Updated on: July 18, 2025

Common Roadblocks in Carbon Accounting and what we’ve learnt working with Indian Businesses

Across industries, carbon accounting is no longer a “nice to have.” From BRSR filings, to client disclosure requests to internal decarbonization plans, companies in India are being pulled into the net-zero conversation, whether or not they’re ready.

If you’re leading carbon accounting in your company today, chances are you’ve felt the chaos: files coming from all directions, inconsistent formats, missing data, unclear goals, and multiple frameworks breathing down your neck.

Over the past year, our team at Klimates has worked hands-on with companies across different industries to structure their GHG inventories, often from scratch. And despite differences in size, sector, or maturity, the struggles follow a familiar pattern.

In this article we discuss common roadblocks you may encounter as you begin the carbon accounting process, what we’ve learned and the steps you can take to overcome them.

Overcoming the Common Roadblocks

We’ve worked closely with all kinds of companies, from multi-entity enterprises with complex data systems to lean teams figuring it out for the first time. Across the board, our experts have seen a common set of hurdles that tend to slow things down. Here are the lessons we’ve learned, so your team can hit the ground running and stay ahead of the curve:

1

Roadblock 1 : Data is Everywhere and Nowhere at the same time

One of the most common bottlenecks we see? Data collection stalling before it even begins.

In many companies, there’s no clear master structure for sustainability data. Unlike financial reporting, where ledgers and owners are clearly defined, carbon data often sits scattered across procurement teams, facility managers, accounts departments, and external vendors. No one’s quite sure who owns what, and by the time data comes in, it’s often in completely different formats. Diesel purchases may show up in litres in one location, and in rupees in another. Electricity bills might be missing consumption figures altogether.

This lack of structure slows teams down massively and creates avoidable back-and-forths that eat into timelines and energy.

Lesson : Establish a Centralized System

Before you collect a single line of data, take time to build your structure. Define the entities, facilities, and data owners clearly. Standardize formats. Mirror the rigour you apply in financial systems. The effort upfront pays off, in speed, accuracy, and confidence later.

Without a clear structure, carbon data quickly turns chaotic. We’ve seen companies struggle with dozens of formats, unclear responsibilities, and scattered inputs making reporting a scramble and audits even harder.

That’s why a central system helps so much. It brings everything into one place, applies consistent rules, and keeps a full record of changes, so nothing slips through the cracks. Carbon Accounting Platforms like Klimates are built to do just that: help teams collect data the right way from day one, reduce rework, and stay ready for audits or disclosures whenever they come.

2

Roadblock 2 : Realizing too Late that you Needed More

Many teams start carbon accounting with just one goal in mind “let’s get the report done.”

But halfway through the process, someone asks:

  • “Can we also show this by product line?”
  • “Can we model the impact of a new energy contract?”
  • “Can we present facility-wise trends to the board?”
  • “ Can we pass third party audits ?”

And that’s when it hits: the data collected so far isn’t enough. It’s not detailed. It’s not structured. It wasn’t built for decisions.

Lesson : Understand your Goals from Start

This is one of the most common and costly mistakes: under-scoping your goals at the start. If you're only collecting data to meet a disclosure requirement, you risk missing the granularity needed for internal decarbonization, investor questions, or future audits.

That’s why the most resilient companies define their intent clearly upfront. Is your goal single (reporting only), or dual (audit ready reporting + reduction strategy)?

If it’s the latter, you’ll need to set up your data collection differently, with depth, traceability, and drill-downs by facility, supplier, or process.

3

Roadblock 3 : Sustainability teams doing everything alone

Sustainability teams are often lean, sometimes just one person wearing multiple hats. And carbon accounting is a cross-functional job. You need energy bills from Admin, freight data from Logistics, supplier info from Procurement, and clarity from Finance. But these teams have their own priorities and carbon data is not always one of them. The result? Sustainability teams end up chasing data, firefighting Excel sheets, and barely have time left to actually think or strategise.

Lesson : Internal Buys-ins and Structured Workflows

Resource limitations aren’t just about headcount, they’re about ownership and systems. When roles aren’t clearly defined, and data isn’t centralized, the burden falls on a few individuals.

The best way forward is twofold:

  • Internal buy-in: Get leadership support early, so that department heads know this is a shared responsibility, not an ESG team side task.
  • Tech-enabled workflows: Use systems that reduce manual effort, track data ownership, and allow collaboration across teams not just email follow-ups and shared drives.

When teams feel supported the process becomes faster, more structured, and far less frustrating.

4

Roadblock 4 : Getting Stuck in the Disclosure Maze

A lot of teams begin their carbon accounting journey because they need to submit something — whether it's a BRSR report, a CDP response, or a new supplier questionnaire. But once you actually sit down to fill these, things start to get messy. Each one asks for slightly different formats, different assumptions, or different baselines. You end up digging through old spreadsheets, trying to remember which method you used last year, or scrambling to create an audit trail from scratch. Before you know it, the focus shifts from building a good sustainability story to just getting through the forms.

Lesson : Leverage Technology

The confusion isn’t just about regulations, it’s about not having a system that can handle them properly. The right software can do a lot of the heavy lifting here. Platforms built for carbon accounting and sustainability reporting already have updated regulations built in, along with the right calculation methods, emission factors, and audit trails in the background. They come with ready-made formats and clear instructions that reduce second-guessing.

It makes the process faster, cleaner, and gives you confidence that your numbers will hold up whether it’s for your board or an external review.

Turning Carbon Accounting into a Business Advantage

Climate-related risks aren’t slowing down, and neither are expectations from regulators, investors, and customers. Companies that treat carbon accounting as a strategic tool, not just a compliance checkbox, are better equipped to make informed decisions, meet disclosure requirements with confidence, and unlock real opportunities for efficiency and growth.

At Klimates, we’ve built our platform not as mere tool but a complete ERP like system, to automate the heavy lifting, keep you aligned with evolving regulations, and make your emissions data usable for actual business strategy. Whether you're just starting or scaling up, we're here to make carbon management one less thing you have to worry about.

Let’s talk, Book a Demo and see how Klimates can work for you.

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