For the second consecutive year, NCC Group’s Scope 1, Scope 2, and Scope 3 emissions were calculated and verified by Planet Mark in line with the GHG Protocol Corporate Standard.
Planet Mark calculated this from verified third-party data and invoices as part of our overall carbon certification. Note the certification has not been independently audited by KPMG.
Results
Scope 3 emissions for transmission and distribution and travel distances were calculated using the units of energy consumption and travel distances provided, respectively, multiplied by the relevant BEIS emissions factors. Some conversions were used, for example, gigajoules (GJ) to kilowatt-hours (kWh) and miles to kilometres (km).
Scope 3 emissions are not complete in FY23 – a survey was sent to our top suppliers (circa 80% of global spend) and to colleagues, but neither received the response rate required to provide accurate benchmark data for their respective calculations. Our priority in FY24 is to improve on this with an engagement plan.
In FY23, we committed to improving the data collection process required from landlords. We significantly improved the number of offices in our calculations through improved landlord engagement, as well as extending coverage of our external data centres.
Our progress
We have outlined our commitment to decarbonisation and our continuing net zero journey in our new sustainability strategy - and this includes focusing on including the relevant Scope 3 categories in future reporting. Once we have an accurate report on our emissions, we can then work with Planet Mark and other experts, where applicable, to set credible, science-based targets to achieve net zero before 2050.
The reporting period is aligned with our financial reporting year – 1 June to 31 May – and details GHG emissions from activities for which NCC Group is directly responsible. Having considered the production metrics within the business, we have concluded that annual turnover is the most appropriate to achieve a benchmark, which aligns with the carbon reduction policy and methodology we will work towards in FY24.
Our benchmark was set against a year still impacted by restrictions on travel caused by the global pandemic, and therefore this year, we’ve observed an increase in travel and office usage. This has led to a temporary rise in our overall carbon intensity.
As a people-led business, this revitalisation of travel and face-to-face time was essential, and this is something impacting other businesses too. Despite the overall increase in emissions, we were successful in reducing emissions per colleague by 4.6%, which is one of our metrics as we mature our carbon disclosure reporting capability.
Our ambition and future
Our focus remains on improving data, fully understanding the source of our emissions, and enabling ourselves to set credible, science-based reductions to achieve net zero before 2050.
By net zero, we follow the guidance from Planet Mark, which is aligned with the principles of the Science Based Targets initiative (SBTi) Corporate Net-Zero standard, which requires us to reduce absolute emissions across all three Scopes by at least 90%.
