> ## Documentation Index
> Fetch the complete documentation index at: https://code.dcycle.io/llms.txt
> Use this file to discover all available pages before exploring further.

# Category 4: Products Used Emissions

> Overview of indirect GHG emissions from products and services purchased or acquired by your organization under ISO 14064-1

## Understanding Products Used Emissions

**Category 4** under ISO 14064-1 covers indirect GHG emissions from products and services purchased or acquired by your organization. This includes the cradle-to-gate emissions embedded in everything your organization buys, the disposal of waste generated, and long-lived capital assets.

```
┌─────────────────────────────────────────────────────────────────────────────────┐
│           CATEGORY 4: INDIRECT GHG EMISSIONS FROM PRODUCTS USED                 │
├─────────────────────────────────────────────────────────────────────────────────┤
│                                                                                 │
│  ┌─────────────────────┐  ┌─────────────────────┐  ┌─────────────────────────┐  │
│  │ 4.1 CAPITAL GOODS   │  │ 4.2 WASTE DISPOSAL  │  │ 4.3 PURCHASED GOODS     │  │
│  │                     │  │                     │  │ & SERVICES              │  │
│  ├─────────────────────┤  ├─────────────────────┤  ├─────────────────────────┤  │
│  │ • Buildings         │  │ • Landfill          │  │ • Raw materials         │  │
│  │ • Machinery         │  │ • Incineration      │  │ • Components            │  │
│  │ • Equipment         │  │ • Recycling         │  │ • Office supplies       │  │
│  │ • Vehicles          │  │ • Composting        │  │ • Professional          │  │
│  │ • IT infrastructure │  │ • Transport         │  │   services              │  │
│  └─────────────────────┘  └─────────────────────┘  └─────────────────────────┘  │
│                                                                                 │
│           Cradle-to-gate emissions of all products used by your organization   │
│                                                                                 │
└─────────────────────────────────────────────────────────────────────────────────┘
```

## Category 4 Subcategories

ISO 14064-1 Category 4 is divided into three subcategories:

<CardGroup cols={3}>
  <Card title="4.1 Capital Goods" icon="building" href="/guides/emissions/iso-14064-category-4-1-capital-goods">
    Emissions from purchased capital assets with extended useful life: buildings, machinery, vehicles, IT infrastructure.
  </Card>

  <Card title="4.2 Waste Disposal" icon="trash" href="/guides/emissions/iso-14064-category-4-2-waste">
    Emissions from disposal and treatment of solid and liquid waste generated at your facilities.
  </Card>

  <Card title="4.3 Purchased Goods" icon="bag-shopping" href="/guides/emissions/iso-14064-category-4-3-purchased-goods">
    Emissions from purchased goods and services consumed within the reporting year.
  </Card>
</CardGroup>

## Key Differences Between Subcategories

| Aspect           | 4.1 Capital Goods                         | 4.2 Waste Disposal              | 4.3 Purchased Goods                      |
| ---------------- | ----------------------------------------- | ------------------------------- | ---------------------------------------- |
| **Type**         | Capital expenditure (CAPEX)               | Waste treatment                 | Operational expenditure (OPEX)           |
| **Timeframe**    | Multi-year useful life                    | Generated during operations     | Consumed within year                     |
| **Examples**     | Buildings, machinery, fleet vehicles      | Landfill, recycling, composting | Raw materials, services, supplies        |
| **Dcycle API**   | `/purchases` with `expense_type: "capex"` | `/facilities/{id}/wastes`       | `/purchases` with `expense_type: "opex"` |
| **Amortization** | Can be spread over useful life            | No amortization                 | Full in year of purchase                 |

<Note>
  **Why Category 4 Matters**

  Category 4 typically represents **40-80% of an organization's total GHG emissions**. For manufacturing companies, purchased goods and capital assets often dominate the carbon footprint. Accurate accounting of Category 4 is essential for:

  * Understanding your true environmental impact
  * Identifying emission reduction opportunities
  * Engaging suppliers on decarbonization
  * Meeting disclosure requirements (CDP, CSRD, etc.)
</Note>

