Glossary

Additionality defines renewable energy generation, or voluntary carbon projects, that are genuinely additional - i.e. where any carbon emissions reductions claimed by the project wouldn't have occurred without the project. In practice, companies responsible for financially supporting renewable generation or carbon offsetting, as opposed to buying into what is already available or planned, can claim additionality. By also ensuring that additionality is verified by independent third-party bodies, such as Verra, businesses can ensure that their ESG claims are credible to both regulators and stakeholders.

Advanced biofuels are fuels based on organic feedstocks such as agricultural residues (e.g. straw, corn stover) and waste oils (e.g. used cooking oil) that are considered more sustainable than conventional, first-generation biofuels. Because advanced biofuels, such as HVO, can be processed and distributed under existing petroleum infrastructure, they can often be blended with traditional petroleum fuels. This ensures that they can be used without refitting existing vehicles.

AFOLU is a classification that defines all land-based activities that contribute to greenhouse gas emissions or removals. The main purpose of this classification is to systematically track, report, and manage emissions and carbon sinks from land use in order to support climate change mitigation and policy development. This classification is used by organisations like the IPCC and UNFCCC to help establish where emissions are coming from and identify opportunities for carbon sequestration, such as forest restoration projects.

The EU Air Quality Directive sets legally binding air quality standards for member states, aiming to improve air quality and protect human health and the environment. The Air Quality Directive (EU) is a European Union directive that aims to significantly cut air pollution emissions and accelerate the transition to Net Zero. Adopted on 23 October 2024, the directive also aims to improve assessment methodologies, including more reliable air emissions monitoring across Europe.

Allocation within carbon markets is the process of distributing allowances to covered entities in the emissions trading system (ETS). There are two basic options for allocation: allowances can either be freely allocated or sold, often by auction. Because allowances have a value, the allocation process is governed by rules to ensure their fair distribution. A simple, transparent and credible process facilitates this politically contentious part of operating a trading scheme.

Anaerobic digestion (AD) is a natural process in which micro-organisms break down the organic matter found in biomass (such as agricultural waste, food waste and sewage.) in the absence of oxygen, to produce biogas.  In the context of sustainable fuel, this process is harnessed to produce biogases that can replace natural gas in applications like heating, or as a condensed fuel for use in vehicles. As a sustainable fuel, biogases reduce reliance on fossil fuels and lower greenhouse gases.

Article 6 of the Paris Agreement encourages countries to cooperate voluntarily to meet their climate goals. It enables the transfer of carbon credits generated from emissions reductions between countries, helping one or more parties achieve their targets. The mechanism further supports global climate targets through its provisions for international carbon trading, allowing countries to transfer emission reductions (internationally transferred mitigation outcomes or ITMOs) to help meet their NDCs.

Asset-level decarbonisation refers to the process of reducing carbon emissions from individual buildings and properties within a real estate portfolio. This approach recognises that the overall carbon footprint of a portfolio is driven by the performance of its constituent assets. Effective decarbonisation therefore requires in-depth energy performance assessments and targeted interventions aimed at reducing energy consumption at the asset level.

An environmental audit is a documented process used to assess compliance with environmental laws and evaluate environmental performance. The process is designed to generate insights into potential areas for decarbonisation, whether energy efficiency improvements, renewable energy integration, or equipment and operational upgrades. In addition, where the audit is carried out by recognised third-party providers, such as PwC, they also help to validate sustainability claims.

The Aviation EU ETS is a European Union regulated carbon compliance market designed to measure and offset carbon emissions. In practice, this means that those flights operating within the European Economic Area (EEA) must monitor, report, and pay for their CO₂ emissions by surrendering allowances. Both the UK ETS and EU ETS use a cap-and-trade scheme to lower national emissions. Markets like these incentivise low-carbon practices and enable airlines to achieve their climate targets.

Aviation Emissions Intensity refers to the amount of greenhouse gas (GHG) emissions produced per unit of aviation activity and is a key metric used to assess the environmental efficiency of air travel. In practice, if an airline emits fewer GHGs than another, it means they are creating less pollution. This reduction in emissions intensity could be due to a number of factors, including improved fuel efficiency, optimised flight routing, or the use of sustainable aviation fuel (SAF) credits.

Avoided emissions, sometimes known as ‘Scope 4’ emissions, refer to the greenhouse gas emissions that have been ‘avoided’ by using a specific product or service. This approach introduces a novel way of measuring a company's impact on greenhouse gas (GHG) emissions in which the focus is not on the company’s direct or indirect emissions (as in Scope 1, 2, or 3 emissions), but  on the emissions that would have occurred if the company’s low-carbon solution hadn’t been used.

Baseline emissions are the reference level of greenhouse gas (GHG) emissions that businesses or countries use to measure how much, or little, emissions have deviated. For carbon credit projects, baseline emissions are precisely calculated to predict what the emissions level would be without the project's intervention. This kind of accuracy is essential, as it underpins the project's legitimacy, ensuring that the carbon credits it generates represent true, additional emission reductions or removals.

Bioenergy with carbon capture and storage (BECCS) is the process of capturing and permanently storing CO2 from biomass (i.e. plant matter) to produce energy in the form of electricity, heat, hydrogen, and biofuels, while capturing and permanently storing the resulting CO₂ emissions underground. Because the biomass absorbs CO₂ during growth, with the resultant CO₂ captured and stored rather than released, BECCS can result in net negative emissions, helping to reduce atmospheric pollution.

In the European Union Emissions Trading Scheme (EU ETS), benchmarking is used to determine the free allocation of allowances for installations. Benchmarking in the EU ETS aims to reward the most efficient installations and incentivise others to reduce their emissions by setting a standard based on top performers. This approach helps prevent carbon leakage while ensuring that free allocation allowances are based on demonstrated environmental performance rather than historical emissions levels.

‘Best available techniques’ (BAT) means the available techniques which are the best for preventing or minimising emissions and impacting the environment. You need to use BAT if your operation is an installation (for example, a facility that carries out an industrial process like a refinery, food factory, or intensive farm). The European Commission produces techniques for reference documents or BREF notes, containing ‘best available techniques’ (BAT) for installations.

Biodiesel is a sustainable alternative to traditional petroleum-based diesel. It is produced through transesterification, a process that transforms oils and fats into usable engine fuel.  Considered a sustainable alternative to petroleum-based diesel, biodiesel can be used in road vehicles, machinery, and generators. Its low emissions profile means it can reduce greenhouse gas emissions and improve air quality. For instance, research by CARB has found blends like B100 (100% Biodiesel) can reduce CO2 emissions by around 74% over its life cycle compared to petroleum diesel.

Bioenergy refers to biofuels like bioethanol and biodiesel that are derived from biomass such as dead plant matter or food waste. There are three ways to convert biomass like this into usable bioenergy - burning, bacterial decay, or artificial chemical conversion. Once turned into biofuels, bioenergy can be used for heating and electricity and as a viable alternative to fossil fuels. By reducing the need for fossil fuels, bioenergy supports decarbonisation and broader sustainability targets.

Ethanol or ethyl alcohol (C2H5OH) is a biodegradable, low toxicity liquid that can be used as a biofuel, replacing more conventional fossil fuels like gasoline (petrol). The main advantage of bioethanol is its sustainable profile. Because it is based on naturally occurring, abundant biomass, it can be produced indefinitely. Industries like x and y already use Bioethanol, either in its pure form (E100) or blended with conventional petroleum in flex fuels like E10 and E15.

Blended biofuels mandates are government regulations that require a certain percentage of biofuels to be mixed with conventional fossil fuels. These mandates aim to reduce greenhouse gas emissions, promote energy security, and support agricultural economies by encouraging the use of renewable resources. They also help drive long-term investment in clean energy and foster innovation in sustainable fuel.  

Bio-LNG is a biofuel made from Liquefied Natural Gas (LNG). Produced during the anaerobic digestion process, this produces a biogas – a mix of biomethane, CO2, water and other trace gases. Once the other elements have been removed, the biomethane (also known as renewable natural gas) can be liquified to create bio-LNG. As a renewable fuel with a low carbon profile, bio-LNG is ideal for manufacturing, transport, and other industrial applications with continuous energy-intensive processes.

Biogenic carbon dioxide (CO2) emissions refer to emissions that come from the combustion or decomposition of biomass. Biogenic CO2 emissions are most likely to be derived from businesses that use biofuels in their supply chain. Unlike CO2 from fossil fuels, biogenic CO2 is not considered a greenhouse gas emission if it comes from a sustainable source. This is because biomass sequesters carbon as it grows, ensuring that the CO2 released by combustion can be resequestered.

Bogas is a flammable gas, composed of a mixture of gases, usually carbon dioxide and methane. Biogas can be used a sustainable alternative to natural gas for applications including heating and cooking. By purchasing biogas, it’s possible to support projects that prevent emissions, contributing to cleaner air and reduced environmental impact.

Blue hydrogen, sometimes described as ‘low-carbon hydrogen’, is a form of hydrogen energy that produces fewer carbon emissions than traditional methods. Blue hydrogen is produced mainly from natural gas, using a process called steam reforming, which brings together natural gas and heated water in the form of steam. Blue hydrogen power generation can be used in co-firing in gas turbines, heavy duty transport, shipping & aviation, and heating for industry and buildings.

BREEAM, short for Building Research Establishment Environmental Assessment Method, is an internationally recognised certification. Developed in the UK in 1990, it has grown to become a global standard in sustainable construction. A BREEAM assessment uses rigorous measures of environmental performance, set against benchmarks like land use and waste management to evaluate a building’s design, construction and use. Supporting Net-zero construction, BREEAM can be applied to new and existing constructions, with a rating system that runs from pass to outstanding.

Part L of the Building Regulations covers fuel and power conservation in England and Wales. It establishes energy efficiency standards for both new and existing buildings, with the aim of cutting carbon emissions and encouraging sustainable construction. Serving as preparation for the Future Homes Standard (FHS) Part L applies to both residential and commercial properties, specifying requirements for insulation, ventilation, heating, and other key considerations around the conservation of fuel and power.

