CINIF Unveils Free GHG Calculator for SMEs Ahead of 2026 Rules

The Mexican Council for Financial and Sustainability Reporting Standards (CINIF) has launched a free, publicly accessible Greenhouse Gas (GHG) Emissions Calculator designed for small and medium-sized enterprises (SMEs) across 80 economic sectors. The tool helps companies calculate Scope 1 (direct) and Scope 2 (indirect) emissions, as well as total and renewable energy consumption. It was developed with technical support from the German Agency for International Cooperation (GIZ), the Mexican Institute of Public Accountants (IMCP), and several national accounting organizations. 

The calculator addresses the need created by the 2024 introduction of Mexico’s Sustainability Reporting Standards (NIS), which requires all Mexican companies to disclose sustainability indicators starting in 2026, using data from the 2025 fiscal year. The tool is designed to guide SMEs through compliance with all 30 NIS Basic Sustainability Indicators (IBSO) in a standardized, user-friendly format.

The process consists of five steps:

1. Identify emissions sources, including all industrial activities, processes, equipment, and machinery.

2. Collect activity data, such as fuel, electricity, and raw material consumption.

3. Apply emission factors from a pre-loaded database.

4. Standardize measurements using pre-configured conversion formulas.

5. Convert to tCO₂e (tons of CO₂ equivalent) for final reporting.

Starting in 2026, failure to complete these calculations and report NIS-compliant sustainability information will result in penalties ranging from fines to permanent business closure and administrative arrest. While companies may publish 2025 data in the footnotes of their 2026 financial statements, data for the 2026 fiscal year must appear in a standalone sustainability report.

Elsa Beatriz García, Chair, CINIF’s Sustainability Standards Board, said the tool provides “a clear path for Mexican businesses to measure their GHG emissions and move toward more rigorous, transparent compliance”. She emphasized its importance in helping SMEs integrate sustainability into business reporting and value creation.

Bernardo Rivadeneyra, Chair of the Corporate Governance Commission, Business Coordinating Council (CCE), praised the initiative as an opportunity “to drive transparency and guide businesses toward a low-carbon economy.”

The launch aligns with broader efforts to strengthen sustainability reporting in Mexico. On Jan. 28, 2025, the government published a decree requiring issuers of securities on Mexican stock exchanges to prepare annual sustainability reports aligned with the IFRS Sustainability Disclosure Standards (IFRS S1 and S2) issued by the International Sustainability Standards Board (ISSB). This requirement takes effect in 2026 for fiscal year 2025, with reports filed separately from financial statements.

The ISSB, established in 2021, introduced IFRS S1 and S2 in 2023. IFRS S1 sets general requirements for disclosing sustainability-related risks and opportunities that could affect financial performance, cash flow, or access to capital. It covers governance, strategy, risk management, and metrics and targets, providing guidance on identifying and reassessing material ESG risks across the value chain.

IFRS S2 builds on this framework with a specific focus on climate-related issues. It requires companies to disclose how physical and transition risks—and related opportunities—impact their operations and financial outlook. While IFRS S2 addresses governance, strategy, and risk management, it places particular emphasis on metrics such as greenhouse gas emissions (Scopes 1, 2, and relevant Scope 3), exposure to climate risks, capital allocation to climate strategies, internal carbon pricing, and executive compensation linked to climate goals.