---
title: Why is carbon emissions reporting important?
description: Understanding carbon emissions reporting is essential for real estate and financial institutions to track their impact and ensure data quality for sustainability goals.
image: https://netto.eco/hubfs/Data%20quality%20pcaf.png
---

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# Why is carbon emissions reporting important?

[![Alexander Sagen](https://netto.eco/hs-fs/hubfs/Alex.jpeg?width=40&height=40&name=Alex.jpeg)](https://netto.eco/en/the-library/author/alexander-sagen)

by [Alexander Sagen](https://netto.eco/en/the-library/author/alexander-sagen)

Carbon emissions reporting is a legal requirement for both commercial real-estate portfolio owners and bank loan portfolio managers. Practically, this entails tracking and reducing their carbon footprint as well as being able to prove the quality of the data they're reporting.

The [Partnership for Carbon Accounting Financials](https://netto.eco/en/blog/pcaf-data-quality-scores?hsLang=en)(PCAF) provides a standardized framework for financial institutions to measure and disclose the carbon emissions associated with their loans and investments and the associated data quality.

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