October 13, 2024 Green Business Practices
Steps to reduce your business’s carbon emissions
Almost 90% of SMEs don’t know what their carbon emissions are. At the same time, if small and medium businesses decarbonise, they can take the UK halfway to net zero. Here’s a guide to the steps you can take to reduce your business’s emissions.
Reduce direct carbon emissions
First, and most obviously, businesses can emit less carbon by changing their own habits and committing to renewable commercial energy. Normal business functions make major emissions contributions, some of which are more obvious than others.
Heating
Heating contributes around 37% of the UK’s emissions; business heating represents around 23%.
Businesses on the gas grid emit just over 4 tonnes of carbon dioxide for every 20MWh of heating power. Those not on the grid have historically had to rely on oil, which is an even worse polluter – generating the same amount of power results in 5.2 tonnes of CO2 emissions, and a typical business will require far more over the course of a year.
Obviously, businesses can’t do without heat or hot water, so they need to find a solution for renewable commercial heating. A larger commercial building will need significant heat, especially if it’s not well insulated, like many older or agricultural buildings. It will also need that heat to be consistent and reliable, which means biomass is the viable green heating for business.
A wood pellet biomass boiler provides the same 20MWh of heat with only around 300kg of carbon emissions. Aside from the massive reduction in on-site CO2, biomass only releases the carbon that a tree absorbed during its life. Sustainable forest management means biomass boilers can offer carbon-neutral heating for businesses.
Transport
A typical passenger vehicle emits 4.6 tonnes of carbon dioxide per year, and company vehicles produce almost three-quarters of new car emissions.
If you have a fleet of vehicles or company cars, switching to electric can eliminate those emissions. If you or your team drive to work, providing charging stations for electric cars will make the switch more viable.
Of course, an electric car is only as green as the power that charges it. Make sure that you’re charging it either through green power that you generate, or from a green energy provider. Speaking of green electricity…
Electricity
Solar PV and wind power are an option. They’re excellent for businesses that can install panels or turbines, and are in a geographical position to generate electricity through those methods. Otherwise, a selection of business energy providers offer green electricity packages.
Reduce indirect emissions
There are emissions that businesses don’t directly produce, but still contribute towards. They’re often several steps removed, so business owners don’t appreciate how much they’re undermining their efforts to decarbonise.
Supplier emissions
If your partners, suppliers, and vendors are contributing to carbon emissions, then in effect so are you. Naturally, some supply chains are more complex than others. Many moving parts and networks of suppliers’ suppliers mean addressing these indirect emissions will be daunting for some.
The first step will always be communication. By discussing your ambitions with your suppliers, you will get a clear idea of
- a) How much they know about their emissions
b) How enthusiastic they are to reduce them
If one or both of those are lacking, then you can apply some commercial pressure. Indicate your willingness to find alternative suppliers who demonstrate the right commitments.
Pension schemes
The pension providers that you sign up to have their own business emissions, and you will need to assess their carbon footprint. However, the more significant factor is the investment portfolios of their schemes.
Those schemes’ investments will be diverse and complex. Unless they’re explicitly advertised as green, they will certainly fund businesses with a negative environmental impact. Plus, no employer or employee has the time or the appetite to investigate every investment in their providers’ portfolio.
Fortunately, more and more pension providers are packaging ethical investments. Those schemes not only ensure that the investments are green, but that are also promoting ethical business practices more broadly.
Taking action on emissions
Reducing your business emissions is a long process and a major task. Doing everything at once is not realistic, but heating is a huge part of your CO2 contribution, so to start tackling your business’s heating emissions, contact Innasol today. We’re the only UK distributor of ETA boilers (the leading national biomass heating system brand). Our network of expert installers work nationwide.
Call 01621 892613 for a no-obligation chat to explore renewable energy, your heating needs, and whether biomass is the answer for your business.
