Let's take a closer look at what a CRP (Carbon Reduction Plan) entails. Essentially, a CRP provides detailed information about a supplier's greenhouse gas emissions and outlines their specific targets and actions for reducing these emissions over time. In simpler terms, suppliers need to demonstrate measurable progress in cutting emissions across areas like buildings, transport, and the supply chain. CRPs are only a requirement for NHS suppliers of contracts above £5 million per year.
To support suppliers in this process, the NHS offers training webinars, online resources, and a Net Zero Supplier Roadmap. However, it's important to note that developing, implementing, updating, and reporting high-quality CRPs is a complex and resource-intensive task.
Suppliers aiming to showcase their commitment to sustainability can take part in the Evergreen Sustainable Supplier Assessment. This online evaluation enables suppliers to measure their practices against the NHS's environmental objectives. However, it's important to clarify that this assessment is voluntary and doesn't replace the need for a comprehensive CRP that's publicly visible.
Now, let's talk about the business side of things. With NHS contracts valued at over £6 billion annually, adhering to mandatory carbon reporting requirements is critical for suppliers who want to maintain their business relationships. Those who proactively address these requirements gain a competitive edge in the procurement process.
But here's the twist: simply creating a CRP isn't enough. The NHS has its sights set on achieving a net-zero system-wide by 2040. This means that suppliers need to continually make progress in reducing emissions. Those who don't make adequate progress risk the possibility of their contracts being terminated.
In summary, CRPs are a crucial aspect of NHS supplier relationships, and understanding their significance can help suppliers navigate the evolving landscape of sustainability and procurement.