CARBON REDUCTION PLAN GUIDANCE
Notes for Completion
Where an In-Scope Organisation has determined that the measure applies to the procurement, suppliers wishing to bid for that contract are required at the selection stage to submit a Carbon Reduction Plan which details their organisational carbon footprint and confirms their commitment to achieving Net Zero by 2050.
Carbon Reduction Plans are to be completed by the bidding supplier1 and must meet the reporting requirements set out in supporting guidance and include the supplier’s current carbon footprint and its commitment to reducing emissions to achieve Net Zero emissions by 2050.
The CRP should be specific to the bidding entity, or, provided certain criteria are met, may cover the bidding entity and its parent organisation. In order to ensure the CRP remains relevant, a Carbon Reduction Plan covering the bidding entity and its parent organisation is only permissible where the detailed requirements of the CRP are met in full, as set out in the Technical Standard2 and Guidance3 , and all of the following criteria are met:
- The bidding entity is wholly owned by the parent;
- The commitment to achieving net zero by 2050 for UK operations is set out in the CRP for the parent and is supported and adopted by the bidding entity, demonstrated by the inclusion in the CRP of a statement that this will apply to the bidding entity;
- The environmental measures set out are stated to be able to be applied by the bidding entity when performing the relevant contract; and
- The CRP is published on the bidding entity’s website.
Bidding entities must take steps to ensure they have their own CRP as soon as reasonably practicable and should note that the ability to rely on a parent organisation’s Carbon Reduction Plan may only be a temporary measure under this selection criterion.
1 Bidding supplier or ‘bidding entity’ means the organisation with whom the contracting authority will enter into a contract if it is successful.
2 Technical Standard can be found at: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/991625/PPN_0621_Technical_standard_for_the_Completion_of_Carbon_Reduction_Plans__2_.pdf
3 Guidance can be found at: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/991623/Guidance_on_adopting_and_applying_PPN_06_21___Selection_Criteria___3_.pdf
Supplier name: Hawk Incentives Limited. (a Blackhawk Network Business) (“Blackhawk”)
Publication date: May 2022
Commitment to achieving Net Zero
Blackhawk Network is committed to achieving Net Zero emissions by 2050.
Baseline Emissions Footprint
Baseline emissions are a record of the greenhouse gases that have been produced in the past and were produced prior to the introduction of any strategies to reduce emissions. Baseline emissions are the reference point against which emissions reduction can be measured.
Baseline Year: 2020 |
Additional Details relating to the Baseline Emissions calculations. |
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Blackhawk have recently implemented a project to record our emissions and carbon footprint across Scopes 1, 2 and 3, working to targeted reduction over time toward a commitment to Net Zero by 2030 for Scopes 1 & 2 and by 2050 for Scope 3. Our baseline numbers were captured in the Streamlined Energy and Carbon Reporting (SECR) Reporting requirements for 2021, as detailed below. In addition to this as a Business we are ESOS compliant and had our last audit and submission on 5th December 2019. During the Covid pandemic our offices were closed for long periods, this has greatly impacted our emissions and footprint. We expect to record in 2022 baseline figures which more accurately reflect “Business as Usual”, also factoring in the activities we have undertaken to date that have assisted in reducing our footprint. Scope 1 - Includes use of natural gas and vehicles Scope 2 - Electricity Scope 3 - Includes upstream and downstream indirect activities. Extraction, production, and transportation of goods and services purchased or acquired. For critical suppliers and outsourced arrangements that contribute significantly to the company’s total anticipated scope 3 emissions
Our data collection is converted into emissions using the official DEFRA conversion Factors.
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Baseline year emissions: 2021
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EMISSIONS
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TOTAL (tCO2e)
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Scope 1 |
5 |
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Scope 2 |
51 |
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Scope 3 (Included Sources) |
862 |
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Total Emissions |
918 |
Current Emissions Reporting
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Reporting Year: 2021
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EMISSIONS
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TOTAL (tCO2e)
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Scope 1 |
5 |
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Scope 2 |
51 |
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Scope 3 (Included Sources) |
862 |
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Total Emissions |
918 |
Emissions reduction targets
In order to continue our progress to achieving Net Zero, we have adopted the following carbon reduction targets. We project that carbon emissions will decrease over the next five years to 384 tCO2e by 2027. This is a reduction of 41.8% and we expect to record data in 2022 that will reflect Business as usual.
Progress against these targets can be seen in the graph below:
- Carbon Neutral in Direct Operations Scope 1 & 2 by 2030
- Reduction in absolute Scope 1, 2 & 3 GHG Emissions by 50% by 2035
- Reduction in absolute Scope 1, 2 & 3 GHG Emissions by 92% by 2045
- Carbon Neutral in absolute Scope by 2050.
Carbon Reduction Projects
Current Carbon Reduction Initiatives
The following environmental management measures and projects have been implemented. The ongoing and future measures will be in effect in the event that we are successful in this Invitation to Tender.
