Carbon reduction plan for business growth

There are many reasons for adopting carbon reduction strategies for business, today our focus is on sustainable business growth.

From public to private sector organisations and frameworks, now more than ever it is highly likely you will be asked to demonstrate your own net-zero roadmap, backed by carbon emissions data and a carbon reduction strategy.

Why?

For several years large businesses have been required by legislation (SECR) to report their energy and carbon usage and reduction strategy. The biggest area of their footprint is something called Scope 3 – their supply and value chain that typically accounts for 70% + of their carbon footprint. As such there is now much focus on engaging with suppliers will drive and support large companies own net-zero ambition.

Working collaboratively with clients and suppliers will drive innovation, relationships and business growth through carbon reduction, if you have not been asked yet to demonstrate, this could be seen as a business opportunity.

The Public Contracts Regulations 2015: These regulations require public sector organizations to consider the environmental impact of their procurement activities, including the carbon emissions associated with the goods and services they procure. As such, tenderers may be required to submit a carbon reduction plan as part of their tender submission.

PPN 06/21 applies to relevant procurement opportunities (individual value of any contract to be awarded under the framework agreement is greater than £5 million per annum ex vat). This is a framework we see regularly and have supported several clients provide a detailed carbon reduction plan fpr

Crown Commercial Service (CCS) Frameworks: The CCS is the largest public procurement organization in the UK, and it manages several frameworks that require tenderers to demonstrate their commitment to reducing carbon emissions. For example, the CCS Construction Works and Associated Services Framework requires tenderers to have a carbon reduction plan in place.

The Social Value Model: This model, which is used by many public sector organizations in the UK, includes environmental considerations as one of the key components of social value. As such, tenderers may be required to submit a carbon reduction plan as part of their social value proposals.

The European Commission’s Green Public Procurement programme: Europe’s public authorities are major consumers. By using their purchasing power to choose environmentally friendly goods, services and works, they can make an important contribution to sustainable consumption and production – what they call Green Public Procurement (GPP) or green purchasing.

Green Supply chains: Many private sector organisations now operate some form of annual survey or tender section for social value or sustainability. Sustainability questions are becoming more detailed and require a breakdown of carbon emissions and a requirement to commit to the same or better net-zero dates that the procuring company.

What is the best way to fulfil the requirements off these frameworks?

  • Understand the requirements
  • Engage your team and wider business
  • Conduct a carbon footprint assessment
  • Develop a carbon reduction plan
  • Include experience and qualifications
  • Collaborate with suppliers
  • Continually monitor and report progress

Overall, the key to fulfilling the requirements of these frameworks is to be proactive, thorough, and transparent in your approach to carbon reduction. By taking the time to understand the requirements and develop a comprehensive plan, you can demonstrate your commitment to sustainability and position yourself as a strong candidate for public sector procurement opportunities.

We have worked with many clients across public and private sector to calculate their impact through our leading software and to use great data to formulate a challenging net-zero strategy enabling them to demonstrate their ambition, forge excellent supply chain relationships and grow their business.

Talk to the SBS team today to see how we can support you.

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