Did you know that you could be missing out on significant growth opportunities if you are switching off from conversations about carbon reduction in your business?
It may seem that issues like ‘net zero’ and ‘sustainability’ only impact larger organisations in the construction industry but that’s far from the truth.
Today, the pressure is on to reduce carbon emissions from the entire construction sector – and that means that every business, no matter its size, must take action … and be seen to be taking action.
What’s more, engaging with carbon reduction in your business (no matter what size) can create business opportunities that will otherwise pass you by.
Carbon emissions can’t be passed up the supply chain – you will be asked to account for yours
Oliver Collins Marketing Manager for Contractors
Prove your credentials
Clients increasingly expect suppliers to demonstrate a commitment to carbon reduction.
For example, in the UK, local authorities require suppliers on contracts valued at £5 million or higher to submit information on carbon emissions under the Procurement Policy Note (PPN) 06/21.
And in the private sector, real estate owners and managers have net zero commitments which include emissions from their buildings and any work in them.
The result is that in construction procurement, we are increasingly seeing explicit emissions reductions targets on projects. There is a greater emphasis on the use of low-carbon materials, and contractors are expected to disclose the carbon footprint of materials they use.
In either case, even if the projects you’re involved with are not valued in the millions of pounds, the carbon emissions they create will be included in the larger project. Carbon emissions can’t be passed up the supply chain – you will be asked to account for yours.
Competitive advantage
But this is about more than counting CO2. Showing that your business has a carbon reduction plan in place demonstrates to potential clients that you’re aware of the wider issues they face.
This gives you a competitive advantage – an environmental commitment sets your business apart and provides a differential in a market that puts a higher value on sustainability.
In the long-term, by demonstrating an awareness of this issue and how it impacts your clients, there is much more opportunity for repeat business.
So, the question isn’t whether your business is big enough to worry about carbon reduction – but how you can engage.
Practical steps
A first practical step is to set up your in-house ‘Carbon Team’. This should involve employees from across the business.
For a large business wherever possible, one member of the team should be part of the business management to lend weight to decisions and help drive through actions.
Other areas of a large business to bring on board should include:
- Operations – to ensure implementation of carbon reduction activities as part of daily operations.
- IT – to introduce and drive tools for collecting and collating data on carbon emissions in the business
- Finance – to manage any budget allocation for carbon reduction opportunities and to evaluate their cost-effectiveness
- Human resources – to engage employees and foster awareness in the business
- Marketing/communications – to develop external and internal communications on carbon planning, including incorporating them into tender documents.
Help is at hand
At Mitsubishi Electric we work with a range of contractors of all sizes. We know that carbon reduction planning can be a daunting task on top of running your business.
That’s one of the reasons we introduced the Committed Carbon Reduction Partner accreditation (CCRP) to help contractors understand what they can do and take practical steps to reduce their emissions – and receive third-party accreditation for their efforts.
Building owners or businesses wanting to find a CCRP-accredited partner should visit our find an installer page.
There is also a general 'sustainability' section of our website.
Oliver Collins is Marketing Manager for Contractors