In shipping, the term bunkering is the process of supplying the fuel which is used to power a vessel’s engines and run on-board machinery. Bunker fuel is a heavy, viscous fuel oil used to power ships. It’s a byproduct of crude oil refining and is known for its high sulfur content, making it a major source of marine pollution. Cleaner alternatives, such as a biofuels, are being explored to reduce emissions.

The Carbon Border Adjustment Mechanism (CBAM) is a regulatory framework that charges a fee for imported goods based on how much climate pollution was created making them. CBAMs are always paired with carbon prices, which assign a cost to goods or activities in relation to their impact on the climate and environment. The aim of CBAM is to encourage cleaner industrial production by calculating embedded emissions according to the Paris Agreement and the EU Fit for 55 package.

Carbon budgets set a legally binding cap on the maximum level of emissions for a period of five years. Each carbon budget sets a maximum allowable quantity of greenhouse gases (in “carbon dioxide equivalent” or MtCO₂e) across all sectors of the UK economy, with the budgets set at least 12 years in advance through secondary legislation, thereby giving industries and policymakers enough lead time to plan.

Carbon Capture and Utilisation (CCU) involves the capture of CO₂ emissions and their conversion into products like synthetic fuels and construction materials. Capture technologies include processes such as post-combustion capture and direct air capture. Once the CO₂ is captured, it can then be converted using biological processes like algae cultivation and microbial fermentation, or chemical processes like electrochemical conversion. CCU helps support the circular economy by reusing and repurposing carbon emissions as raw materials for new products.

A CCfD guarantees a fixed carbon price (known as a strike price) for a project over a set period. If the market carbon price within the UK or EU ETS falls below the strike price, the government pays the difference to the project developer. The benefit of CCfDs is that they de-risk investment in emerging low-carbon technologies such as carbon capture and storage (CCS). In this way, by securing long-term revenue certainty, developers are more likely to invest in emerging sustainable technologies.

Launched in London in 2000, CDP (formerly known as the Carbon Disclosure Project) is a voluntary reporting framework used by businesses to disclose environmental information to their customers and stakeholders. CDP works with nonprofit and government bodies to promote climate-first policies. Its partners include the United Nations Global Compact, the United Nations Marrakech Partnership for Global Climate Action, the European Commission’s Zero Pollution Stakeholder Platform, Water Europe and the Alliance for Climate Action Brazil.

The Carbon Intensity Indicator (CII) is a measure of how efficiently a ship transports goods or passengers in terms of grams of CO₂ emitted per cargo-carrying capacity and nautical mile. Annual CO₂ emissions are derived from the ship’s reported fuel consumption multiplied by IMO-defined emission factors per fuel type, while cargo-carrying capacity is typically calculated as either the deadweight tonnage (DWT) or the gross tonnage (GT) of the ship, depending on the type of vessel.

Carbon leakage arises when greenhouse gas (GHG) emissions increase in one country due to stricter carbon emissions policies being implemented in another country or region. To prevent businesses from ‘offloading’ their carbon-intensive activities to other countries, the EU introduced the Carbon Border Adjustment Mechanism (CBAM) in 2021. The CBAM ensures that imported goods are subject to a carbon price equivalent to that paid by EU producers, thereby discouraging companies from relocating production to other countries.

Carbon Neutral Certification can be achieved by any organisation, product, or service that can demonstrate that there has been no increase in GHG emissions through the purchase of quantified and verified carbon offsets. Certification relies on robust measurements, either based on the CarbonNeutral Protocol (by Climate Impact Partners) or the PAS 2060 (UK BSI) and the new ISO 14068-1 framework, to ensure verification in accordance with internationally recognized standards.

Short for Carbon Offsetting and Reduction Scheme for International Aviation, CORSIA is a market framework developed by the International Civil Aviation Organisation (ICAO). In practice, where airlines exceed their baseline CO₂ emissions, CORSIA mandates that they must offset the difference by buying eligible emissions units in the form of carbon credits. These credits represent verified reductions or removals of greenhouse gases (GHGs) taken from a variety of sources and applications, including renewable cookstove projects, reforestation, methane capture, and mitigation of HFC emissions.

The Carbon Price Floor (CPF) is a UK government policy designed to support the EU Emissions Trading System (EU ETS). The CPF was introduced in 2013 to underpin the price of carbon at a level that drives investment sustainable fuels and practices. The price floor consists of two components - the EU ETS allowance price, and the Carbon Support Price (CPS). Through these mechanisms, the CPF ensures a minimum carbon price that encourages consistent investment in low carbon technologies.

The EU Carbon Removals and Carbon Farming Regulation (CRCF) was designed to standardise carbon removal efforts, providing a comprehensive voluntary framework for the certification of permanent carbon removals. Aimed at regulating carbon removal, the framework measures carbon farming and carbon storage according to four key metrics: additionality, quantification, permanence and sustainability. To receive certification, operators of carbon removal activities are required to apply for a public or private certification scheme approved by the EU Commission.

The Clean Development Mechanism (CDM) is a mechanism under the Kyoto Protocol, which, in accordance with Article 12 of the Kyoto Protocol, allows emission-reduction projects in developing countries to earn certified emission reduction (CER) credits, each equivalent to one tonne of CO₂. Designed to help countries meet their greenhouse gas (GHG) reduction targets, and encourage private sector investment, CERs can be traded and sold by industrialised countries to meet part of their emission reduction commitments under the Kyoto Protocol. 

In March 2020, the European Commission adopted its Circular Economy Action Plan – a policy framework with initiatives affecting the entire life cycle of products, from design to manufacturing to end-use consumption. The plan identifies vehicles as a priority value chain due to their environmental footprint and potential for circularity. To help tackle this, the plan aims to support the electrification of transport, including improved end-of-life vehicle treatment and the recyclability of components.

Clean Air Zones are defined areas where specified vehicles are required to comply with emissions standards. In the UK, there are currently four classes of CAZ: A, B, C and D. Class A is the least stringent and includes buses and taxis, while Class D is the most stringent and includes HGVs and vans. If a vehicle exceeds emission standards within a clean air zone, the operator must pay a charge to enter or operate within the designated area.

The Clean Energy Package lays the groundwork for establishing a new electricity market by introducing an updated Electricity Directive and Regulation, a new Regulation on Risk Preparedness and a revised ACER Regulation. The package addresses five key dimensions:

Climate Adaptation Planning refers to preparing for the effects of environmental damage. The five main climate risks are overheating, flash flooding, storms, droughts and wildfires. These kinds of effects can be mitigated or avoided by modelling future climate scenarios to inform long-term strategies, such as designing green spaces, implementing sustainable drainage systems, reinforcing coastal and river defenses, diversifying water supply sources, and managing land to reduce wildfire risk.

The Climate Change Agreements (CCA) scheme, introduced in 2001, is designed to reduce energy costs in eligible industrial sectors by providing a discount on the Climate Change Levy (CCL). In practice, businesses that enter into a CCA commit to meeting agreed energy efficiency or carbon reduction targets. In return, this entitles the business to a discount on the CCL, a tax applied to energy use by non-domestic users in the UK.

Introduced in 2001, the Climate Change Levy (CCL) is an environmental tax charged on the energy that businesses use. It is designed to encourage businesses to be more energy efficient in their operations, with the aim of reducing the overall emissions that they produce over time. The CCL is levied on electricity, gas and solid fuels and applies to industry, agriculture and the public sector, and on large fossil fuel-based power generators through the Carbon Price Support (CPS) mechanism.

The Task Force on Climate-Related Financial Disclosures (TCFD) was created in 2015 to provide a common framework for reporting on the risks and financial impacts of climate change, while the CSRD (Corporate Sustainability Reporting Directive) was created to standardise and expand sustainability reporting across the EU. Both frameworks cover climate risk and sustainability disclosure, but they differ in scope. TCFD focuses specifically on climate-related financial risks and opportunities, while CSRD encompasses all ESG factors.

A compliance carbon market is a mandatory, government-regulated system designed to reduce greenhouse gas emissions. These markets work by setting a cap on emissions for specific industries, such as shipping and aviation, and then allowing these sectors to trade allowances (permits to emit) or credits, creating a financial incentive to reduce emissions. In practice, markets like the UK ETS and EU ETS use cap-and-trade schemes to lower emissions in accordance with legislation like the Paris Agreement.

Construction 2025 is a government-led action plan to promote the success of the UK construction sector. The long-term strategy aims to improve economic growth, create new jobs, encourage younger people into the industry, while increasing the emphasis on sustainability, green construction, innovation and exports. In practice, the standard will aim to lower construction costs by 33%, achieve 50% faster delivery for new builds, and to lower greenhouse gas emissions by 50%.

A corporate PPA allows a business to buy electricity directly from a renewable energy project, such as a wind farm or solar park. Corporate PPAs enable businesses to procure green electricity without owning renewable assets directly. These contracts help stabilise electricity costs over a long period, typically 10–20 years. In addition to electricity, companies receive environmental attributes such as RECs or GoOs that contribute to their carbon reduction claims and sustainability targets.

The Corporate Sustainability Reporting Directive (CSRD) is the new EU directive that will soon take effect for large and listed companies. Under the directive, it will be mandatory for these companies to report on their environmental impact. This includes reporting on 10 key ESG topics, including pollution, resource use and biodiversity. The aim of the CSRD is to drive accountability and transparency, promoting sustainable practices and investments.

Renewable energy projects generate vast amounts of data - ranging from financial records to performance metrics. Over time, without strong cybersecurity measures, data like this can become vulnerable to cyber attacks. Such attacks can lead to extreme disruption – halting energy production, compromising distribution, and destabilising the grid, potentially impacting national security and public safety. Cybersecurity for renewable energy infrastructure, including SCADA systems and cloud-based energy management platforms, is crucial to avoiding these vulnerabilities.

