With our Triple Carbon Pledge, we’ve joined the growing number of companies making a firm commitment to net zero operational carbon emissions. Through rigorous carbon accounting and setting clear science-based targets, alongside efficiency and innovation, we aim to reach net zero by 2030. Science-based targets In March 2021, we submitted science-based targets for approval. We will reduce our Scope 1 and Scope 2 emissions by 46% by 2030, in line with the Science Based Targets initiative’s guideline. We will also reduce our Scope 3 emissions by working with over 70% of our supply chain to address its own emissions. Waste and sludge treatment – the emissions challenge These processes account for 71% of our direct emissions. Our three industry-first monitoring trials that will improve the science of measuring emissions and could show this figure is actually greater than that. We’re not alone with this problem. World emissions of methane and nitrous oxide from waste-water treatment represent 1.3% of all anthropogenic emissions. These gases have, respectively, 28 and 265 times higher global warming potential than CO2 over a 100 year period. Minimising unintended escapes of biogas, and improvements to processes, would improve the figures only slightly. To make significant headway, we need deeper technological innovation, as well as changes to future asset design and strategy. We are establishing our options, often in partnerships, based on impact, cost, likelihood and timing, with many innovations and solutions not yet ready for full-scale deployment. This issue is one of the major challenges in our path to net zero. Reducing vehicle emissions The fuel our vehicles use accounts for 11% of our direct emissions. Changing to electric vehicles will be key to eliminating these emissions. All new company cars will now be electric. We’ve begun to replace our vans with electric alternatives and are working to identify the impact, and suitable models. Electric HGVs and tankers may not be available by 2030, so we are looking into alternative low-carbon options such as hydrogen and biogas, as this market is developing rapidly. This year, we began the first phase of installing over 350 charging points over 65 sites, to be completed by the end of 2021. We continue to join global and UK industry partnerships to both learn from and support other companies with a similar approach for their fleets. We’re also encouraging efficient driving behaviour and eliminating unnecessary journeys, and have launched a scheme to encourage employees to switch to electric. Sustainable employee travel All employees can now go electric through a new salary-sacrifice scheme. The monthly lease payment includes insurance, maintenance and roadside assistance, and is taken from gross pay, so reducing tax. We also run a salary-sacrifice tax-saving cycle-purchase scheme, as well as promoting discounts with local travel providers to encourage travel on public transport as COVID restrictions ease. Finding alternatives to fossil fuel On-site fossil fuel use is responsible for 18% of our direct emissions. We use gas oil for anaerobic digesters, diesel in our fixed back-up generators and natural gas for boilers and engines. Sometimes one improvement has to be judged on a trade-off basis – for example, using thermal hydrolysis to improve energy extraction from biosolids uses more gas. We can make heating, cooling and insulation in buildings more efficient. But, ultimately, we need to replace fossil fuels with renewable electricity, biofuels, and ground-source and solar-thermal heating. We will appraise our options and invest in these to get as close to zero as possible, before offsetting any remaining emissions. Managing our bought electricity Pumping is our main source of electricity demand, followed by compressors and blowers for aeration, and these contribute to emissions of 188kt CO2e a year. Through our efficiency programmes, we can keep this level flat over the next ten years, despite energy-intensive treatment processes and more need for pumping. Our ongoing leakage and efficiency programmes help reduce the volumes of water we need to pump and treat, so contributing to energy reduction, and we can also make operational efficiencies. After that, the decisions come down to our long-term asset strategy and design, based on comparisons of whole-life energy consumption. Where low-energy solutions don’t yet exist, we will invest in innovation – such as in efficient treatment processes – to create them. Boosting renewable energy supply Our net operational emissions have reduced by 61% this year, largely because our electricity use is fully renewable-backed for the first time, guaranteeing we are not buying fossil-fuel-generated electricity. We’ve also maintained our sector-leading position of generating renewable energy equivalent to half the electricity Severn Trent Water uses, from our own renewable assets, which include anaerobic digesters, and solar, wind and hydro-power plants. We can now improve on our pledge by linking our energy use explicitly to creating new renewable energy assets and capacity. By 2030, we have the potential to cover 100% of our electricity needs from our own renewable sources or through Power Purchase Agreements that provide capital for new projects while guaranteeing stable future energy prices for us. Influence over our non-direct emissions There are significant emissions that indirectly arise from activities of the business, but occur from sources that we do not own or control. These are known as Scope 3 emissions. Some examples include emissions generated from the manufacture and supply of the chemicals and capital goods we use, other goods and services we purchase or the waste generated in operations. Clearly we can change how and what we buy, and influence and support our suppliers in reducing their emissions. As part of setting our science-based targets, we’ve already started quantifying these emissions so we can create a long-term strategy to target the most significant sources. These include construction materials and activities, chemicals we use in water treatment, and fuel used by contractors. Working with our suppliers This is one of our priority areas for influencing Scope 3 emissions. We’re developing procedures for our suppliers to demonstrate they are measuring and reducing their emissions. Initially we’ll work with our largest suppliers, asking them to commit to science-based targets for reducing high-potential emissions, and supporting them in their efforts to do so. We’re also putting tools in place to be able to measure embedded carbon in our asset designs, and factoring whole-life carbon into the decision-making process. of our supply chain will be engaged with to address their own emissions by 2025 charging points over 65 sites, will be installed for our electric vehicles Looking after the world around us Mitigating climate change Read more online 0 1 2 3 4 5 6 7 8 9 0 0 1 2 3 4 5 6 7 8 9 0 0 1 2 3 4 5 6 7 8 9 0 0 1 2 3 4 5 6 7 8 9 0 0 1 2 3 4 5 6 7 8 9 0 % +