The US Summit: Discussing Decarbonisation Strategies

Corporate leaders outline supplier engagement and renewable energy strategies

Business leaders from EcoVadis, AIT, Signify, and Kenvue recently gathered at Sustainability LIVE: The US Summit to discuss practical approaches to cutting emissions. The panel focused on how companies can reduce carbon across their value chains, particularly through supplier collaboration and renewable electricity procurement.

The discussion took place as US federal climate policy faces significant uncertainty. However, the participating organizations demonstrated that commercial momentum continues regardless of political shifts. Their experiences offer useful perspectives for UK businesses navigating similar challenges in supply chain decarbonisation and emissions reduction.

The four organizations represent different aspects of the sustainability landscape. EcoVadis provides sustainability ratings and assessment tools for over 83,000 companies worldwide. Signify, formerly known as Philips Lighting, achieved the EcoVadis Platinum Medal in 2025 for sustainability performance. Kenvue, the consumer health company spun off from Johnson & Johnson, has made substantial progress on renewable electricity. AIT contributes technical expertise in energy and industrial decarbonisation technologies.

Supplier engagement delivers measurable returns on investment

Research from EcoVadis and the Boston Consulting Group reveals compelling economics behind supplier decarbonisation. Their Carbon Action Report 2025 found that companies can cut up to 50% of supplier emissions at no net cost. Moreover, these reductions can generate returns of three to six times the initial investment.

The analysis shows that one third of potential supplier emission cuts can be achieved for under $12 per tonne of CO2 equivalent. This pricing sits well below current carbon credit markets and potential future carbon taxes, making early action financially sensible.

Despite these attractive economics, engagement remains patchy. Only one in three companies actively work with suppliers on emissions reduction. Nevertheless, those that do engage see dramatic results. Companies with active supplier programs are nine times more likely to meet their Scope 3 emissions targets compared to those without such initiatives.

For UK businesses facing Scope 3 reporting requirements under regulations like PPN 06/21, this data suggests a clear path forward. Working with suppliers need not be a cost burden. Instead, it can deliver both emissions cuts and financial returns when approached systematically.

Renewable electricity procurement reaches 72% at Kenvue

Kenvue provided concrete examples of renewable energy deployment at scale. By 2024, the company had reached 72% renewable electricity across its global operations. This achievement came through a combination of onsite generation and offsite renewable energy purchases.

The company aims to reach 100% renewable electricity by 2030. This trajectory demonstrates how large organizations can transition away from grid electricity with high carbon intensity. The approach combines multiple procurement strategies rather than relying on a single solution.

For manufacturing businesses in the UK, this timeline offers a useful benchmark. The transition from 72% to 100% renewable electricity over six years suggests the final portions often prove most challenging. Businesses should therefore start procurement planning early, particularly for sites with limited onsite generation potential.

Additionally, Kenvue’s progress shows that renewable electricity represents one of the more straightforward decarbonisation opportunities. Unlike process emissions or transport, electricity can be addressed through procurement decisions and power purchase agreements without fundamental changes to operations.

Assessment tools enable systematic supply chain action

EcoVadis has assessed over 83,000 companies using carbon scorecards and sustainability ratings. This scale of assessment creates visibility across complex supply chains that many businesses find difficult to map independently.

The company’s Carbon Action Manager tool operates across more than 185 countries, allowing businesses to track supplier emissions and improvement efforts. Signify earned the EcoVadis Platinum rating in 2025, maintaining its position in the top tier of assessed companies since becoming a publicly listed entity.

These assessment systems address a common problem for UK businesses. Many SMEs lack the resources to conduct detailed supplier audits themselves. Third party assessment platforms can therefore provide standardized data that companies can use for both compliance and improvement programs.

The platinum rating achieved by Signify also illustrates the maturity now possible in corporate sustainability programs. What began as basic environmental management has evolved into comprehensive systems covering emissions, circularity, social factors, and governance.

US federal policy shifts affect deployment timelines

The panel discussion occurred during a period of significant US policy change. Recent federal actions have rolled back renewable energy incentives, fossil fuel restrictions, and climate targets previously set under international agreements.

Projections now suggest US emissions will decline by only 19% to 30% by 2030 compared to 2005 levels, excluding land use effects. Previous policy frameworks had projected reductions of 29% to 39% over the same period. The difference represents approximately 600 to 800 million tonnes of additional CO2 equivalent emissions by 2030.

Changes to the Inflation Reduction Act of 2022 have particularly affected renewable energy deployment. Tax credits for wind and solar projects face potential repeal, slowing the pace of new installations. Meanwhile, incentives for fossil gas capacity have increased, extending the operational life of high carbon infrastructure.

However, subnational action continues through the US Climate Alliance. This group includes 24 states and territories that maintain their own emissions reduction targets. State level policies therefore create a patchwork of requirements that businesses must navigate.