Direct Air Capture (DAC) is key technology in the drive to fight climate change. DAC works by extracting CO2 directly from the atmosphere. The process works by drawing air into separating equipment like filter banks or cooling towers. From there, CO2 filtering typically involves a chemical process that binds the CO2 for release later. This can then be either permanently stored underground in geological formations or repurposed for industrial uses such as synthetic fuel production or concrete manufacturing. 

Data centres, through energy-intensive processes, generate a lot of heat. So that this heat isn’t wasted, applications now exist to ensure the heat can be reused. Through a closed loop system, water is heated by excess thermal energy, the heated water is then transferred to a network of pipes where it connects to nearby homes via heat interface units (HIUs). These units then transfer the heat to domestic heating systems, such as radiators, underfloor heating and hot water tanks.

Through the powering of servers and cooling systems, data centres generate a lot of heat. So that this heat isn’t wasted, applications now exist to ensure the heat can be recovered. Through a closed loop system, water is heated by excess thermal energy, the heated water is then transferred to a network of pipes where it connects to nearby homes via heat interface units (HIUs). These units then transfer the heat to domestic heating systems, such as radiators, underfloor heating and hot water tanks.

Data centre infrastructure efficiency (DCiE) measures how well data centers use energy. Created by The Green Grid industry group, this assessment tool enables operators to evaluate power consumption patterns, identify bottlenecks, and optimise infrastructure. By tracking DCiE scores, organizations can reduce operational costs while improving environmental sustainability and meeting industry benchmarks.

Decarbonisation pathways refer to strategic approaches aimed at reducing carbon emissions across sectors such as data centres, manufacturing, aviation and shipping. Pathways like these are essential for achieving Net Zero targets and typically involve a technological innovation, policy and reform. One common pathway is the transition to renewable energy via sources such as wind, solar and hydroelectric.

Demand-side flexibility, also referred to as demand-side management (DSM), involves programmes, policies and technologies that aim to reduce the amount of power customers use during times of peak demand, often through the use of financial incentives. Implemented in the winter of 2022 as an incentive to reduce energy consumption, it rewards consumers for using less electricity.

A Distribution System Operator (DSO) describes an emerging model for how electricity is delivered to local residents and businesses. The role of DSOs is pivotal in the modern power networks. Unlike traditional Distribution Network Operators (DNOs) that manage a one-way flow of electricity from centralised generation plants to consumers, DSOs actively balance supply and demand in a more complex, multi-directional grid environment, ensuring a resilient electricity supply that integrates renewable energy sources into its output and supports local generation.

Developed by the EU, the core elements of this duty involve addressing and mitigating human rights and environmental risks across a company’s entire value chain, not just their own operations. The directive applies to EU companies that had above 1,000 employees and above EUR 450 million net worldwide turnover in the last financial year, and non-EU companies that generated a 'net turnover in the Union' of more than EUR 450 million in the financial year preceding the last financial year.

Dynamic Load Management is smart charging technology that automatically adjusts EV charging power based on real-time building electricity demand. When overall consumption is high, the system reduces charging rates to prevent circuit overload. When demand drops, charging power increases. This enables businesses to install multiple charge points without costly electrical infrastructure upgrades, maximising use of existing capacity while maintaining grid stability and safety standards.

EACs are tradable certificates that prove renewable energy generation, allowing organisations to claim green energy use regardless of their physical grid connection. Renewable Energy Certificates are one such type of EAC, with a variety of others being traded around the world. The main types of RECs are REGOs, which are exclusive to the UK, Guarantees of Origin, which cover Europe, and I-RECs, which serve markets without domestic tracking systems. Companies buy RECS to support renewable energy claims in carbon accounting and sustainability reporting.

The EED is EU legislation that requires member states to achieve binding energy efficiency targets through measures including building renovations, mandatory energy audits for large enterprises, and efficient heating and cooling systems. Regularly updated with increasingly ambitious targets, the directive drives reduction in energy consumption across sectors to support energy security and the EU's climate objectives.

An EIA is a systematic evaluation of the environmental effects of a project prior to approval. The process examines impacts on ecosystems, air and water quality, biodiversity, and local communities. It does this through mitigation strategies, alternatives analysis, as well as stakeholder consultation, ensuring sustainability considerations are integrated into project planning and decision-making concerns.

Electrical Loss Factor is a coefficient that represents the energy lost as heat during transmission and distribution through the power network. Typically ranging from 5-10%, depending on voltage and distance, these losses usually occur in cables, transformers, and other essential pieces of infrastructure. Businesses use loss factors to adjust consumption data to achieve more accurate billing and carbon reporting, determining the true generation required to meet demand.

Emissions Factors are coefficients that convert energy consumption or activity into CO2 equivalent emissions, expressed per unit such as kWh, kilometer, or kilogram. These factors vary by fuel type, grid mix, and geography. Businesses use them for carbon footprint calculations, ESG reporting, and comparing the environmental impact of different operational choices or procurement decisions.

The EPS is a UK regulation capping CO2 emission from new fossil fuel power stations at 450g per kWh. This effectively prevents new unabated coal-generation while permitting the operation of gas-fired plants. The standard incentivises investment in carbon capture and storage technology, while supporting the transition to lower-carbon generation while maintaining energy security during the shift to renewables.

The EU ETS works on the 'cap and trade' principle. A cap is set on the total amount of greenhouse gases that can be emitted by the operators covered by the system. The cap is reduced over time so that total emissions fall. Within the cap, operators buy or receive emissions allowances, which they can trade with one another as needed. The EU ETS covers around 40% of the EU's greenhouse total gas emissions as the highest emitters are bound by this specific scheme.

The UK Energy Act is designed to accelerate the energy transition and enhance security. Key provisions include reforms to electricity market arrangements, support for carbon capture and storage projects, and measures to facilitate hydrogen production. The Act establishes new frameworks for community energy schemes. It aims to improve consumer protections and streamline planning processes for major energy infrastructure. It also sets out to reduce dependence on fossil fuel imports while supporting net zero commitments through low-carbon energy sources.

Energy and Water Efficiency refers to design and operational strategies to minimise resource consumption in buildings and data centers. In construction, this includes high-performance insulation, efficient HVAC systems, smart lighting, and water recycling technologies. In data centres, meanwhile, this mandate is interpretated as improving energy efficiency through advanced cooling systems, server virtualisation, waste heat recovery, and power usage effectiveness (PUE) optimisation.

LEED (Leadership in Energy and Environmental Design) provides certification across multiple sustainability criteria including energy efficiency. ENERGY STAR, by contrast, focuses on energy performance, offering ratings and certifications for buildings that perform in the top percentile. These benchmarks support energy efficiency and long-term sustainability while providing recognition for high-performing assets.

The EEOS is an EU policy framework that requires energy suppliers and distributors to achieve cumulative energy savings targets among end consumers. The aim of the EEOS is to drive investment in energy efficiency across residential, commercial, and industrial sectors. Obligated parties must implement measures such as building insulation upgrades and industrial process improvements - schemes can include tradable white certificates, allowing flexibility in how targets are met.

The Energy Hierarchy is a priority framework designed for energy managers. The hierarchy is typically structured as: reduce demand first, improve efficiency second, switch to renewable sources third. This order of decision-making ensures that energy use is addressed in a way that ensures effective decarbonisation, prioritising actions that deliver the greatest emissions reductions at the lowest cost.

Energy Infrastructure Resilience describes the capacity of energy systems to withstand, adapt to, and rapidly recover from disruptions, such as extreme weather, cyberattacks, equipment failures, and supply shocks. Resilience strategies include grid diversification, distributed generation, energy storage, redundant systems, and cybersecurity protocols. Streamlining, scenario planning, and adaptive management should be implemented to ensure resilience throughout the entire infrastructure.

An EPC is a mandatory document rating a building's energy efficiency on an A to G scale, with A being most efficient. EPCs provide estimated energy costs, carbon emissions, and recommendations for improving energy measures. Required for sale or rental of properties in the UK and EU, they allow buyers and tenants to compare the energy efficiency of each building. Minimum EPC ratings are increasingly required for commercial properties, driving retrofits and upgrades across the building stock.

The Energy Security Strategy is a government policy framework outlining measures to ensure reliable, affordable energy supply while achieving net zero. The strategy emphasizes domestic energy production through nuclear power expansion, offshore wind acceleration, and North Sea oil and gas development during transition. It includes investments in hydrogen, carbon capture, energy efficiency, and grid infrastructure.

This UK regulatory framework governs industrial activities with significant environmental impact, including waste management, emissions to air and water, and hazardous waste. Operators must obtain permits demonstrating use of Best Available Techniques (BAT) to prevent or minimise pollution and climate change. The EPR consolidates multiple environmental policies into a single regulatory framework, providing clarity for businesses on their environmental obligations.

EPDs quantify impacts including carbon emissions, water use, resource depletion, and pollution across raw material extraction, manufacturing, transport, use, and disposal. Increasingly required for construction materials and manufacturing procurement, EPDs enable comparison between products and support green building certifications like BREEAM and LEED. Third-party verification ensures credibility, helping organizations make informed purchasing decisions and report scope 3 emissions accurately.

The Environmental Risk Register is the systematic documentation of the potential environmental risks an organisation might face. The register prioritises risks, assigns ownership, and tracks control effectiveness through regular review. Essential for integrated risk management, it informs strategic planning, resource allocation, and insurance decisions while demonstrating due diligence to regulators.

The ESG (Environmental, Social, Governance) framework evaluates organisational performance across three pillars: environmental impact (emissions, resource use, pollution), social responsibility (labor practices, community relations, diversity), and governance quality (board structure, ethics, transparency). There is increasing demand from customers, employees, and the public for companies to operate more sustainably and ethically. ESG signals, such as voluntary carbon, enable businesses to demonstrate their commitment to sustainability and climate concerns.

