FAQ: Creating a Compliant PPN 06/21 Carbon Reduction Plan

  • Carbon reduction plans
  • Nov 22, 2024

1. What’s a PPN-Compliant CRP?

A Carbon Reduction Plan (CRP) is basically a document that lays out how your company will get to Net Zero by 2050 (or sooner). It includes:

  • Your Net Zero commitment and a plan to hit it by (at latest) 2050.
  • Your emissions data (for Scope 1, 2, and 3) for the last 12 months.
  • Your Scope 3 emissions for certain categories (but don’t worry, we’ll help you with that).
  • A breakdown of the actions your company is taking to get to Net Zero.
  • A signed-off declaration (just make sure it’s from someone at a senior level, but it doesn’t have to be a wet signature).

What are common mistakes in preparing a CRP that I need to know about?

  • Careful with your 0s: If you report a “0” or “N/A” for any Scope, you’ll need to explain why.
  • Independent Document: The CRP should be its own standalone document, not part of another report.
  • Parent-Subsidiary Relationship?: If you’re relying on a parent company’s CRP, it must be clearly stated.
  • Carbon Neutral ≠ Net Zero: Carbon Neutrality is different from Net Zero. The CRP must show a clear path toward achieving Net Zero.
  • 12-Month Timeframe: You can choose any 12-month period, but make sure the start and end months are the same for both reporting periods.
  • Current Reporting Year: The current reporting year must cover a full 12-month cycle. To bid for procurements, this must be within the last 12 months.
  • Scope 3 Categories: Ensure your Scope 3 categories align with the technical standards. At the moment there are 5 required categories out of 15, but you are free to use any extra categories.

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2. We’re Already Carbon Neutral / Negative – Does That Count?

Carbon Neutrality isn’t quite the same as being Carbon Net Zero. While Neutrality often relies on carbon offsetting, Net Zero means reducing emissions through long-term, sustainable actions. Your CRP should show how you’re cutting emissions over time, not just offsetting them.

3. What If We Offset Most of Our Emissions?

Offsetting is fine, but it’s more of a last resort after you’ve made every effort to reduce emissions in the first place. The goal of the CRP is to show your journey toward a low-carbon future, not just to buy credits to keep everything the same. Your customers and employees will appreciate seeing real actions!

4. We Already Have This Info in Our ESG or Sustainability Report – Can We Use That?

Your CRP needs to be a standalone document, clearly titled “Carbon Reduction Plan”. If you’ve already got the info in another report, it should be easy to pull together into the CRP format.

5. Can We Use the CRP from Our Parent Company?

Yes, but only if the parent company fully owns the subsidiary. You’ll need to clearly state that in your CRP, and remember, the CRP must be posted on the bidding entity’s website.

6. We’ve Changed Our Name or Structure – Does That Affect Our CRP?

If you’ve rebranded or restructured, make sure the CRP reflects those changes. You may also need to recalculate your baseline emissions for accuracy. You can log back into Gopher to change text like your organisation’s name. If you wish to edit your initiatives or numbers, contact us: help@gopherzero.co.uk

7. Why Do We Need Start and End Months for Reporting Periods?

You get to choose any 12-month period for your reporting, but once you’ve picked one, you need to stick with it for future reports. This keeps things consistent.

8. What Does ‘Current Reporting Year Data’ Mean?

Your current data should cover the last 12 months. If you’re bidding for new procurements, make sure your most recent emissions data falls within that time.

9. Can My Benchmark Year Be the Same as My Reporting Year?

Yes, this is usually the case if it’s your first year reporting or if you’re rebaselining to get more accurate data.

10. Can We Rebenchmark Our Emissions Data?

Yes! If you’ve got better or more accurate data for your baseline emissions, it’s a good idea to update it. Your baseline is your first full year of emissions data, before any reductions were implemented.

11. What About Global Emissions? We Have International Operations.

If you have global operations, you can report international emissions, but for the most accurate picture, we recommend focusing on your UK emissions (since PPN 06/21 applies specifically to UK operations).