## Quick Start by Subcategory

### Category 4.1: Capital Goods

Track emissions from long-lived assets purchased by your organization:

```python theme={"theme":{"light":"github-light","dark":"github-dark"}}
# Record a capital good (machinery)
capital_good_data = {
    "description": "CNC Machining Center - Model X500",
    "sector": "Manufacture of machinery and equipment n.e.c.",
    "product_name": "Machinery and equipment n.e.c.",
    "quantity": 500000,  # €500,000 acquisition cost
    "unit_id": eur_unit['id'],
    "country": "DE",
    "purchase_date": "2024-03-15",
    "expense_type": "capex",  # ⚠️ This makes it Category 4.1
    "purchase_type": "spend_based",
}

response = requests.post(
    "https://api.dcycle.io/v1/purchases",
    headers=headers,
    json=capital_good_data,
)
```

[→ Full Capital Goods Guide](/guides/emissions/iso-14064-category-4-1-capital-goods)

### Category 4.2: Waste Disposal

Track emissions from waste generated at your facilities:

```python theme={"theme":{"light":"github-light","dark":"github-dark"}}
# Record waste disposal
waste_data = {
    "facility_id": facility_id,
    "ler_code": "150101",       # Paper and cardboard packaging
    "rd_code": "R03",           # Recycling
    "quantity": 500,            # 500 kg
    "start_date": "2024-01-01",
    "end_date": "2024-03-31",
    "description": "Office paper and cardboard waste - Q1 2024",
    "total_km_to_waste_center": 25,
}

response = requests.post(
    f"https://api.dcycle.io/v1/facilities/{facility_id}/wastes",
    headers=headers,
    json=waste_data
)
```

[→ Full Waste Disposal Guide](/guides/emissions/iso-14064-category-4-2-waste)

### Category 4.3: Purchased Goods and Services

Track emissions from goods and services consumed within the year:

```python theme={"theme":{"light":"github-light","dark":"github-dark"}}
# Record a purchase (spend-based)
purchase_data = {
    "description": "IT consulting services Q1 2024",
    "sector": "Computer programming, consultancy and related activities",
    "product_name": "Computer programming, consultancy and related services",
    "quantity": 15000,  # €15,000 spent
    "unit_id": eur_unit['id'],
    "country": "ES",
    "purchase_date": "2024-03-15",
    "expense_type": "opex",  # ⚠️ This makes it Category 4.3 (default)
    "purchase_type": "spend_based",
}

response = requests.post(
    "https://api.dcycle.io/v1/purchases",
    headers=headers,
    json=purchase_data,
)
```

[→ Full Purchased Goods Guide](/guides/emissions/iso-14064-category-4-3-purchased-goods)

## Calculation Methods Overview

All Category 4 subcategories support multiple calculation methods:

```
┌────────────────────────────────────────────────────────────────────────────────────────┐
│                            DATA QUALITY HIERARCHY                                       │
├────────────────────────────────────────────────────────────────────────────────────────┤
│                                                                                        │
│  Level 1: Supplier-Specific Data ─────────────────────────────────── HIGHEST ACCURACY │
│  ├─ EPDs, Product Carbon Footprints, Supplier PCFs                                    │
│  ├─ Accuracy: ±5-15%                                                                  │
│  └─ Use: custom_emission_factor_id                                                    │
│                                                                                        │
│  Level 2: Activity-Based Data ─────────────────────────────────────── MEDIUM ACCURACY │
│  ├─ Product category + physical quantity (kg, m³, units)                              │
│  ├─ Accuracy: ±20-40%                                                                 │
│  └─ Use: quantity + unit_id + sector/product_name                                     │
│                                                                                        │
│  Level 3: Spend-Based Data ─────────────────────────────────────────── LOWER ACCURACY │
│  ├─ Only monetary value + category                                                    │
│  ├─ Accuracy: ±50-100%                                                                │
│  └─ Use: quantity (€) + unit_id (€) + sector/product_name                             │
│                                                                                        │
└────────────────────────────────────────────────────────────────────────────────────────┘
```

## Emission Factor Sources

| Subcategory             | Primary Source                                           | Secondary Sources        |
| ----------------------- | -------------------------------------------------------- | ------------------------ |
| **4.1 Capital Goods**   | Exiobase 3.8.2 (spend-based), Ecoinvent (activity-based) | Manufacturer EPDs        |
| **4.2 Waste Disposal**  | IPCC Guidelines for National GHG Inventories             | National waste databases |
| **4.3 Purchased Goods** | Exiobase 3.8.2 (spend-based), Ecoinvent (activity-based) | Supplier EPDs/PCFs       |