The ETSWAP stands for Emissions Trading Scheme Workflow Automation Project. The ETSWAP enables operators of covered installations to hold accounts, trade allowances, and surrender them to match verified emissions. Automating workflows for processes including compliance monitoring, the ETSWAP ensures transparency of emissions data across high-emitting sectors. Replacing UK participation in the EU ETS post-Brexit, ETSWAP maintains carbon pricing mechanisms for high-emitting sectors such as manufacturing, aviation, shipping and construction.

FAME (Fatty Acid Methyl Esters) is a type of biofuel that is made of a diverse range of feedstocks including vegetable oils, animal fats, waste oils and other biomass sources. Used in transport and stationary power generation, it helps users reduce carbon emissions while supporting compliance obligations. As well as being combustible as a standalone fuel (B100), it can also be blended with diesel (B0) for road transport or with very low sulphur oil (VLSFO) for shipping.

The UK Feed-in Tariff (FIT) was a government scheme launched in April 2010 to incentivise renewable power generation by households and businesses. It applied to installations completed between July 2009 and March 2019, when it closed to new applicants. Participants received payments for electricity generated through eligible technologies including solar PV, wind turbines, and hydroelectric. Existing FIT recipients continue to receive their payments under the original terms.

The EU has committed to reduce its net greenhouse gas emissions by at least 55% by 2030. The ‘Fit for 55’ regulation lays out a roadmap for the EU economy to achieve this target. It sets the EU on a path to reach its climate targets in a fair, cost-effective and competitive way. The legislation also includes reforms to the EU Emissions Trading System, stricter CO₂ standards for vehicles, and the introduction of a Carbon Border Adjustment Mechanism (CBAM) to prevent carbon leakage.

Developed as part of the European Commission’s Fit for 55 package, the FuelEU Maritime Regulation promotes the use of renewable, low-carbon fuels and clean energy technologies within the shipping sector. FuelEU Maritime sets maximum limits for the yearly average greenhouse gas (GHG) intensity of the energy used by ships above 5,000 gross tonnages calling at European ports. Targets will ensure that the greenhouse gas intensity of fuels will gradually decrease over time, starting with a 2% decrease by 2025 and reaching an 80% reduction by 2050. 

Lifecycle analysis, sometimes referred to as fuel cycle or well-to-wheel analysis, is used to assess the overall greenhouse gas (GHG) impacts of a fuel. EPA’s lifecycle analysis includes significant indirect emissions as outlined by the Clean Air Act. Evaluating the impact of a fuel from "cradle to grave" - encompassing every stage from raw material extraction, processing, and refining, through to final combustion or use, LCA quantifies the environmental impact of fuel across the entire supply chain.

Fugitive emissions are unintended greenhouse gas releases that escape from equipment, infrastructure, and industrial processes (e.g. refrigerants in data centres) rather than through designated exhaust points. Typical sources include leaks from pipelines, valves, and storage tanks in oil and gas operations, as well as methane seepage from coal mines and landfills. Though often invisible, these emissions are significant drives of climate change, particularly methane which has high warming potential. Detection and repair programs are crucial for reducing these often-overlooked losses.

Future fuels are low and zero-emission alternatives to fossil fuels. Future fuels include green hydrogen produced from renewable electricity, sustainable aviation fuels (SAF) derived from waste or biomass, and biofuels such as FAME and HVO that are also derived from biomass. Fuels like this aim to decarbonise hard-to-electrify sectors like aviation, shipping, and heavy industry while leveraging existing infrastructure where possible, supporting the transition to a carbon-neutral economy.

Gas transmission decarbonisation refers to reducing or eliminating carbon dioxide (CO₂) emissions from the gas industry. This is done by displacing natural gas with renewable gases like biomethane and hydrogen, or by using carbon capture and storage (CCS). Carbon capture can be applied at compression facilities, while existing pipelines may be repurposed for CO₂ transport. Decarbonisation Strategies like these are essential to supporting Net Zero while maintaining system reliability and supply.

The GHG Protocol categorises greenhouse gas emissions into three Scopes – Scopes 1-3. Scope 1 covers direct emissions from owned or controlled sources like vehicles or fuel combustion devices. Scope 2 includes indirect emissions from purchased energy, e.g., PPAS, including electricity used to light, heat, or cool a building. Scope 3 encompasses all other indirect emissions across the value chain, including business travel, purchased goods and services. The GHGH Protocol enables organisations to report their emissions in line with a recognised global framework.

Ammonia (NH₃) is a pungent gas that is widely used to make agricultural fertilisers. Ordinary ammonia is produced using fossil fuels. Green ammonia production, by contrast, is where ammonia is produced using 100% renewable energy and carbon-free sources. Created by combining hydrogen from water electrolysis with nitrogen from air, this sustainable alternative to conventional ammonia, which relies on fossil fuels, offers promising applications in fertiliser production, maritime fuel, and energy storage.

The Green Claims Code is guidance issued by the UK's Competition and Markets Authority (CMA) to help businesses make accurate environmental claims about their products or services. The code aims to prevent misleading environmental marketing that employs deceptive sustainability assertions to gain unfair commercial advantage. Establishing standards that require claims to be truthful, clear, and substantiated with evidence, the Code ensures transparency of operations and prevents vague or exaggerated environmental benefits.

The Green Deal Industrial Plan is the EU's strategy launched in 2023 to boost Europe's clean technology manufacturing and maintain competitiveness during the green transition. With the aim of accelerating production of renewables like solar panels and wind turbines within Europe, the plan includes simplified regulations, funding access, and trade measures to prevent carbon leakage. The Deal responds to concerns about European industry losing ground to subsidised competitors.

The Green Hydrogen Standard establishes a global definition of green hydrogen. The global initiative defines and certifies green hydrogen, ensuring its production is based on renewable energy sources with close to zero greenhouse gas emissions (below 1 kg CO2e per kg H2). While not universally adopted, key regions like the EU and US have introduced their own certification frameworks with strict emissions thresholds, aiming to prevent greenwashing and ensure decarbonised hydrogen production.

Greenhouse Gas Removal (GGR) is also known as ‘negative emissions’, or in the case of carbon dioxide (CO2) specifically, carbon dioxide removal (CDR). It is an umbrella term for techniques that capture greenhouse gases from the air and store or chemically convert them with some degree of permanence. Unlike CO2 emission reduction techniques, which prevent greenhouse gases from entering the air, GGR techniques take back greenhouse gases that are there already. 

Green Public Procurement (GPP) is the EU's approach where public authorities integrate environmental criteria into their purchasing decisions. When buying goods, services, or works, governments consider the entire lifecycle environmental impact - from production through use to disposal. This instrument encourages markets toward sustainability by leveraging public sector spending power (around 14% of EU GDP) to drive demand for eco-friendly products, stimulate green innovation, and demonstrate environmental leadership while achieving cost savings via reduced resource consumption.

Guarantees of Origin (GOs) are renewable energy certificates used to track and document the consumption of renewable energy in Europe. Each GO represents 1 MWh of renewable energy and verifies how, where and when that unit of energy was produced. GOs are cancelled in favour of a single organisation, which then owns the environmental benefits of that unit of energy. They can be bought in one country and transferred to prove clean energy consumption in another.

The Heat Networks Investment Project (HNIP) was a UK government funding scheme supporting the development of heat networks. Launched to decarbonise heating, HNIP provided grants and other types of financial support for new and improved district heating infrastructure. The programme aimed to reduce carbon emissions by utilising low-carbon heat sources like waste heat, geothermal, and energy-from-waste. It was designed to stimulate market growth and create the conditions for a self-sustaining heat network sector.

A high-performance data centre can be defined as an advanced facility that processes and stores data. Typically featuring parallel processing across multiple servers or supercomputers, these facilities support demanding workloads like artificial intelligence, machine learning and big data analytics. Additional attributes include low latency, high bandwidth connectivity, ensuring superior energy efficiency and extended uptime. Hyperscale data centres, meanwhile, focus on scalable infrastructure for general-purpose cloud services and data storage.

HVO100 (Hydrotreated Vegetable Oil) is a sustainable alternative to traditional fuels, which can reduce your carbon emissions by up to 90%. Made from the hydrotreatment of vegetable oils and fats, and free from pollutants like sulphur and oxygen, HVO has a cleaner combustion profile than conventional fuels. As a result, due to significantly lower emissions of particulate matter, HVO helps support businesses in the transport sector reduce their carbon footprint.

A Hybrid Power Purchase Agreement (Hybrid PPA) is a type of energy contract that allows buyers to procure electricity from a combination of renewable energy sources (e.g., solar, wind, and energy storage systems) under a single agreement. This integrated approach combines complementary renewable technologies to provide more reliable power compared to traditional single-source renewable contracts. By bundling multiple assets together, buyers benefit from simplified administration rather than dealing with separate agreements for each energy source.

A hydrogen backbone is a dedicated pipeline network designed to transport hydrogen gas across regions or countries. These pipelines often repurpose existing natural gas infrastructure, thereby reducing costs and environmental impact. The backbone facilitates the transition to clean energy by providing reliable hydrogen supply for industries, power generation and transport. Prominent examples include the European Hydrogen Backbone (EHB) and initiatives in the UK and Portugal. 

Government regulations require natural gas suppliers to mix specified percentages of hydrogen into existing gas networks. Designed to reduce carbon emissions while using current infrastructure, current hydrogen blending mandates typically require 5-20% hydrogen blending ratios. Serving as essential transitional measures toward decarbonisation, the mandate nonetheless faces challenges. These include equipment compatibility, higher costs, reduced energy density, and limited emission reductions compared to full hydrogen adoption or other forms of clean energy.

Hydrogen storage infrastructure involves underground caverns, such as salt caverns, for seasonal storage and shorter-term surface storage in tanks for daily balancing. Salt caverns offer large-scale capacity with minimal hydrogen loss, making it ideal for long-term energy reserves. Surface facilities include high-pressure steel tanks and composite vessels that help support grid stabilisation. This integrated infrastructure approach ensures supply security, bridging renewable energy intermittency with consistent demand needs across heavy industry and transport.

