Carbon Reduction Plans (PPN 06/21)

A Carbon Reduction Plan (CRP) is a document that sets out your organisation's current greenhouse gas emissions and your commitment to achieving net zero by 2050. Under Procurement Policy Note 06/21 (PPN 06/21), suppliers bidding for central government contracts above £5 million must publish a CRP on their website.

The requirement applies to the prime contractor and is a pass/fail selection criterion — if you don't have a compliant CRP, you cannot be awarded the contract.

The CRP must include your current Scope 1 and Scope 2 emissions (and Scope 3 where measurable), your net zero target, and the specific measures you are taking or plan to take to reduce emissions. It must also be signed by a director or equivalent and published on your website.

A compliant CRP must include the following elements:

• Commitment statement — a clear commitment to achieving net zero by 2050
• Baseline emissions — your current greenhouse gas emissions broken down by Scope 1 (direct emissions), Scope 2 (indirect emissions from energy), and Scope 3 (other indirect emissions) where measurable
• Emissions reporting — current reporting year figures in tonnes of CO2 equivalent (tCO2e)
• Reduction targets — specific, time-bound targets for reducing emissions
• Carbon reduction projects — completed and planned projects that will deliver emissions reductions
• Declaration and sign-off — signed by a board director or equivalent

The government has published a CRP template that you can use as a starting framework. You are not required to use this exact template, but your plan must cover all the required elements.

Based on common feedback from procurement evaluators, these are the mistakes that most frequently cause problems:

• Not publishing it on your website — the CRP must be publicly accessible, not just submitted with the bid
• Missing Scope categories — you must include Scope 1 and 2. If you cannot measure Scope 3, explain why rather than omitting it entirely
• Vague commitments — "We will reduce emissions" is insufficient. Include specific measures with estimated impact
• No director sign-off — the plan must be signed by a board-level individual
• Outdated figures — use the most recent reporting year's data. Plans based on figures more than 12 months old may be challenged

Use our Procurement Readiness Checker to verify that your CRP is in place before you start bidding.

If your organisation doesn't have a CRP yet, here is a practical starting path:

1. Measure your baseline. Calculate your Scope 1 emissions (fuel, company vehicles, gas) and Scope 2 emissions (purchased electricity). For Scope 3, start with business travel and key supply chain emissions.
2. Set a net zero target. Commit to net zero by 2050 or earlier. Many organisations are now targeting 2030 for Scope 1 and 2.
3. Identify reduction measures. List specific actions: LED lighting, renewable energy procurement, fleet electrification, remote working policies, supplier engagement.
4. Write and publish. Use the government template or create your own document covering all required elements. Have it signed by a director and published on your website.
5. Review annually. Update your emissions figures and progress each year.

For smaller organisations, the process is simpler than it sounds. Many SMEs can complete a basic CRP in a few days using free carbon calculators and the government template.