If you’re a potential NHS supplier, there’s a good chance you’ve heard of the NHS Carbon Reduction Plan — a new initiative that requires suppliers to calculate and share information about their greenhouse gas emissions.

It’s important to understand what the CRP is all about if you want to stay competitive in the procurement process and make sure your organization is contributing to a sustainable healthcare system.

There are a few key things to be aware of here. In this article, we’ll show you what the CRP is all about, what’s required of you, and the steps you should follow to make sure you comply with all the requirements.

What is the NHS Carbon Reduction Plan?

The NHS Carbon Reduction Plan is based on the UK government’s wider goal to reach Net Zero carbon emissions by 2050. In simple terms, by this date the government aims to remove more greenhouse gases from the atmosphere than it emits.

For the NHS and businesses that work with it (like yours), there are two key targets to be aware of:

• For the emissions the NHS directly controls, the goal is to reach Net Zero by 2040, and reach an 80% reduction by 2028 to 2032

• For emissions the NHS can influence (but not directly control) the goal is to reach Net Zero by 2045 and an 80% reduction by 2036 to 2039

Figure 1: GHGP scopes in the context of the NHS

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These goals depend on the active participation of NHS stakeholders, including suppliers.

So far, things are going well. According to the NHS:

“the estimated 62% reduction in emissions significantly exceeds the 37% requirement for 2020 outlined in the Climate Change Act. The wider scope of the NHS Carbon Footprint Plus has also delivered a meaningful improvement on the 1990 baseline, with an estimated reduction of 26% by 2020”

What’s required in the NHS Carbon Reduction Plan?

So, what’s your role in all this?

Potential and existing suppliers of the NHS must be able to measure and report on their carbon footprints effectively. You’ll do this through a Carbon Reduction Plan, or CRP, which should be published on your website.

Basically, the purpose of the CRP is to help you measure and share your carbon footprint and clearly show the steps you’ll take to reduce your emissions. It’s a way to show everyone that you’re committed to achieving Net Zero and have a concrete plan to get there.

Since the NHS is making sustainability a central part of its procurement process, it’s important for suppliers to adopt sustainable practices when it comes to sourcing materials, manufacturing, and logistics. You’ll need to be conscious about minimizing environmental impact throughout the lifecycle of your products and services.

The NHS Carbon Reduction Plan template

To make it easier for suppliers to create and publish a CRP, the NHS has created a template, which you can find here.

The most difficult part of this process, for suppliers like you, is understanding what your emissions are and how to accurately measure them. This is where Seedling’s carbon accounting platform can help — we help existing and future NHS suppliers compile all the necessary emissions data and share it in the right way. 

Who needs to submit a CRP?

Since September 2021, public sector contracting authorities have been required to include a Carbon Reduction Plan as a selection criterion when buying goods/services when the following criteria are met:

1. Advertised average annual contract value exceeds £5m per year (ex VAT);
2. Public Contracts Regulations 2015 applies; 
3. Where 'proportionate' and ‘relevant’ (leaving some discretion to the contracting authority). 

In April 2024, the NHS extended the PPN 06/21 reporting requirements to be applied regardless of contract value. Again, the caveat of ‘relevance’ applies - the contracting authority can choose to instead require that the bidder (you) make and publish a Net Zero commitment, without measuring a carbon footprint or detailing how the Net Zero target will be achieved. 

This all sounds pretty confusing - so, what’s the key takeaway? Whilst ultimately up to the discretion of the contracting authority, developing and publishing a CRP is increasingly a requirement across NHS procurement. Setting a Net Zero target is the minimum required of public sector suppliers, and doing so without first understanding your footprint means you do not know what you’re committing to.

If you need some more specific guidance you can follow our 5 steps to build a CRP we've outlined in this article.

How to improve your footprint

The carbon reduction plan isn’t just about reporting and sharing your emissions — it’s also designed to help organizations reduce their emissions and improve their carbon footprints. Plus, this is a worthy goal to work towards anyway.

So here are some steps you can take to improve your carbon footprint and stand a better chance of meeting the NHS requirements:

• Start with an assessment of your carbon footprint. You should find the main sources of emissions in your operations and supply chain, then use this data as a baseline for setting realistic, measurable carbon reduction targets. Working with a carbon accounting platform like Seedling can help you achieve this.

• Create a carbon reduction strategy that aligns with the NHS goals. Be specific about actions, timelines, and responsibilities, and prioritize activities that offer the greatest potential for carbon reduction.

• Brainstorm ways to integrate sustainability into your operations. For example, you might switch to energy-efficient machinery, take steps to reduce waste, optimize transportation routes, and source sustainable materials. This should be a company-wide effort, so be sure to involve employees and stakeholders in your carbon reduction initiatives.

• If possible, transition to renewable energy sources like solar, wind, or biomass. You can generate your own renewable energy on-site if possible, directly invest in renewable energy projects, or purchase green energy from suppliers.

• Continuously monitor your progress towards your carbon reduction targets — this will help you identify areas for improvement and course-correct to reach your goals, as well as making it easier to report your progress transparently to the NHS and your other stakeholders.

Getting help and resources

Understanding and complying with the NHS Carbon Reduction Plan might seem like a bit of a daunting task at first, but with the right approach and support it becomes much easier and will benefit your organization in a ton of different ways.

The good news here is that there’s a lot of help available for businesses who want to achieve their net zero goals and adhere to the NHS CRP guidelines.

For example, the UK Business Climate Hub is a great resource for UK SME businesses to help make climate change commitments.

One thing to keep in mind is that sustainability is an ongoing process. You should always be seeking out new opportunities to improve your carbon reduction efforts, and consciously keep up with the latest developments in sustainability, technology, and regulatory requirements.

By measuring your carbon footprint and working with partners like Seedling, you’ll not only align with the NHS requirements and remain competitive when it comes to procurement, but you’ll also build a more sustainable, future-proof organization committed to saving the planet.