ICAO operates as the UN's designated agency for civil aviation and was formed in 1947. The body sets global standards covering safety protocols, security measures, and environmental requirements. Through the CORSIA mechanism, it focuses on tackling emissions from international flights, one of the aviation sector’s chief priorities. The organisation also promotes sustainable fuel adoption as a cost-effective fuel alternative, balancing financial growth with environmental responsibility.

Digital infrastructure creates substantial environmental impacts that circular economy approaches can address. European data centres now focus on keeping equipment functional longer through repairs and refurbishment. Smart design choices allow easier component replacement and material recovery. Cooling innovations and clean energy sources cut down operational impacts. Manufacturers bear responsibility for what happens to hardware after use. Building data centres in segments makes future modifications simpler. Some facilities even channel excess heat into local heating networks, turning waste into value.

The shipping industry's latest climate roadmap aims for net-zero emissions around 2050. Interim goals require cuts of 20-30% by 2030 and 70-80% by 2040 from 2008 baselines. Alternative fuels such as ammonia and methanol feature prominently in transition plans. The shipping sector will need both better technology and smarter operations. Economic instruments and fuel requirements form the mid-term policy mix. The strategy acknowledges different national circumstances, particularly for developing countries, while pushing the sector toward fundamental transformation.

Large ships must now track and report their fuel use annually under IMO rules introduced in 2019. Vessels exceeding 5,000 gross tonnage submit verified details about fuel types, amounts consumed, and distances covered. This transparency reveals patterns in maritime fuel efficiency and emissions. The information shapes future regulations and tracks whether targets are being met. Ships can compare their performance against similar vessels. The data feeds into carbon intensity calculations, with solid evidence from actual operations guiding both regulators and shipping companies toward improved environmental outcomes.

Around 50,000 industrial sites across Europe fall under the IED's pollution controls. The directive takes a comprehensive view, tackling emissions to air, water, and land simultaneously. Operators need permits proving they use the most effective pollution prevention methods available. Coverage spans energy production, manufacturing, chemical plants, waste facilities, and large farms. Operators must monitor impacts and report results regularly. Updates to the directive have widened its reach and toughened requirements. This framework pushes facilities toward cleaner operations while safeguarding public health and natural environments.

Britain's construction sector faces scrutiny over carbon emissions embedded in materials and generated during operation. The review promotes assessing climate impacts from initial design through eventual demolition. Low-carbon alternatives, innovative building techniques, and material reuse get particular attention. Production of cement, steel, and aluminum represents major emission sources, as well as key sectors covered by CBAM. Standard measurement approaches and carbon limits for major programmes feature among key recommendations.

Companies practicing insetting cut emissions within their own operations and supply networks rather than paying for distant projects. Investments might support regenerative farming, renewable installations at supplier facilities, or efficiency upgrades. This creates benefits for suppliers and communities directly connected to the business. It tackles Scope 3 emissions where influence runs strongest. Building deeper supplier relationships and operational resilience comes naturally with this approach. Insetting also gives companies more control than traditional offsets. Changes happen in places where the business already operates and has relationships.

Attaching financial values to greenhouse gas emissions is the core principle behind the Internal Carbon Price. Some companies do this buy using shadow prices or internal carbon fees to weigh investment options and operational choices. These values shape where money gets invested, what products get developed, and which suppliers are selected. By carrying out these actions, companies ready themselves for mandatory carbon costs while uncovering efficiency savings.

This globally recognised standard helps organisations manage their environmental responsibilities. Companies identify their impacts, establish controls, and track their sustainable actions over time. Setting clear objectives and following defined procedures forms the core approach, while certification shows stakeholders a genuine commitment to compliance and impact reduction. Any organisation, regardless of sector or size, can apply the framework. External auditors verify ongoing compliance and progress. The standard helps cut waste, lower operating costs, and satisfy stakeholder demands.

ISO 50001 allows organisations to manage energy use more effectively through structured systems. The approach involves creating policies, setting targets, and planning specific actions. Measuring energy consumption, documenting processes, and pursuing ongoing improvements are central elements. Facilities pinpoint where energy gets used most and implement controls around those areas. Leadership commitment ensures proper funding for energy projects. Lower costs and reduced emissions follow naturally. The standard works for any type or size of organisation.

Under the Kyoto Protocol, joint Implementation created opportunities for industrialised nations to invest in emission-cutting projects across other developed countries and claim credits. This required each joint implementation to demonstrate "additionality." Additionality is where emission reductions go beyond what would have occurred without the project. This ensures environmental integrity and prevents the misuse of carbon credits. The scheme ran its course between 2008 and 2020.

Europe's Just Transition Mechanism directs resources toward communities hit hardest by moving away from coal and fossil fuels. Mining towns and industrial regions get financial support in the form of direct grants and loans for worker retraining programmes and creating new economic sectors. Areas reliant on carbon-heavy industries receive investment to generate fresh job opportunities in sustainability sectors. This ensures that sustainability is an equitable process, enabling affected workers and vulnerable groups navigate the transformation toward Net Zero.

Organisations use KPIs to gauge their performance on environmental, social, and governance fronts. Typical measurements cover carbon output, water consumption, workforce diversity, boardroom independence and ethical business practices. These numbers should give a clear indication of whether sustainability goals are realistic. Investors now routinely examine these metrics before committing capital, making KPIs essential to guiding business strategy as well as answering stakeholder concerns.

Electrical energy is measured in kilowatt-hours, which is the same rating used to show how efficiently devices and buildings use power. Products are scored on how many kWh they need for each unit of work or per hour of operation. Establising these ratings helps people choose technologies that save energy and money. Since utility companies charge by the kWh, these numbers directly affect what households and businesses pay. Better ratings equate to real savings and a reduced carbon footprint.

LULUCF tracks greenhouse gas emissions and removals from forests, croplands, grasslands, and wetlands. Land management projects significantly impact atmospheric carbon through sequestration or release. Countries report LULUCF activities separately in climate inventories. Natural carbon sinks help offset industrial emissions, though measuring biological processes poses accounting challenges. These activities form a critical component of national climate strategies and carbon accounting frameworks.

The Low Carbon Fuel Standards require fuel suppliers to reduce carbon intensity over time. Suppliers earn or purchase LCFS Credits based on fuel carbon intensity. The system encourages biofuels, hydrogen, and electricity adoption. Lifecycle analysis captures emissions from extraction through combustion. Credits create economic incentives for cleaner production. LCFS programmes complement vehicle standards by addressing fuel characteristics. This market mechanism drives innovation while offering suppliers compliance flexibility.

LEED is a globally recognised framework for certifying sustainable building. Projects accumulate points through energy efficiency measures, including water conservation, materials choices, and site management. There are four separate levels of certification - certified, silver, gold, and platinum, covering new builds, existing structures, and restoration projects. LEED-verified assessors ensure sustainability claims are valid. By promoting transparency and accountability, the framework helps developers achieve sustainable performance.

Lifecycle emissions measure greenhouse gases throughout a product's existence from raw material extraction through disposal. This assessment reveals impacts beyond direct production. Transportation, packaging, and end-of-life treatment are the focus for calculating lifecycle emissions to identify reduction opportunities. For example, a company’s products might show different profiles depending on use intensity. Measuring lifecycle emissions enables in-depth product comparisons, shifting focus from isolated changes to informed circular economy approaches.

Liquidity risk arises when participants cannot easily trade carbon credits or energy contracts without price impacts. Slim trading volumes create vulnerability during certain periods. For instance, organiaations may struggle to exit positions or hedge exposures effectively. Risk management requires diversifying across contract types, with market makers and exchanges enhancing liquidity through transparent pricing, enabling efficient price discovery and reducing transaction costs for all participants.

Load flexibility describes adjusting electricity consumption based on grid conditions or pricing where data centres and industrial facilities shift non-critical operations to off-peak hours when renewable generation peaks. Controls like this enable responsive adjustments without disrupting key operations, ensuring grid stability and decreased expenditure on unnecessary energy. As renewables increase grid variability, load flexibility within data centres and industrial facilities will become more and more critical to ensuring system reliability and sustainable operations.

Local Area Energy Planning maps current and future energy demand to guide infrastructure investment within the construction sector. Energy Plans identify opportunities for district heating, vehicle charging, and building retrofits. This helps consolidate fragmented decision-making into a single joined up decarbonisation strategy. Local Area Plans also support regional modeling, where data simulations are used to plan energy initiatives across large areas.

Construction materials represent major embodied carbon sources through manufacturing. Cement and steel production, in particular, account for significant global emissions. Alternatives include recycled aggregates, sustainable timber, and innovative binders. Engineered wood is also considered a low carbon material due to its carbon sequestration properties, while hempcrete and geopolymer concrete offer sustainable alternatives. Materials like these enable construction firms to meet safety requirements while reducing emissions throughout supply chains.

Building regulations increasingly require Low or Zero Carbon technologies in new construction. These include solar panels, heat pumps, mechanical ventilation with heat recovery, and efficient building fabric. Technologies must demonstrate emission reductions versus conventional approaches. Compliance calculations assess annual carbon from heating, lighting, and ventilation. Regulations, meanwhile, drive the uptake of proven solutions that in turn help to drive the energy transition.

A MACC plots emission reduction opportunities against their cost per tonne of CO₂ saved. Measures appear from left to right, starting with the cheapest options and progressing to expensive alternatives like carbon capture on the right. The vertical axis shows cost per tonne, while the horizontal axis shows potential savings. This curve helps identify quick wins alongside long-term commitments to sustainability.

Ships now face strict emissions oversight through both EU ETS and international frameworks. The EU Emissions Trading System includes maritime transport. This requires vessels to surrender allowances for CO₂ released on European voyages. Simultaneously, the IMO's Carbon Intensity Indicator rates ships annually based on cargo carried and fuel consumed per nautical mile. Designed to encourage decarbonisation, these benchmarks ensure that the maritime sector transitions toward cleaner fuels (e.g. biofuels) and operational improvements.

