What is Carbon Reduction Plan (CRP)?
A documented commitment to achieving net zero by 2050, including current emissions data, reduction targets, and planned actions. UK government suppliers bidding for contracts over £5 million must publish a Carbon Reduction Plan.
Why it matters
A CRP is a mandatory requirement for UK government procurement above the £5m threshold. Without one, your bid will be excluded. Beyond compliance, a published CRP signals to all buyers that your business takes decarbonisation seriously.
Example
An IT services company uses EcoHedge to generate its first carbon report, then structures a CRP with a 2024 baseline, five priority reduction actions, and a commitment to halve Scope 1 and 2 emissions by 2030.
Related terms
PPN 06/21
Procurement Policy Note 06/21 requires UK government suppliers bidding for contracts over £5 million to publish a Carbon Reduction Plan and commit to achieving net zero by 2050. This policy drives Scope 3 reporting requirements.
Net Zero
Achieving a balance between greenhouse gas emissions produced and emissions removed from the atmosphere. Net zero requires deep emission reductions across Scope 1, 2, and 3, with residual emissions addressed through carbon removal rather than offsets.
Baseline Year
A reference year against which an organisation measures its emissions reductions over time. Choosing an appropriate baseline year is crucial for setting meaningful carbon reduction targets and tracking progress.
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