The following guidelines for T&D emission losses should be followed to help avoid double counting. Note that published electricity grid emission factors do not generally include T&D losses.
For a company that purchases its electricity from a T&D system, but does not own any part of the system, T&D losses should not be included in a Scope 2 inventory. They may be included in a Scope 3 inventory labeled “generation of electricity that is consumed in a T&D system”.
For a company that purchases its electricity and transports it through a T&D system, T&D losses should be included in Scope 2 emissions, since the losses are a portion of direct emissions from the “use” (loss) of purchased electricity.
For a company that owns the T&D system and also produces the electricity that runs through it, T&D losses should be included in Scope 1 emissions. This is because the emissions are a direct emission resulting from the production of a good.