The MCI quantifies how well products and companies retain material value through reuse, recycling, and extended lifespans. Scores range from zero (fully linear) to one (perfectly circular). The indicator takes into account virgin material input, product longevity, and what happens after use. Higher scores reflect less waste and resource extraction. Companies generally apply MCI to compare product designs and identify circular economy opportunities, ensuring environmental progress toward circularity whilst highlighting where outdated linear practices still dominate.

The Methane Action Plan targets methane to ensure its reduction. Strategies focus on oil and gas operations, agriculture, and waste management - the three largest sources of atmospheric methane. Detecting and fixing leaks from pipelines and equipment delivers quick wins, while waste sector actions emphasise capturing landfill gas for energy. In addition, using biogas allows for the capture of methane emissions, providing another pathway to reducing its impact.

Microgrids are local energy networks that can disconnect from the main grid and operate independently. They typically combine distributed generation like solar panels with battery storage and local loads. When connected to the main grid, microgrids can export excess power or draw additional supply as needed, offering flexibility to both operators and the user. This setup ensures continuous operation during grid outages, while optimising renewable energy use through on-site calibration.

The Monitoring, Reporting, and Verification (MRV) regime mandates airlines to collect and report emissions data within the CORSIA scheme. MRV systems ensure that data submitted to the CORSIA is accurate, transparent, and verifiable. In addition, because the MRV report is submitted by the entity responsible for the airline under the ISM code, this ensures that emissions liability is tied to a defined legal entity, typically the operator registered with the relevant aviation authority.

A Multi-Site Power Purchase Agreement (PPA), also known as a Portfolio PPA, is a long-term contract that bundles the energy needs of multiple corporate locations into a single agreement with one or more renewable energy generators. This type of contract offers significant advantages over standard PPAs, especially for large organisations with energy needs across different locations. Agreements like these particularly suit retail chains, manufacturers with distributed operations, and public sector bodies managing numerous buildings under centralised procurement.

Data centres now favour modular infrastructure where cooling, power, and IT equipment come as prefabricated units. This is to ensure that capacity matches actual needs rather than anticipated peak loads. Operators expand incrementally as demand grows, avoiding stranded investment in excess capability. Cooling modules positioned near servers minimise energy waste from long distribution runs. Factory assembly guarantees consistent quality and speeds installation. Hot aisle containment combined with variable speed fans, meanwhile, calibrate real-time heat output, reducing the energy required for temperature control while maintaining optimal conditions.

National Grid ESO balances Britain's electricity supply and demand continuously in real time. ESO coordinates renewable power integration, manages network bottlenecks, and supports the transition toward renewables. It also administers the capacity market whilst handling real-time power flows. At present, the ESO is primarily focused on electricity supply, but it is shifting toward integrated planning that considers electricity as an interconnected system along with gas, biogas, and hydrogen, with the UK government seeking to establish ESO as a standalone public entity.

Under the NDC each country that is a signatory of the Paris Agreement outlines its climate pledges including its emission targets, adaptation measures, and execution strategies. New submissions with detailed decarbonisation strategies are due every five years. Coverage of each NDC varies, but some NDCs span entire economies whilst others address specific sectors. Transparency rules also demand progress updates measured against stated goals. These pledges underpin global climate efforts, though mechanisms for ensuring delivery are currently limited.

Natural ventilation is the process of transmitting and removing air from a building using inherent atmospheric changes, namely wind and temperature differences. This approach reduces or eliminates the need for mechanical systems like fans and air conditioning that use significant amounts of energy. The strategic placement of vents, as well as the size of vent openings, can also help optimise airflow. To be effective, however, building size, heat loads must also be taken into account.

Net-zero carbon buildings are a form of sustainable construction in which operational emissions are matched through renewable generation or emissions offsets. This includes the amount of energy consumed through heating cooling, lighting, and any on-site generators. In practice, achieving Net-zero means implementing a series of energy efficient measures. This means ensuring tight building envelopes, installing vents, heat pumps, and LED lights, and wherever feasible, power generation right on the property through technologies like solar arrays.

The Net-Zero Industry Act aims to accelerate European manufacturing capacity for net-zero technologies and their related components. The Act lists technologies within the scope of “net-zero technologies.” These include solar, onshore and offshore wind, battery and energy storage, heat pumps, geothermal energy, biogas and biomethane. The Act states that the EU’s aim is to ensure that it reaches a manufacturing capacity of net-zero by 2030, and 15% of world production by 2040.

The Non-Financial Reporting Directive obliges large firms to share environmental, social, and governance data. Launched in 2014, it covered public-interest entities exceeding 500 employees. Firms disclosed policies, risks, results, and indicators. Critics noted patchy quality and poor comparability across organisations. The Corporate Sustainability Reporting Directive took over from 2024, bringing mandatory standards, wider application, and verification obligations. CSRD tackles earlier weaknesses through standardised requirements and extended coverage.

Nitrogen oxides emerge from high temperature burning in engines, power stations, and manufacturing facilities. These compounds drive smog formation, acid precipitation, and breathing difficulties. NOₓ can trigger ground-level ozone creation. Diesel motors, meanwhile, can generate particularly high concentrations of NOₓ. Selective catalytic reduction and exhaust recirculation can help tackle these pollutants, while monitoring of NOₓ levels against health thresholds by local authorities can also help address the same problem.

Non-Road Mobile Machinery (NRMM) is defined as any mobile machine, item of transportable industrial equipment, or vehicle that is not intended for carrying passengers or goods on the road and has a combustion engine. As of January 2025, all NRMM used on construction sites must meet Stage IV as a minimum, while generators must meet Stage V standards. These standards aim to improve local air quality in cities like London, while also encouraging cleaner equipment.

Since 2020, all new buildings in the EU have been required to be ‘nearly-zero energy buildings’. Starting from 2028, this will be replaced by a further enhanced ‘zero-emission buildings’ requirement, for new buildings owned by public bodies and 2030 for all other new buildings. NZEBs use minimal energy through insulation, sealed envelopes, heat pumps, and other energy efficient systems. By mandating these upgrades, NZEBs help the building industry to cut operational emissions.

The Integrity Council for the Voluntary Carbon Market establishes quality thresholds for carbon credits through Core Carbon Principles. Credits must demonstrate real, additional, permanent emission reductions with robust verification. The Voluntary Carbon Markets Integrity Initiative guides corporate offset use, distinguishing between claims and ensuring transparency. Together, these bodies address credibility concerns plaguing voluntary carbon markets, helping buyers identify high-integrity credits while pushing suppliers toward better practices.

Operational carbon refers to 'the emissions associated with energy used to operate the building or in the operation of infrastructure', including heating, hot water, cooling, ventilation, lighting systems, equipment and lifts. However, operational carbon only makes up a certain percentage of a building’s total emissions. Reducing operational energy use in existing homes can be done in a number of ways, whether through insulation, using renewable power, or switching to electric heating building.

Origin certificates provide proof that energy comes from specific renewable sources. Renewable Energy Guarantees of Origin track electricity from wind, solar, or hydro generation. Each renewable certificate represents one megawatt-hour of clean power. Suppliers purchase certificates to substantiate green tariff claims. The biofuel sector uses similar certificates to verify sustainable feedstocks and production methods. Certificate trading separates environmental attributes from physical commodities.

Applying to a range of industries, including data centres, manufacturing, and construction, typical OPEX carbon reductions involve fine-tuning equipment performance, tightening maintenance schedules, and training staff on energy habits such as effective waste management. Quick financial paybacks through reduced bills make these reductions financially attractive, with LED lighting providing one of the best ROI opportunities, as well as energy efficient heating like air-source heat pumps.

Energy Service Companies implement efficiency upgrades using performance contracts. The ESCO covers upfront costs for equipment and installation, then recoups investment through guaranteed bill reductions. Financial risk transfers from building owners to providers. Technical expertise, project delivery, and continuous tuning all derive from ESCO. Public bodies often choose this route to improve facilities without capital outlays.

PPAs are a way of buying power at a known rate over a fixed period, usually between 5 and 30 years. The benefits of doing this are twofold: PPAs provide a hedge against future volatile power prices by securing a fixed energy price for a set period, as well as a chance to demonstrate a commitment to green energy. By signing a PPA with an off-taker or supplier, companies avoid the upfront costs that often disincentivise companies from investing in green energy projects.

Power Usage Effectiveness measures data centre energy efficiency by dividing total facility power by IT equipment power. A PUE of 2.0 means half the energy serves IT whilst the other half powers cooling and ancillary systems. Lower scores indicate better efficiency, with 1.2 representing excellent performance. Modern facilities achieve sub-1.3 through free cooling and optimised airflow. PUE has limitations—it ignores IT workload efficiency. Nevertheless, the metric provides straightforward comparisons. Continuous monitoring reveals seasonal variations and improvement opportunities.

Article 6 of the Paris Agreement enables international cooperation to tackle climate change and to unlock financial support for developing countries. The Article allows countries to cooperate voluntarily to achieve their national climate targets (NDCs). It establishes the rules for international carbon markets by facilitating the trade of emission reductions. The scope of the Article also enables the channeling of climate finance to developing countries, while helping to lower global mitigation costs.

Physical climate risks cover damage to buildings and human life from extreme heat, wind, as well as flooding caused by high tides. Flooding can lead to the destruction of property and loss of life. High winds, particularly gales, hurricanes and typhoons, pose similar threats, weakening foundations and exterior features, and sometimes decimating entire neighborhoods, while heat can cause dehydration and heat stroke, as well as thermal stress within the built environment. Understanding these threats is key to local authorities and central governments preparing for future risks.

These assessments compare metered energy usage to predicted values to evaluate whether buildings perform as designed. Performance gaps frequently emerge during the evaluation process, covering issues such as installation errors, incorrect commissioning, or operational misunderstandings. To identify such issues, thermal imaging reveals insulation defects and air leakage, whilst system monitoring exposes equipment running inefficiently or controls programmed incorrectly. Crucially, these assessments catch problems whilst defect liability periods remain active. The findings then inform handover training and maintenance schedules.

