The carbon footprint represents the amount of greenhouse gas emissions (expressed as the equivalent of CO₂e) associated with the production and consumption of goods and services. The average EU citizen does not "see" these emissions in their everyday purchases, but every euro spent will indirectly contribute to a certain amount of CO₂e released into the atmosphereTherefore, methodologies have been developed that assign carbon footprint to expenses by category – for example, fintech solutions like Ecolytiq rely on public statistics on household consumption and environmental data to calculate emissions per €1 of spending for various sectorsThis so-called "spend-based" method (expenditure-based method) uses extended input-output analyses: the carbon footprint of entire supply chains is taken into account and the emission "intensity" is calculated in the form of kg CO₂e per euro spent in that category.

For example, total annual EU greenhouse gas emissions divided by total household expenditure in the EU gives an average a value of around 0.7 kg CO₂e per €1 consumer spending. In reality, however, values vary significantly by type of product or serviceA euro spent on petrol for the car will have a different carbon footprint than a euro spent on a train ticket; a euro spent on a steak will have a greater impact on the climate than a euro spent on vegetables. The following analysis represents average carbon footprint values for €1 for the main categories of consumption of the average European, compiled on the basis of available data (ADEME, Ecolytiq, Wuppertal Institute and others). This concerns indicative diameters, which are based on a combination of all purchases in a given category (the methodology uses average emissions per unit of expenditure according to the economy's input-output tables). The actual carbon footprint of a particular item may vary, but these averages allow you to compare which areas of consumption are emitting the most. more difficult.

Carbon footprint per €1 by consumption category

The table below shows the estimates average emissions in kg CO₂e per €1 of expenditure in each of the main categories of consumption of the average EU citizen. The values are rounded and serve to compare the emission intensity of the categories:

(Note: This is about emission intensity – kg eq. CO₂ per €1 – not absolute emissions. The absolute annual carbon footprint depends on the amount of expenditure. The values are approximate averages for the EU around 2020; there may be differences in individual EU countries due to different energy mixes, economic structures and consumption habits.)

Explaining the differences between categories

Comparison of emission intensity of consumer categories. The category with the highest carbon intensity on average is Transportation and travelwhere €1 of expenditure is estimated to generate up to ~1.3 kg CO₂eThe reason is that a large part of transport spending goes to fossil fuels (e.g. refueling with petrol or diesel directly leads to CO₂ emissions of ~2.3 kg per litre) and air transport, which has an extremely high carbon footprint per euro spent (relatively cheap airline tickets "produce" a lot of CO₂). Wealthier households spend more on air travel and individual transport, which increases their average intensity per euro. Category Electronics and appliances is also very emission-intensive (~1 kg CO₂e/€) because it includes the production of electronics, appliances and household equipment – these are industrial products (often imported from countries with coal-fired power plants) with a high energy intensity of production in terms of their price. For comparison, the average intensity of all expenditure is ~0.7 kg CO₂e/€ (also shown as Average in the chart above).

Other important categories such as Food and drinks a Housing (including energy) show medium-high values (approx. 0.8–0.9 kg CO₂e/€). Food are among the largest components of the personal carbon footprint – accounting for ~20–25 % of emissions of the average European – mainly due to production of meat and dairy products, which is carbon intensive. On average, a euro for food or groceries means less than a kilogram of CO₂e, but it depends on the composition of the diet: €1 spent on beef can "cost" several kg of CO₂, while €1 for local vegetables represents tens of grams of CO₂. Housing and energy includes expenses for fuel, electricity, gas, water and housing maintenance. The carbon footprint of €1 is high here because Burning natural gas or heating with coal directly produces CO₂ and electricity in some EU countries (with a fossil energy mix) has a significant carbon intensity. On the other hand, part of housing expenditure is made up of rent or services that do not have such a direct carbon footprint – therefore the average housing intensity (~0.9 kg/€) is not as extreme as for fuels. However, it should be noted that households with higher energy consumption (e.g. heating large houses, swimming pools) may have significantly higher carbon footprint, although they will pay relatively high bills (this will be reflected in the methodology in total emissions rather than in intensity per €).

At the opposite end of the scale we see Clothing and footwear, Education and various personal services as low carbon intensity categories (~0.1–0.2 kg CO₂e/€). Textile and clothing industry although it produces significant emissions globally, €1 of clothing costs relatively little CO₂ – clothing and footwear are labor-intensive goods with a large share of human labor and fashion margins, so for each euro spent, relatively little energy or raw materials are “purchased” (compared to, for example, fuels). Regular clothing has a carbon footprint of the order of tens of kg of CO₂e for the entire product (for example, a t-shirt ~5–10 kg, a jacket maybe 20–30 kg CO₂e), which at a price of tens of euros corresponds to a few tenths of kg CO₂e/€. Education a other services (financial, legal, insurance, hairdressing, repairs, etc.) also have a low carbon footprint per euro, because we pay mainly for human work and knowledge, not for energy-intensive materials or fuels. For example, €1 paid for a cinema, theatre or streaming has lower emissions than €1 for a physical good. Category Restaurants, culture and leisure in the table above combines several areas: eating out (restaurants) has a similar carbon intensity per euro as buying food (since we pay for the food prepared from the food plus the restaurant's energy), while cultural and recreational activities are less demanding. Therefore, the combined intensity (~0.6 kg/€) lies between food and services.

Summary: Carbon footprint for one euro Expenditures vary greatly depending on the type of consumption. The most "expensive" in terms of emissions are euros spent on fossil fuels and energy-intensive goods, so transportation, travel and electronics lead the rankings. We see moderate values for food and housing, which are essential needs with a significant carbon footprint. Services and products that require human labor, not raw materials, "cost" the least CO₂ – clothing, education, healthcare or financial services. This knowledge helps consumers better understand where they can reduce their carbon footprint by changing their consumption habits. For example, restriction of air travel or transition to non-motorized transport saves an order of magnitude more emissions per euro saved than cutting spending on clothing or culture. Such an overview of the carbon footprint by category – which is also offered by innovative banking applications – increases transparency and can motivate more sustainable behavior. Spring