12. We Rent Serviced Office Space – How Should We Report Our Emissions?

For serviced office space, it’s key to clarify who’s responsible for reporting emissions. We calculate an average carbon footprint per m2 of space if you don’t have the actual numbers.

13. Do We Have to Use the PPN 06/21 Template?

No, you can adjust the template to match your company’s style, but all the required sections need to stay in there, including the Declaration and Sign-off page.

14. Can We Report Emissions in Kilograms?

No, emissions need to be reported in tonnes. This is outlined in the technical standards.

15. Scope 3 Categories – Why Is This So Confusing?

Scope 3 can be tricky, but don’t worry. Gopher follows the technical standards for the required categories and naming conventions. If any categories don’t apply, we provide an template answer so you can easily explain why.

16. How Do We Report Working From Home?

Working from home is actually part of employee commuting (Category 7 under Scope 3), not a separate category. This is one of the 5 categories that you do need to report.

17. What If We Report ‘0’ or ‘N/A’ for Some Scopes or Categories?

If you report a “0” or “N/A”, just make sure you provide a clear explanation in the CRP.

18. Our Emissions Went Up – Will That Impact Our CRP?

It’s normal for emissions to increase as your business grows. What matters is that you show how you’re going to reduce them moving forward. Be sure to outline your plan to implement sustainable solutions. Gopher Zero enables you to create a CRP with emissions benchmarked by number of employees or revenue, so your emissions data won’t balloon as you grow.

19. What’s the Deal with the Sign-Off?

You don’t need a wet signature; an electronic sign-off is fine. Just make sure it’s from someone at a senior level who can commit to the changes in the CRP.

20. We’re a Small Business – Does PPN 06/21 Apply to Us?

It might still apply, depending on the agreements you’re part of. Crown Commercial Services, the government procurement experts, recommend all businesses submit a CRP to show how you’re working toward Net Zero. Most frameworks will start including CRP requirements soon, so it’s a good idea to get ahead of it.

21. What If Our CRP Isn’t Ready When We Want to Bid for Procurements?

If a compliant CRP is part of the selection criteria, you won’t be able to bid without one. So, make sure your CRP is ready to go! With Gopher Zero, you could have a CRP ready in 30 minutes.

22. Can We Be Suspended from a Framework If Our CRP Isn’t Compliant?

Yes. If your CRP isn’t compliant by the annual renewal date, you could face suspension from a framework.

23. How Often Do We Need to Renew Our CRP?

You’ll need to keep your CRP updated every 12 months to stay in line with the Public Contract Regulations 2015. The data needs to stay fresh for procurement processes.

24. What Does It Mean If Our CRP Is “Out of Date”?

If your CRP is out of date, it means the current emissions data is more than 12 months old. You’ll need to update it to stay compliant.

25. We’re a Consortium – Does the Lead Party’s CRP Count?

Each member of the consortium needs to submit their own CRP. Check out the guidance in PPN 08/16 for more details.

26. We’re an SME and the Initiatives on a CRP Seems Too Expensive.

You don’t need to make big investments right away. The CRP is about charting your path to Net Zero, and many actions (like turning off lights or reducing fuel waste) cost nothing. It’s about making smarter choices!

27. We Don’t Know Where to Start with the CRP.

Gather your data (energy bills, travel info, etc.), then use Gopher Zero to do the legwork. We’ll explain it all as you go, but these are the things that it might be helpful to have ready:

  • Energy Usage: If you have a smart meter, we can get everything we need from your Supply Number. If not, Gather your utility bills for the past year (electricity, gas, oil etc.). 
  • Water Usage: If you have a reading, great. If not we estimate based on your business type and size.
  • Business vehicles: Get totals for business mileage for each vehicle type (car, van, etc.), or better still find out the miles driven in each vehicle. 
  • Travel and flights: Get totals of miles covered for each mode of transport.
  • Commuting: Do a quick headcount of how many staff take the bus, walk, and drive. Find out how far people drive each day. 
  • Waste Data: Track the volume of waste your business generates, whether it’s recycled, sent to landfill, or incinerated. This data is needed for Scope 3 emissions (waste disposal).
  • Procurement Data: Gather information about the goods and services your business purchases.