Under Procurement Policy Note 06/21, any supplier wishing to bid for government contracts (over £5 million per year) must publish a Carbon Reduction Plan. This is to ensure that companies bidding for these contracts measure and quantify their carbon output according to the policy notes and take steps to reduce their environmental impact by setting out a roadmap for decarbonisation. This policy not only aligns with the UK's climate objectives but helps encourage businesses to adopt sustainable practice by targeting Scope 1, 2, and Scope 3 emissions.

Production-based emissions measure greenhouse gases released within a nation's borders, irrespective of where final consumers live. This method stands in contrast to consumption accounting, which instead tracks emissions back to the end user. As a result, manufacturing hubs often record elevated production figures, while countries that import finished goods from abroad appear cleaner in their national accounts. However, this geographic focus overlooks the carbon embedded in goods crossing borders. The EU's Carbon Border Adjustment Mechanism attempts to address this loophole by charging importers for emissions generated abroad.

Photovoltaic panels convert sunlight directly into electricity using semiconductor materials, typically made of silicon. Panel efficiency continues improving, with commercial panels reaching 20-22%, though output varies depending on a range of atmospheric conditions, such as the angle and intensity of the sun, cloud density, and rainfall. Solar energy systems like this can also charge batteries to provide electricity when the sun isn’t shining for individual devices, single homes, or electric power grids.

Quality assurance carried out by third-party auditors are designed to confirm that carbon credit funded projects have delivered the planned CO₂ reductions. To carry out quality assurance, verifiers visit sites (as restored forests or landfill recovery), review data collection methods, and interview project managers. Above all, carbon credit projects must demonstrate additionality – i.e. that the emissions reductions wouldn't have occurred with the project’s existence. Without this oversight, companies could sell carbon credits while actual emissions continue unabated.

ISO 14064 outlines how companies measure their carbon footprint across operations, supply chains, and products - identifying emission sources, gathering consumption data, and applying conversion factors to calculate CO₂ equivalents. PAS 2060 builds on this by mandating reduction plans before allowing offset purchases. Both frameworks, however, share similar documentation procedures. Both ISO 14064 and PAS 2060 require rigorous data collection. This discourages selective reporting where minor improvements are highlighted, and critical issues downplayed.

Renewable Energy Certificates (RECs) certify that 1 MWh of electricity has been generated from renewable sources. Tradable in both voluntary and compliance markets, RECs can be bundled with electricity, or unbundled (sold without electricity) and traded on exchanges. However, although tradable, RECs in the US are subject to specific pricing rules. These rules vary from state to state.

In Europe RECs are called Guarantees of Origin (GOs). In 2009, the European Union made it compulsory to use GOs to track and disclose renewable energy with the aim of increasing awareness, transparency and encouraging the growth of renewables. Primarily used in disclosure, they prove that a certain amount of energy was generated by renewable sources. In practice, GOs enable energy consumers to certify the renewability of the energy by tracing it back to its source.

The RED II defines a series of sustainability and GHG emission criteria that bioliquids used in transport must comply with to be counted towards the overall 14% target and to be eligible for financial support by public authorities. RED III, meanwhile, aims to increase the share of renewable energy in the EU's energy mix to 42.5% by 2030, with a further indicative target of 2.5%. In addition, RED III also addresses the role of nuclear energy, and of low carbon hydrogen.

The Renewable Transport Fuel Obligation (RTFO) commenced in 2008 and forms one of the UK government’s major policies for reducing greenhouse gas emissions in transport. The RTFO reduces greenhouse gas (GHG) emission by encouraging the supply of renewable fuels for use in UK transport. Under the RTFO, suppliers of transport fuel (including biofuels) in the UK must meet an annual obligation using tradable certificates, awarded for the supply of sustainable renewable fuel.

Responsible construction practices ensure that construction works towards to best practices. This means implementing sustainable, low-carbon practices, such as sourcing materials from local suppliers to cut down on transport, sorting waste, and using less concrete and other carbon-intensive materials. Modern methods lean toward factory-built components to reduce what gets wasted on site. Systems like BREEAM check these elements during planning and building, certifying developments that meet the criteria.

Heat maps visualise which environmental, social, and governance issues pose the greatest threats to business operations. Organisations plot risks across two axes - likelihood and potential impact - creating color-coded matrices. High-priority red zones might include supply chain labour violations or physical climate hazards. These tools help sustainability boards allocate resources to critical areas. Regular updates reflect changing regulations, stakeholder expectations, and emerging risks like biodiversity loss or water scarcity in operating regions.

SAF fuel is aviation fuel sourced from renewables. These include feedstocks such as waste oils, agricultural residues, and municipal solid waste. Because feedstocks are replenishable, emissions produced by renewable jet fuels – whether unblended or ‘drop in’ - are generally much lower than standard jet fuels. For those who wish to access the environmental benefits of SAF, without buying the fuel itself, there are also  SAF credits – these can be purchases separately by airlines to claim the associated emissions reductions.

The Science-Based Targets Initiative gives companies a way to set emission cuts that match what climate science says we need. SBTi checks every corporate pledge against tough standards before signing off, which stops companies making empty promises. Businesses put together detailed plans for Scope 1 and 2 emissions, and increasingly Scope 3 as well. Thousands of organisations worldwide have gotten their targets approved, creating momentum across different industries.

UK investment firms and asset managers now must share climate and sustainability data with their clients under the Sustainability Disclosure Requirements. These rules mean firms need to show clients exactly how sustainability factors in their investment choices. The regulations introduce consumer-facing labels indicating whether products pursue sustainability objectives. Asset managers must submit reports on portfolio alignment with climate goals. The requirements apply from 2024 onwards, catching firms above certain asset thresholds and reshaping investment product marketing fundamentally.

Sector decarbonisation curves outline the emission reduction routes that different industries need to follow. These pathways consider the unique hurdles each sector faces, such as the emissions from making cement that are difficult to abate. The curves help companies benchmark performance against science-based metrics. Different sectors face varying speeds, with aviation facing longer timelines due to technological constraints. Investors increasingly use these curves to assess whether corporate strategies align with necessary transformation rates.

The Sustainable Finance Disclosure Regulation lays out how financial participants disclose sustainability information across the EU. The framework creates three product categories: Article 6 covers mainstream investments, Article 8 applies to products promoting environmental characteristics, while Article 9 designates funds with explicit sustainability objectives. Asset managers must report principal adverse impacts and explain integration of sustainability risks. These requirements aim to prevent greenwashing and help channel capital toward sustainable activities.

Smart metering requirements oblige larger UK businesses to install meters providing half-hourly consumption data. Smart meters transmit readings automatically to suppliers to ensure efficient billing and reduce errors in energy consumption readings. This helps businesses to respond to time-of-use tariffs by shifting loads away from times of peak use, cutting costs directly. While the initial rollout of smart meters faced delays, their uptake continues to rise across commercial properties.

Smart grid readiness means the infrastructure can communicate in both directions between energy utilities and consumers. Smart grids do this by passing data about supply levels and consumption patterns back and forth all the time. The systems respond dynamically to whatever generation and demand looks like at any moment, introducing distributed resources, such as rooftop solar when possible. Demand response programs use this infrastructure to tweak consumption in real time, shifting usage as needed.

Solar thermal systems capture sunlight and turn it into heat. This is not to be confused with photovoltaic panels, which convert sunlight into electricity. Solar energy systems are usually installed on rooftops that soak up solar energy, usually to provide hot water for buildings. These work best where sunshine is plentiful and reliable, as steady radiation keeps them running efficiently. However, output swings quite a bit with the seasons. As a result, most installations need backup heating during winter.

Soil carbon sequestration is where carbon in the atmosphere is stored in the soil of agricultural land. Sustainable farms encourage and accelerate this type of sequestration through a set of well-established land management techniques. These include reducing tillage, planting cover crops, and using organic fertiliser. Beyond the immediate benefits of extracting and storing CO2 from the air, these strategies have a dual benefit of significantly improving soil health and the quality of crops.

Complying with ever-spreading regulations for Scope 3 emissions reporting necessitates that businesses collect comprehensive data on greenhouse gas releases from their entire global network of suppliers. This reporting requirement aligns with wider business needs as major purchasing entities require vendors to submit their carbon footprint. However, while the introduction of standardised calculation methods offers a degree of assistance, the resulting data quality varies between large-scale multinationals and smaller suppliers who lack the necessary resources.

Sustainable Drainage Systems manage surface water treatment through natural processes rather than conventional pipes and sewers. Regular maintenance of SUDS, including removal of silt that gathers in them, is required to ensure long term performance of the system. The deposit of these silts on land adjacent to where they are produced requires an environmental permit. If necessary, the waste silts should be de-watered, placed, spread and overseeded to avoid silt being carried off during heavy rain and to avoid loss of storage capacity in the SUDS feature.

To help investors and wider stakeholders see how companies are managing climate-related financial risks, the TCFD recommends disclosures across four pillars. The four pillars are GOVERNANCE - the organisation’s leadership around climate-related risks and opportunities. STRATEGY - the actual and potential impacts of climate-related risks and financial planning. RISK MANAGEMENT - how the organisation identifies, assesses, and manages climate-related risks. And METRICS AND TARGETS - the standards used to assess and manage relevant climate-related risks and opportunities.

The TNFD Framework seeks to provide organisations and financial institutions with a risk management and disclosure framework to identify, assess, manage and report on nature-related dependencies, impacts, financial risks and opportunities. The framework operates on the LEAP approach. This is to Locate the interfaces with nature across geographies, sectors and value chains; Evaluate dependencies and impacts on nature; Assess nature-related risks and opportunities; and Prepare for nature-related risks and opportunities, including reporting on material nature-related issues.