## Query Category 4 Emissions

Get a complete picture of your Category 4 emissions:

```python theme={"theme":{"light":"github-light","dark":"github-dark"}}
import requests
import os

headers = {
    "Authorization": f"Bearer {os.getenv('DCYCLE_API_KEY')}",
    "Content-Type": "application/json",
    "x-organization-id": os.getenv("DCYCLE_ORG_ID"),
    "x-user-id": os.getenv("DCYCLE_USER_ID"),
}

# Query Category 4.1 (Capital Goods)
capital_goods = requests.get(
    "https://api.dcycle.io/v1/purchases",
    headers=headers,
    params={
        "expense_type": "capex",
        "start_date": "2024-01-01",
        "end_date": "2024-12-31",
    },
).json()

# Query Category 4.2 (Waste)
wastes = requests.get(
    f"https://api.dcycle.io/v1/facilities/{facility_id}/wastes",
    headers=headers,
    params={
        "start_date": "2024-01-01",
        "end_date": "2024-12-31",
    },
).json()

# Query Category 4.3 (Purchased Goods)
purchased_goods = requests.get(
    "https://api.dcycle.io/v1/purchases",
    headers=headers,
    params={
        "expense_type": "opex",
        "start_date": "2024-01-01",
        "end_date": "2024-12-31",
    },
).json()

# Calculate totals
cat41_total = sum(p['co2e'] for p in capital_goods.get('items', []))
cat42_total = sum(w.get('co2e', 0) for w in wastes.get('items', []))
cat43_total = sum(p['co2e'] for p in purchased_goods.get('items', []))
cat4_total = cat41_total + cat42_total + cat43_total

print(f"📊 ISO 14064-1 Category 4: Products Used (2024)")
print(f"")
print(f"   4.1 Capital Goods:    {cat41_total:>12,.0f} kg CO₂e ({cat41_total/cat4_total*100:.1f}%)")
print(f"   4.2 Waste Disposal:   {cat42_total:>12,.0f} kg CO₂e ({cat42_total/cat4_total*100:.1f}%)")
print(f"   4.3 Purchased Goods:  {cat43_total:>12,.0f} kg CO₂e ({cat43_total/cat4_total*100:.1f}%)")
print(f"   ─────────────────────────────────────────")
print(f"   TOTAL CATEGORY 4:     {cat4_total:>12,.0f} kg CO₂e")
```

## Best Practices

<Tip>
  **ISO 14064-1 Category 4 Best Practices**

  1. **Start with spend-based**: Get comprehensive coverage quickly, then improve accuracy
  2. **Identify hotspots**: Focus on top 10-20 emission sources for data improvement
  3. **Engage suppliers**: Request EPDs/PCFs from key suppliers (top 20% by emissions)
  4. **Track waste streams**: Ensure all waste types are captured with treatment methods
  5. **Use activity data**: Provide physical quantities when available for better accuracy
  6. **Review annually**: Update emission factors and methodologies yearly
</Tip>

## Comparison with GHG Protocol

ISO 14064-1 Category 4 maps to several GHG Protocol Scope 3 categories:

| ISO 14064-1                    | GHG Protocol Scope 3                       |
| ------------------------------ | ------------------------------------------ |
| Category 4.1 (Capital Goods)   | Category 2 (Capital Goods)                 |
| Category 4.2 (Waste Disposal)  | Category 5 (Waste Generated in Operations) |
| Category 4.3 (Purchased Goods) | Category 1 (Purchased Goods and Services)  |

## Next Steps

<CardGroup cols={2}>
  <Card title="Category 5: Products Sold" icon="store" href="/guides/emissions/iso-14064-category-5-products-sold">
    Account for emissions from product use by customers
  </Card>

  <Card title="Category 3: Transportation" icon="truck" href="/guides/emissions/iso-14064-category-3-transportation">
    Track transportation and business travel emissions
  </Card>

  <Card title="Back to ISO 14064 Tutorial" icon="arrow-left" href="/guides/emissions/iso-14064-tutorial">
    Return to the main ISO 14064 tutorial
  </Card>

  <Card title="Custom Emission Factors" icon="chart-line" href="/guides/advanced/custom-emission-factors">
    Create and manage supplier EPDs/PCFs
  </Card>
</CardGroup>
