Mitigating Cost with Sustainability
Sophie Parkhouse
Sophie Parkhouse
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2 What are we covering?
to Net Zero 2 What is net zero? Why net zero? Regulation Sustainability A Journey to net zero
Journey
What is net zero?
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What is Net Zero?
For nations
Emissions that directly arise from activity within geographic region
For cities / regions
No global definition
Scope 1 & 2 plus some scope 3?
Scope & terminology
Carbon neutrality
Internationally recognized standard PAS 2060
“condition in which during a specified period there has been no net increase in the global emission of greenhouse gases to the atmosphere as a result of the greenhouse gas emissions associated with the subject during the same period”
Business
No consistent definition
For you to define
Scope 1 & 2 plus some scope 3?
Net Zero
Putting no more carbon into the atmosphere than you are taking out of it
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Summarised emission scopes
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Getting to Net Zero - Prioritising Actions
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Why net zero?
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Sustainability Regulation
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changes coming down the line 9 This is just a snap shot 100% of new vehicle sales to be electric Recycling rate of 70% End of coal powered electricity generation Sales of gas boilers to be phased out Annual tree planting rates of 50,000 ha/year Phase out sales of New diesel HGVs 9
Future
albertgoodman.co.uk Tesco Supply Chain Email 1 Switch to renewable electric now 2 Disclose your greenhouse gas emissions to us by 2021 3 Establish a net zero ambition by the end of 2022 4 Set sciencebased target to support ambition by end of 2023 10
albertgoodman.co.uk Lenders Banks are having discussions with their clients • Government green finance targets • Impact on future interest rates? • Impact on availability of finance options • ESG products • Cost neutral carbon projects • ESG backed lending 11 COP27 Objective: Our bank accounts and investments are part of the financial system Several banks have net zero commitments Paris agreement requires 50% reduction in investment emissions by 2030
Our people Wellbeing
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Reputation
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Regulations and Frameworks
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Sustainability Regulation
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albertgoodman.co.uk Energy Savings Opportunity Scheme (ESOS) AG1721-Energy-Saving-Opportunity-Scheme-Factsheet-SophieParkhouse.pdf (albertgoodman.co.uk) Large businesses • 250 People • Turnover >£44million and £38million balance sheet • Meet one criteria on qualification date • Post 31 December 2022 if qualify for SECR also in scope of ESOS Qualification date • First date 31 December 2014 • Every 4 years ongoing • 31 December 2022 is coming!!!! Key obligations • Total energy consumption over 12months • Audit 90% of energy consumed – moving to 95% for reporting periods post 31 December 2023 (phase 4) • Identify cost effective improvements post 31 December 2022 need to report on what you have done 15
Streamlined Energy and Carbon Reporting
AG1723-SECR-Client-Factsheet-2022-Sophie-Parkhouse.pdf (albertgoodman.co.uk)
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Large Organisation Focus
Making Your Finances More Sustainable (albertgoodman.co.uk)
Task force for climate related financial disclosures (albertgoodman.co.uk)
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Science Based Targets
How it works - Science Based Targets
SMEs must set targets aligned to a 1.5°C near-term science-based target to be eligible to set a net-zero target.
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Wider Sustainability
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S172 & Better Business act
Modern Slavery Act
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A Journey To Net Zero
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albertgoodman.co.uk 1 2 Engagement / Education Assess risks and define your scope Assess, prioritise, plan 4 Identify and Measure 5 Targets and Accountability Road to Net Zero / Sustainability 22 3
albertgoodman.co.uk Understand the current position • Calculate your starting point carbon footprint • Use a recognised framework – we use Streamlined Energy and Carbon Regs (SECR) as a starting point • Can tailor to include further scope 3 emissions based on your priorities • Need to ensure they are reliably measurable • Can use 3rd parties for these services • Albert Goodman provide carbon foot printing • Natwest have a self service carbon tracker for their customers • Be mindful of accuracy and green washing
A Journey to Net Zero
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What have we covered?
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business
Collaborate
achieve
Net zero is not specifically defined – decide what works for your organisation Sustainability is wider than just carbon Increasing our sustainability can bring
gains
- we can
more together
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