Hybrid Working
After instigating a home-working model to protect our colleagues throughout the Covid pandemic, we have now moved to a Hybrid and Virtual working model. This ensures every employee can opt to work either a Hybrid working pattern (2-3 office days per working week) or a Virtual home-working arrangement where their home is their main office location and on-site attendance (Apsley & Bath offices, client visits) is only occasional. Current ratio is 53% Hybrid and 47% Virtual employees, with only our Facilities Team permanently office based.
The positive impact of this two-tier model includes a drastic reduction in the amount of transport required across the workforce and energy expended on office facilities. Blackhawk are tracking the environmental impact of this new initiative which will help significantly reduce our footprint. Blackhawk have also conducted employee surveys which indicate this working model is having a markedly positive impact on employee wellbeing.
Virtual Meetings
Blackhawk are also encouraging a continuation of virtual meetings in lieu of face-to-face attendance on site at client, supplier or our own office sites.
Reduced Office Space
In an initiative linked to the Hybrid/Virtual Working Model outlined above, Blackhawk have been able to reduce the amount of office space required, reducing the energy used and associated costs in conducting our business activities. At our Head Office in Apsley, Herts., one-third of our (pre-pandemic) office space has been given over to another company. Our Bath office has been re-located from our longstanding Charlotte Street location to a site around 50% smaller in Oldfield Road. It remains within a short walk of Bath Spa Station making the train a very viable commuting option. Like the previous site and in line with Blackhawk affiliate company Cyclescheme Limited’s Cycle-Friendly Employer Gold accreditation, the new Bath office also offers extensive facilities for cycle-commuters including safe storage, showers and a drying-room.
Digital over Physical
A key focus area within our operations is the use of single-use plastics when distributing gift-cards. Blackhawk have been a leading player in the shift away from physical cards to digital distribution of eGifts, which now comprise >50% of our issued rewards. Our Hawk Select eGift platform sees >90% of redemptions for digital rather than physical gift cards. When our affiliate company Gift Voucher Shop DAC was acquired in 2020, its first key project was to launch a digital version of the popular One4all multi-retailer gift-card.
Recyclable Materials
We are committed to the reduction of Single-Use Plastics in our supply chain. Measures our suppliers have introduced or are trialling include recyclable gift cards, a switch from PVC card to board card and sustainably sourced FSC-certified carbon materials.
Our Tier 1 Card Manufacturing/Fulfilment partners lead the market in environmentally friendly products, many already have an ECO Range. Furthermore, we are working closing with these partners to move further away from plastic to paper board substrates where possible, which are made from sustainable raw materials - this is the most environmentally friendly product in the market.
Where there is still a need for PVC card option, we opt for ECO PVC which has the same technical properties as standard PVC. Production of ECO PVC results in decreased consumption of crude oil, less gross energy and a lower impact on global warming.
Future Carbon Reduction Measures
In the future we will implement further measures such as:
Global ESG Project
Already underway, Blackhawk have formed an Environmental Social Governance (ESG) Steering Committee comprising Senior Leadership Team members to track, co-ordinate and ultimately reduce our footprint across the globe. Building on local and international initiatives already in place, the ESG Steering Committee are completing a global emissions audit during 2022 and are committed to developing our worldwide ESG programmes with new initiatives that all Blackhawk entities will be able to benefit from.
Green Car Scheme & Ongoing Cyclescheme Commitment
Launching in 2022, we are implementing a low/zero-emission car scheme for all Blackhawk employees in the UK. We have also begun to roll-out a Green Car Scheme to our c.10,000 client base who already offer our employee benefits to their millions of colleagues. The Green Car Scheme is operated by a third-party provider and joins our portfolio of benefits. Blackhawk’s Cyclescheme product is the UK’s most popular cycle to work salary sacrifice benefit, designed to encourage people to cycle-commute for the environmental, physical and financial benefits this most sustainable transport method delivers. We have recently passed the significant milestone of one million Cyclescheme certificates issued and look forward to helping many more individuals out of cars and onto bikes.
Global ESG Project
Already underway, Blackhawk have formed an Environmental Social Governance (ESG) Steering Committee comprising Senior Leadership Team members to track, co-ordinate and ultimately reduce our footprint across the globe. Building on local and international initiatives already in place, the ESG Steering Committee are completing a global emissions audit during 2022 and are committed to developing our worldwide ESG programmes with new initiatives that all Blackhawk entities will be able to benefit from.
Declaration and Sign Off
This Carbon Reduction Plan has been completed in accordance with PPN 06/21 and associated guidance and reporting standard for Carbon Reduction Plans.
Emissions have been reported and recorded in accordance with the published reporting standard for Carbon Reduction Plans and the GHG Reporting Protocol corporate standard4 and uses the appropriate Government emission conversion factors for greenhouse gas company reporting5 .
Scope 1 and Scope 2 emissions have been reported in accordance with SECR requirements, and the required subset of Scope 3 emissions have been reported in accordance with the published reporting standard for Carbon Reduction Plans and the Corporate Value Chain (Scope 3) Standard6 .
4 https://ghgprotocol.org/corporate-standard
5 https://www.gov.uk/government/collections/government-conversion-factors-for-company-reporting
6 https://ghgprotocol.org/standards/scope-3-standard
Signed on behalf of the Supplier:
Chris Ronald, VP Incentives and Operations, EMEA
Date: June 2022