What UK businesses should understand about these developments

  • Companies can cut up to 50% of supplier emissions at no net cost, with potential returns of three to six times the investment according to EcoVadis and BCG research.
  • Only one third of companies actively engage suppliers on emissions, yet those that do are nine times more likely to meet Scope 3 targets.
  • Renewable electricity procurement has reached 72% at Kenvue through combined onsite and offsite approaches, with a target of 100% by 2030.
  • EcoVadis has assessed over 83,000 companies globally using carbon scorecards, with one third of potential cuts achievable for under $12 per tonne of CO2 equivalent.
  • US emissions reductions are now projected at 19% to 30% by 2030 versus 2005 levels, down from previous projections of 29% to 39% due to federal policy changes.

Commercial drivers continue despite policy uncertainty

The experiences shared at this summit demonstrate that corporate decarbonisation programs increasingly run on commercial rather than purely regulatory logic. The return on investment figures from supplier engagement programs create internal business cases that survive policy changes.

UK businesses operating internationally should note this shift. While government policy provides direction and sometimes funding, the underlying economics of emissions reduction have improved substantially. Renewable electricity costs have fallen, energy efficiency delivers ongoing savings, and supplier collaboration can reduce procurement costs alongside emissions.

Furthermore, customer expectations continue to rise regardless of government positions. Companies selling into public sector supply chains face requirements like PPN 06/21 carbon reduction plans. Those exporting to the EU must prepare for the Carbon Border Adjustment Mechanism, which begins phased implementation in 2026.

The panel’s focus on practical implementation tools addresses a gap many businesses face. Knowing that action is necessary differs from knowing how to take that action systematically. Assessment platforms, renewable energy procurement frameworks, and supplier engagement programs provide the operational structure companies need.

Supplier programs require systematic approaches not just targets

The nine times higher success rate for companies with active supplier engagement programs suggests that ad hoc efforts produce limited results. Businesses need structured approaches that include measurement, target setting, capability building, and progress tracking.

For UK SMEs, this requirement presents both challenges and opportunities. Many lack dedicated sustainability teams to run sophisticated supplier programs. However, the availability of third party platforms like those discussed at the summit reduces the burden of building assessment systems from scratch.

The key appears to be starting with measurement. Companies cannot improve what they do not track. Carbon scorecards and supplier assessments create baseline data that enables both target setting and progress monitoring over time.

Subsequently, businesses should prioritize suppliers based on emissions intensity and relationship depth. Engaging your largest suppliers or those in high carbon sectors will deliver greater results than attempting to work with every supplier simultaneously. This focused approach makes supplier programs more manageable for smaller teams.

Renewable electricity transitions take planning and time

Kenvue’s six year timeline to move from 72% to 100% renewable electricity illustrates an important reality. The final portions of decarbonisation often prove most difficult and expensive. Early action therefore becomes more cost effective than delayed starts.

UK businesses should begin renewable electricity procurement planning now, even if full transition remains years away. Power purchase agreements often involve long contract periods. Onsite generation requires capital investment and planning permission. These elements take time to arrange.

The approach combining onsite and offsite renewable sources also makes sense for many businesses. Onsite solar or wind provides direct control and often competitive pricing. Offsite agreements through renewable energy certificates or direct power purchase agreements then cover remaining demand.

For companies with carbon reporting obligations, renewable electricity provides quick wins in Scope 2 emissions. Unlike process changes or transport decarbonisation, switching electricity supply can happen relatively quickly once contracts are negotiated. This makes it a logical early priority in most emissions reduction programs.

Policy volatility increases value of flexible strategies

The US policy changes discussed at the summit highlight risks of strategies that depend too heavily on government support. Businesses that built plans around specific tax credits or subsidies now face financial reassessment.

UK companies should therefore build decarbonisation programs that work across different policy scenarios. Strategies that deliver positive returns without subsidies prove more durable than those requiring ongoing government support. The EcoVadis research showing cost neutral supplier emissions cuts exemplifies this approach.

Similarly, businesses should track policy across multiple jurisdictions. Companies selling internationally face requirements from multiple governments, not just UK regulations. The EU Carbon Border Adjustment Mechanism affects UK exporters regardless of domestic policy positions. US state level requirements impact businesses with American customers despite federal policy changes.

Training teams on evolving requirements helps maintain compliance as rules shift. The SBS Academy provides courses on carbon reporting and supply chain emissions that help teams stay current with changing standards and expectations.

Where to find detailed guidance and requirements

Businesses seeking authoritative information on emissions measurement and reduction can consult several key sources. The Department for Energy Security and Net Zero publishes UK policy positions and support programs for business decarbonisation.

For carbon reporting methodology, the Greenhouse Gas Protocol provides the international standard that most frameworks reference. This includes detailed guidance on Scope 1, 2, and 3 emissions calculation across different business types and sectors.

The government’s PPN 06/21 guidance sets out carbon reduction plan requirements for public sector suppliers. Companies bidding for contracts above threshold values must demonstrate emissions measurement and reduction commitments.

Additionally, the Institute of Environmental Management and Assessment offers professional guidance and training for practitioners implementing environmental management systems. Their resources cover both strategic planning and operational implementation of sustainability programs.

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