The Taxonomy Regulation establishes a classification system (or taxonomy) that provides businesses with a common language to identify whether a given economic activity should be considered "environmentally sustainable". The regulation helps determine to what extent an investment is environmentally sustainable. Standardising the concept of sustainable investment across the EU aims to facilitate investment in sustainable economic activities; and help economic operators attract investment.

Thermal Energy Storage (TES) systems facilitate the capture of either heat or cold energy for its use in buildings. Typical use cases include storing solar-generated heat captured during daylight hours for release and use after sunset, or the production of ice overnight when electrical power is less costly and demand is lower. Materials designed for this purpose are frequently employed due to their capacity to absorb or release substantial quantities of latent energy at precise temperatures.

Tiered emissions thresholds establish different regulatory requirements based on organisational size or emission levels. Small emitters face lighter reporting burdens than large industrial facilities, recognising proportionality concerns. UK schemes often exempt organisations below certain thresholds whilst imposing streamlined requirements on medium emitters. This approach reduces administrative costs for smaller businesses while concentrating resources on major polluters. However, threshold designs can create bottlenecks where crossing boundaries triggers increased obligations. 

The Transition Risk (ESG) protocol oversees risks in governance structures, establishing clear working procedures and responsibilities for business lines, internal control functions, with a view to ensuring a comprehensive approach to the incorporation of ESG risks into business strategy, business processes and risk management. In practice, institutions assess the materiality of ESG risks across short, medium, and long-term horizons, aligning each scope with strategic objectives and regulatory expectations.

As part of the EU’s Third Energy Package, Transmission System Operator (TSO) sets out the rules governing access to the network for cross-border exchanges in electricity with a view to ensuring the proper functioning of the EU’s internal market in electricity. It creates the European Network of Transmission System Operators for electricity (ENTSOE) which, together with the Agency for the Cooperation of Energy Regulators, develops the European network codes and guidelines. These rules seek to ensure that Europe’s energy transmission systems meet the goals of security of supply, increased competitiveness and affordable energy.

The Transport Decarbonisation Plan outlines Britain's strategy for achieving net zero transport emissions by 2050. From motorcycles to HGVs the plan aims to make all road vehicles zero emission. Technological advances, including new modes of transport and mobility innovation, are integral to this ambition. The plan also aims for all goods to be delivered through an integrated, efficient and sustainable freight network. Changes and leadership at a local level are also highlighted as critical factors for reducing GHG emissions.

The UK Emissions Trading Scheme (UK ETS) currently covers heavy industry, power and aviation sectors, with domestic shipping and waste incineration currently being reviewed for inclusion. The scheme incentivises investment in decarbonisation by setting a cap on emissions from these sectors and creating a carbon price. The scheme will ensure that the UK ETS continues to play an important role in meeting UK climate targets, while supporting businesses through the net zero transition.

The Green Finance Strategy is integral to the UK Government’s plans to encourage green investment. The strategy will seek to align private sector financial flows with clean, environmentally sustainable, economic growth. The strategy will also promote the provision of climate-related data and analytics; the promotion of green finance products and services; and the launch of a Green Home Finance Fund to provide funding for green pilot projects.

The UK’s Net Zero Strategy sets out, for the first time, how the UK Government plans to deliver its emissions targets of Net Zero in 2050. However, in July 2022, a High Court judgement ruled that the government should set out more detail on how it aims to meet its carbon budgets and reach net zero. In response to the High Court judgement, the government updated the policies and commitments made in the strategy with the March 2023 Carbon Budget Delivery Plan.

UNFCCC stands for United Nations Framework Convention on Climate Change. With 197 national signatories, it is the parent treaty of the 2015 Paris Agreement. The UNFCCC is also the parent treaty of the 1997 Kyoto Protocol. The aim of all three agreements that fall under the UNFCCC is to stabilise greenhouse gas emissions in the atmosphere at a level that will prevent the climate system from destabilising.

The term upstream emissions usually refer to the intentional or unintentional release of greenhouse gases that ‘occur during the exploration, processing and delivery of fossil fuels. Such emissions include fuel combustion processes in mining, oil and gas installations, which can cause the flaring of natural gas that can cause methane emissions in turn. Decarbonising the exploration and production processes through the reduction of flaring or electrifying platforms is essential for climate action.

Utility-scale renewables are very large power plants that generate electricity from renewable energy sources and feed that power directly into the electricity grid. Such sources include wind power, solar, and hydroelectric, and are defined by their high output, typically ranging from megawatts (MW) to gigawatts (GW), sufficient to power up to millions of businesses or homes. Because of the amount of investment required to support them, utility-scale renewables are overwhelmingly financed through power purchase agreements (PPAs).

VCMs enable businesses to buy and sell carbon credits as part of their climate strategy. One carbon credit represents one metric tonne of CO₂ (or equivalent greenhouse gas emissions) removed from the atmosphere. This removal of CO₂ may have be carried out by a range of sustainable initiatives, including clean cookstove projects, afforestation and reforestation, waste management, and direct air capture (DAC). Certified by third-party verifiers, VCMs provide an established route for companies to reduce their carbon footprint and support the environment.

The VCS ensures that VCM projects complete a rigorous development and assessment process before undergoing verification. VCM Projects registered in the VCS Programme are issued unique carbon credits known as Verified Carbon Units or VCUs. Each Verified Carbon Unit (VCU) represents a reduction or removal of one tonne of carbon dioxide equivalent (CO2e). All VCUs must adhere to strict QA principles to ensure that they represent reductions or removals that are real, measurable, additional, permanent, independently verified, and transparently listed.

There are two types of carbon credits: voluntary emissions reduction (VER) and certified emission reduction (CER). VERs are exchanged in voluntary markets with no third-party oversight, while CERs have regulated investment vehicles offered through institutional carbon funds, with the primary purpose of offsetting an associated project’s emissions. A carbon offset, in this context, results from a carbon credit once it’s purchased - a company balances or draws down a stated carbon credit inventory against its own carbon emissions.

A Virtual Power Purchase Agreement (VPPA) is a financial contract between a business and a renewable energy generator, without any physical delivery of electricity. Instead of electricity, the buyer receives Renewable Energy Certificates (RECs), while the generator sells the actual electricity into the wholesale market. The agreement includes a fixed price for energy; if the market price exceeds this, the generator pays the business the difference, and vice versa. VPPAs are particularly useful for multinational corporations with dispersed energy use.

Within the energy sector, volatile organic compounds (VOCs) are known as gases made from certain solids or liquids. VOCs include a variety of chemicals, some of which may have adverse health effects. Concentrations of many VOCs are consistently higher indoors than outdoors. VOCs have increased volatility, mobility and they are resistant to degradation. A distinguished set of VOCs are the cancerous volatile organic compounds (cVOCs), being able to cause cancer in human beings.

Recycling of WEEE is a specialist part of the waste and recycling industry. It is a rapidly growing sector, due largely to the implementation of the original WEEE Directive introduced in 2006. The Directive set out the requirements for the recovery, reuse, recycling and treatment of WEEE. In practice, implementation can vary depending on the facility size. Some facilities utilise large-scale shredding technologies, while others use a disassembly process that can be manual, automated or hybrid.

The processors inside data centres generate sufficient thermal energy to warm entire buildings. District heating networks can help abate these thermal emissions by absorbing data centre waste heat directly. Local businesses, housing developments, and even data centres can utilise the benefits of heat recovery. A green data centre built by Microsoft in Denmark for instance, showed that waste heat could be used to heat 6,000 homes in the near vicinity, proving the case for reusable waste heat.

Well-to-wheel emissions include all emissions related to fuel production, processing, distribution, and use. In the case of gasoline, emissions are produced while extracting petroleum, refining it, distributing the fuel to stations, and combusting it in vehicles. Well-to-wheel emissions are commonly used in carbon accounting tools to give a comprehensive view of transport emissions. Using data like this helps ensure that emission reductions are real, not just shifted from one part of the supply chain to another.

The Energy Profits Levy is a temporary levy on profits arising from the upstream production of oil and gas, to compliment the permanent tax regime of Ring Fence Corporation Tax. In 2023, under the Labour government, the Windall tax was increased to 35%, with the rate set to remain in place until March 2030. This measure also reduces the rate of the Decarbonisation Investment Allowance to 66% to maintain its cash value following the Energy Profits Levy rate increase.

The Woodland Carbon Code (WCC) is the UK’s voluntary carbon standard for woodland creation projects. Woodland carbon units, like carbon credits, from verified WCC projects enable companies to compensate for unavoidable emissions. A Woodland Carbon Unit is 1 tonne of carbon dioxide that has been sequestered into a Woodland Carbon Code-verified woodland. As well as removing carbon from the atmosphere, projects also benefit biodiversity, communities and the local economy.

Launched in 2024, the UK Net Zero Carbon Buildings Standard sets out a clear and unified definition that builders and developers must follow. Aiming to reduce carbon emissions by 78% by 2035 and keep the UK on track for Net Zero by 2050, the standard provides a framework for meeting Net Zero within construction. A key component of reducing operational carbon is ensuring that off-site energy used to meet Net Zero construction targets comes from a credible, traceable renewable source, such as RECs or Power Purchase Agreements (PPAs).

The Zero Emission Vehicle (ZEV) Mandate is the UK’s roadmap for phasing out petrol and diesel cars which came into law on January 3, 2024. Under the mandate manufacturers will now be permitted to sell hybrid cars and vans until 2035, while new vans with an internal combustion engine (ICE) can also be sold until 2035. This extension aims to allow for a more gradual transition to electric vehicles, accommodating both industry capabilities and consumer readiness.

Low Emission Zones (LEZs) are areas where the most polluting vehicles are regulated. Usually this means that vehicles with higher emissions cannot enter the area. In some low emission zones this means that high polluting vehicles must pay more when entering the low emission zone. These are zones where only Zero Emission Vehicles, such as hydrogen fuel cell vehicles, are allowed. For some plug-in hybrid vehicles, meanwhile, entry is only permitted for an interim period.