Free template & guide

PPN 006 Carbon Reduction Plan Template

Everything a UK supplier needs to write a compliant Carbon Reduction Plan for a public sector tender — guide, checklist, free footprint calculator, and a free Excel planner to take away.

📅 Published February 2025·⏱ 12 min read·🇬🇧 UK suppliers

1. What PPN 006 is and whether it applies to you

Procurement Policy Note 06/21 — usually written as PPN 006 or PPN 06/21 — is a UK government policy that requires suppliers to publish a Carbon Reduction Plan (CRP) when bidding for central government contracts above a certain value.

It was introduced as part of the UK's commitment to reach Net Zero by 2050. The idea is simple: if you want government money, you need to show a credible plan for reducing your carbon footprint.

Does it apply to your tender?

Contract value is £5 million per year or above (ex-VAT)
The contracting authority is a central government department, executive agency or non-departmental public body
The contract was advertised on or after 30 September 2021

NHS: NHS England and many NHS trusts now apply PPN 006 requirements broadly, including to contracts below £5m. If you're supplying into the NHS, check the specific tender documents — don't assume the threshold applies.

If the tender ticks those boxes, a CRP is a pass/fail requirement — not a scored criterion. Submit a non-compliant or absent CRP and your bid will be rejected before the commercial evaluation stage even begins.

The requirement is also extending to devolved authorities and local government in some regions, and the private sector is watching. If you're not yet required to have a CRP, it's worth having one anyway.

2. CRP vs carbon footprint — the difference, simply

These two terms get conflated constantly, and confusing them is one of the most common reasons a CRP gets rejected. Here's the distinction:

Carbon footprint
A measurement — how much CO₂e your organisation emits
Expressed in tonnes of CO₂e (tCO₂e)
Covers Scope 1, 2 and (selected) Scope 3 sources
A point-in-time number for a specific reporting period
Carbon Reduction Plan
A commitment + roadmap — what you're going to do about it
Must include your current footprint as a baseline
Includes targets, timelines and actions
Must be signed by a director and published on your website

In other words: your carbon footprint is the number that goes into your CRP. You can't write a credible CRP without calculating it first. That's why we've built the calculator below.

3. What a compliant CRP must contain

The Cabinet Office is explicit about what they want to see. Missing any of these sections will get your CRP flagged as non-compliant:

PPN 006 compliance checklist
Commitment to reaching Net Zero by 2050
Current carbon footprint (baseline) — must include Scope 1 and 2, plus a minimum of 5 Scope 3 categories
Specific reduction targets and milestones (e.g. 50% reduction by 2030)
Actions you are taking or plan to take to achieve those targets
Progress against previously published targets (once you have a previous CRP)
Signed by a director or equivalent senior responsible owner
Published on your organisation's website (publicly accessible)
Date of publication clearly shown

You don't need a detailed, audited footprint at this stage. A robust estimate based on spend data or published emission factors is acceptable for initial compliance — just document your methodology clearly. Over time, you're expected to improve data quality.

4. How to calculate the footprint behind your CRP

The three scope categories come from the GHG Protocol Corporate Standard, the framework PPN 006 mandates. Here's what each covers:

Scope 1 — Direct emissions

Anything you burn on site or in vehicles you own. Gas boilers, diesel generators, company-owned fleet. Use your fuel invoices and apply DEFRA 2024 emission factors. For most office-based businesses this is a relatively small number.

Scope 2 — Purchased electricity (and heat)

The electricity you buy from the grid. Multiply your annual kWh by the UK grid emission factor (0.207 kg CO₂e/kWh for 2024, DEFRA). If you have a renewable electricity tariff with a REGO certificate, you can use the market-based factor (near zero) — but document it.

Scope 3 — The required five (at minimum)

PPN 006 requires at least five Scope 3 categories. For most UK SMEs the easiest and most material ones are:

Cat 1 — Purchased goods and services
Use the spend-based method if you don't have supplier-specific data. See our guide on spend-based Scope 3.
Cat 3 — Fuel- and energy-related activities
Upstream emissions from the fuel you burn and electricity you use.
Cat 5 — Waste generated in operations
Weight of waste × emission factor for disposal route.
Cat 6 — Business travel
Miles flown, driven or railed × transport emission factors.
Cat 7 — Employee commuting
Survey-based or use published averages for your region and employee count.

The spend-based shortcut for Category 1 is particularly useful for SMEs: multiply your total annual spend on purchased goods and services by a spend-based emission factor (UK average ~0.25 kg CO₂e per £). It's an approximation, but it's auditable and accepted. Read our full guide to the spend-based Scope 3 method →

For a step-by-step walkthrough of the full footprint calculation, see: How to calculate your business carbon footprint →

5. Quick footprint estimator

Use the calculator below to get an indicative tCO₂e number for your CRP baseline. It covers Scope 1 (gas/fuel spend), Scope 2 (electricity), and a spend-based Scope 3 estimate. Adjust the inputs with your actual figures — or use the "employees" mode if you don't have your kWh to hand.

🧮
Quick CRP footprint estimator
Rough estimate only — suitable for initial CRP scoping
Used for Scope 3 estimate

6. Step-by-step: filling in the CRP

01
Gather your baseline data

Pull together 12 months of energy bills (electricity and gas), fuel receipts, your finance system's total spend, and any travel or waste records. The reporting year should match your financial year wherever possible.

