Carbon Reduction
Carbon reduction metrics and targets
If we think something is important, we establish a metric, a baseline, and a target to drive progress.
| 2021 | 2022 | 2023 | ||
| Corporate and customer carbon emissions (SBTi aligned target) | We will reduce absolute CO2e emissions from our portfolio by 42 per cent by 2030 against a 2020 baseline, this includes Scope 1, 2 and Scope 3 Downstream Leased Assets. All employees’ variable annual remuneration is partly linked to this metric. | 280,575 tCO2e | 272,218 tCO2e | 254,168 tCO2e |
| Corporate and customer carbon intensity | This metric is based on the CO2e emissions of the portfolio for which we have visibility of the data. This reflects 68 per cent of the portfolio floorspace under management. | 27.9 kgCO2e/m2 | 22.5 kgCO2e/m2 | 20.2 kgCO2e/m2 |
| Embodied carbon intensity (SBTi aligned target) | We will reduce the embodied carbon intensity of new developments by 20 per cent by 2030, against a 2020 baseline. All employees’ variable annual remuneration is partly linked to this metric. | 391 kgCO2e/m2 | 353 kgCO2e/m2 | 348 kgCO2e/m2 |
| Group floorspace rated EPC B equivalent or better: | We are conscious of demands by our customers and by governments to provide energy-efficient buildings to reduce both carbon emissions and operating costs. We monitor these by use of Energy Performance Certificates (EPC). We are aiming for every building to have an EPC rating of B equivalent or better. | 49% | 58% | 65% |
| Visibility of energy data by floor area | In most cases, our customers procure their own energy. Nonetheless, the emissions from this energy consumption are part of SEGRO’s corporate and customer carbon reduction targets, so we need accurate data. We are rolling out automatic metering, but in the meantime we are dependent on our customers providing their data. To show progress here, we track what proportion of our floor area we have actual data for. All employees’ variable annual remuneration is partly linked to this metric. | 54% | 68% | 81% |
| On-site renewable energy capacity and generation | With significant roof space, our portfolio is capable of supporting on-site renewable energy capacity through the use of photovoltaic (solar) panels. We intend to increase this by installing solar panels on our new developments and on appropriate existing assets. The small amount of energy exported to the grid is not currently used as an offset in our operational carbon reporting. |
Capacity: 35 MW Generated: 24,781 MWh |
Capacity: 44 MW Generated: 30,131 MWh |
Capacity: 59 MW Generated: 35,567 MWh |
| Off-site renewable electricity procurement as a proportion of total electricity procurement | Where on-site renewable energy is either unavailable or insufficient, we are working towards ensuring that all off-site electricity supplies are sourced from 100 per cent certified renewables. This data reflects the portfolio over which we have visibility of electricity supply. |
53% | 49% | 51% |
SEGRO's Pathway to Net-Zero
SEGRO’s carbon emission reduction targets focus on the most material aspects for the Group, namely our corporate and customer emissions and embodied carbon emissions, representing over 85 per cent of SEGRO’s value chain emissions.
We have made significant progress in transitioning to low or zero-carbon energy sources and materials in recent years and we are committed to continuing this progress and accelerating it wherever possible.
Our carbon reduction targets were set and approved under the international Science-Based Targets Initiative (SBTi). The SBTi methodology identified a pathway for companies to reduce the emissions within their value chains to align with reaching net-zero in eligible 1.5°C pathways by 2050 or sooner.
To read more about our pathway to net-zero, see page 15 of the Responsible SEGRO Report 2023.