Organisations now required to make net zero pledge by 2050 to be considered for government contracts
Announced on World Environment Day, and only a few weeks after the strengthening of the carbon emissions reduction target for the UK, the government has announced that all suppliers with the intent to bid for major government contracts, must commit to a Net Zero by 2050 target.
There is also a requirement to report not only emissions directly from the bidding organisation, but also emissions across sources such as business travel, employee commuting, outsourced transportation and waste.
From September 2021, organisations tending for contracts in excess of £5m will be required to produce a clear and credible carbon reduction plan before they can tender for contracts.
Underpinning this, government published PPN 06/21 (a Procurement Policy Note issued by government) which formalised the requirement of suppliers bidding for major government contracts to commit to achieving Net Zero by 2050 and publish a ‘Carbon Reduction Plan’. PPN 06/21 came into effect for new procurements launched from 30th September 2021.
The move further highlights the intention of the current government to “build back greener” following the COVID-19 Pandemic.
In addition, this presents an opportunity for businesses who are acting on carbon management to gain an advantage in the marketplace, and access to contracts.
All companies bidding for major government contracts will need to comply with the measure by the end of September 2021 and this does not just apply to those who are successful in winning contracts.
Comply Direct can help
We are currently working to support organisations to gain advantage in government tender applications by developing specific carbon reduction plans to comply with PPN 06/21, improving their overall environmental and carbon reduction strategy.
Our full service carbon management offering supports companies with their commitment to Net Zero and emissions reduction strategy working towards a Net Zero plan, including delivery of quality carbon offsets for your business as part of a rounded management and reduction strategy. Comply Direct has already supported many companies progress with their journey to achieving Net Zero Emissions, receiving positive testimonials.
Carbon case study - Hi-Tec
Read our case study here from our member Hi-Tec Europe Ltd, who Comply Direct supported in working towards their target of reaching Net Zero by 2025. The project included a carbon footprint, suggestions for making reductions, as well plans to track their progress.
Contact our sustainability team now and gain an advantage in the bid for government contracts - email our expert team here.