02
Calculate your Scope 1 and 2 emissions

Apply DEFRA 2024 emission factors to your gas usage (kWh or spend) and electricity (kWh). DEFRA publishes updated factors each June — make sure you're using the right year for your reporting period.

03
Estimate at least five Scope 3 categories

Use the spend-based method for purchased goods if you don't have supplier data. Add business travel (from expenses), waste (from contractor invoices), fuel upstream (automatic if you report Scope 1), and commuting (survey or industry average).

04
Set your Net Zero commitment and interim targets

PPN 006 requires a commitment to Net Zero by 2050. Add at least one interim target — a 50% reduction by 2030 is the most commonly used milestone and aligns with UK Carbon Budget guidance.

05
List your reduction actions

These don't need to be dramatic. LED lighting, green energy tariff, EV fleet transition, supplier engagement programme, home-working policy — list what you are already doing and what you plan to do.

06
Get a director to sign it

The CRP must be signed by a director (or equivalent board-level officer). The signature signals organisational commitment. Without it, the CRP is non-compliant regardless of content quality.

07
Publish it on your website

Create a dedicated page or add the CRP as a PDF download on your website. It must be publicly accessible — a locked portal or intranet page doesn't count. Include the publication date.

08
Submit the link in your tender response

Most tender portals ask for a URL to your published CRP rather than the document itself. Double-check the link works from outside your network before submission.

7. Common mistakes that get a CRP rejected

Omitting Scope 3 entirely
You must include a minimum of five Scope 3 categories. Scope 1 and 2 only will fail the compliance check.
Reporting only market-based Scope 2 without disclosure
If you use a renewable tariff to report near-zero Scope 2, you must also disclose the location-based figure and note the REGO source.
Using emission factors from the wrong year
DEFRA publishes revised factors every June. The factors used should match the reporting period. Using 2021 factors for a 2024 report will look sloppy and may be flagged.
No director signature
A CRP signed only by a sustainability manager or an unnamed signatory will be rejected. It must be a named director or board-level officer.
CRP not publicly accessible
Upload it to a public page on your website. Many suppliers put it on their LinkedIn or in a password-protected area by mistake — the link you submit in the tender must be viewable without logging in.
Targets with no baseline year
A target of "50% reduction by 2030" is meaningless without stating what year the baseline covers. Always state the baseline year and total.
Copying a competitor's CRP
This sounds obvious but happens. Procurement teams google key phrases. Your CRP must reflect your actual operations, figures and reduction actions.

8. Frequently asked questions

Is there a strict deadline for submitting a CRP?+

There is no universal annual deadline — the CRP is a pass/fail requirement for each qualifying tender. The deadline is the bid submission date. Your published CRP must be live on your website before you submit the tender link.

Who has to sign the Carbon Reduction Plan?+

A director or board-level equivalent must sign. The signatory must be named. "The Board" or "Management Team" is not sufficient. In a sole trader or partnership, the owner or a partner qualifies.

Where do I publish the CRP?+

It must be published on your organisation's own website — the URL you provide must be publicly accessible without any login. A dedicated page is cleaner than a PDF download, but either works.

Do SMEs get any relief from PPN 006?+

The policy applies regardless of supplier size, provided the contract value exceeds £5m. However, the Cabinet Office acknowledges that SMEs may use spend-based and estimation methods rather than detailed activity-based data — the bar for data quality is proportionate.

How often do I need to update my CRP?+

There is no prescribed update frequency, but the PPN 006 guidance expects "annual reporting of progress". In practice, you should update your CRP at least once a year and re-publish it with the new date and updated figures.

Can I reuse the same CRP across multiple tenders?+

Yes — as long as the CRP is still current and the published URL is live. You submit the same link each time. There is no requirement to produce a bespoke CRP per tender.

Does PPN 006 apply to subcontractors?+

The direct PPN 006 obligation falls on the prime contractor named in the government contract. However, larger primes are increasingly requiring their supply chain to have CRPs as a condition of sub-contract awards. If you supply into the NHS or a major defence contractor, expect to be asked.

What's the difference between PPN 06/21 and the UK SRS / SECR?+

PPN 006 is a public procurement requirement for suppliers. SECR (Streamlined Energy and Carbon Reporting) is a mandatory annual reporting requirement for large UK companies under the Companies Act. They overlap in scope coverage but serve different purposes and audiences.

Related guides
Spend-based Scope 3 emissions — the practical guide for SMEs
"A customer asked for our carbon footprint" — what to do next
How to calculate your business carbon footprint (UK)
UK SRS / SECR explained for SMEs
⚠ Important caveats

Footprint figures produced by the calculator and this guide are estimates based on published average emission factors. Your actual footprint may differ. The CRP must be signed by a director and published on your website before use in a tender. Requirements may change — always verify the current rules against the current PPN 006 guidance on gov.uk.

Free download

Get the PPN 006 CRP Planner (Excel)

Pre-built with scope splits, DEFRA 2024 factors, reduction targets, and a director sign-off section. Used by UK SMEs responding to public sector tenders.

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