure 1. Some 28 per cent of the Scottish Government's carbon footprint is caused by the use of Energy, Water and Waste, followed by Manufacturing (20 per cent) and Agriculture, Forestry and Fishing (18 per cent).

2.3. Domestic and Imported Emissions

23. In addition to direct and indirect domestic emissions, the assessment takes into account the emissions generated outside of Scotland in the production of imported goods purchased as a result of Government spending (e.g. food, machinery, IT equipment).

24. Figure 2c demonstrates that imported emissions make up around a half of emissions from Budget spend. There is however a difference between the sources of domestic and imported emissions. Expenditure on Energy, Water and Waste accounts for the largest share of domestic emissions (followed by Agriculture, Forestry and Fishing), while expenditure on Manufacturing generates the largest share of imported emissions (followed by Energy, Water and Waste).

Figure 2: Domestic and Imported Emissions - All portfolios