Boundaries for a GHG inventory include both the organizational boundaries and the operational
boundaries. Organizational boundaries refer to defining which facilities are recognized as part of
organization conducting the inventory and should be included within this inventory. Two approaches to
defining organizational boundaries are by control and according to equity share. Under the control
approach, an organization looks at facilities where it has authority to implement either financial or
operational policies, then accounts for all GHG emissions from facilities where it does have control.
Under the equity share approach, the organization accounts for emissions from all facilities in which it
has some equity interest (even a minority), but accounts for only a percentage of the total emissions
equal to the share it has in the particular facility or sub-entity.