HRW GHG Emissions Methodology FY23/24

Prepared by: Rawstone Consulting Ltd
For: HRW
Date: 8th November 2024

 

Introduction

HRW is committed to measuring, managing and reducing their GHG emissions with the overall aim of limiting climate change. This document sets out the methodology that HRW used to calculate their carbon emissions for FY23/24.

 

Scope

GHG emissions have been measured for all operations relating to Healthcare Research Worldwide Ltd, “HRW” including any subsidiaries or joint ventures.

 

Reporting Period

Emissions for FY23/24 cover those from 1st April 2023 – 31st March 2024 inclusive.

 

Method

GHG emissions for the company have been measured in accordance with the GHG Protocol Corporate Standard, with reporting boundaries defined by the operational consolidation (control) approach.

Scope 2 emissions have been measured using both the location-based and market-based method, with the latter being used for performance tracking (baselines and targets).

 

Conversion Factors

GHG emissions have been calculated using conversion factors for carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O). There are no known emissions of other greenhouse gases. Emissions factors used were the UK Government conversion factors for 2024 and CEDA by Watershed.

 

Emission Sources and Methodology

Emissions reported cover all relevant scope 1, 2 and 3 sources. A description of all emission sources and their calculation method is presented in Table 1.

 

Scope
Emissions source
Description
Relevant?
Measured?
Methodology
1 Gas Gas used in the company’s leased offices in Wallingford (UK) and New York (US). Y Y For the shared UK Wallingford office, utility bills were used, with emissions apportioned to HRW based on the proportion of headcount based there at year end. For the US New York office, emissions were estimated based on a per person average for US offices in a business in the same industry. No gas is used at the UK London office.
1 Business travel Travel in vehicles hired/leased for business used. Y Y No vehicles are directly owned or long-term leased by the business. There was no short-term car hire in the period.
1 Refrigerant leaks Emissions arising from leaks in air conditioning units. Y Y Air conditioning service records for those units that are the operational responsibility of HRW. There are no such units currently.
2 Electricity Electricity used in the company’s three leased offices. Y Y For the shared UK Wallingford office, utility bills were used, with emissions apportioned to HRW based on the proportion of headcount based there at year end. For the shared UK London office, emissions were estimated based on actual usage from Jan-August 2024 scaled for the year. For the US New York office, emissions were estimated based on the previous years’.
3 Cat 1: Purchased goods and services Emissions from all company purchases, including IT software and professional services. Y Y Industry emission factors were applied to overhead and cost of sales spend (the ‘spend-based method’), with no known exclusions.
3 Cat 2: Capital goods Capital goods, including IT equipment and other assets. Y Y Industry emission factors were applied to capital spend (the ‘spend-based method’), with no known exclusions.
3 Cat 3: Fuel- and energy- related activities Well-to-tank emissions from gas, business travel, and the transmission and generation emissions for electricity Y Y Calculated for all measured scope 1 and 2 energy sources (i.e. gas and electricity).
3 Cat 4: Upstream transportation & distribution Transport-related emissions relating to category 1 and 2 purchases. Y Y These emissions are reflected in the emission factors used for categories 1 and 2 and thus are measured but not separately reported.
3 Cat 5: Waste generated in operations Waste generated in the company offices. Y Y Based on actual waste tonnage and emissions at the primary office location, scaled by number of employees for the other locations.
3 Cat 6: Business travel All business travel in vehicles not owned/leased by the company Y Y Data for air travel is predominantly from a third-party travel management company. Other travel emissions are based on expense claims. For flights, destination-specific distances were used. For other modes an average price per km was applied.
3 Cat 7: Employee commuting Emissions associated with employees commuting to/from HRW office locations. Y Y An employee survey to assess habits over a two week period was scaled to apply to the whole year.
3 Cat 8: Upstream leased assets Operation of assets leased but not included in scope 1 and 2. N N Emissions from leased offices are all included in scope 1 and 2 emissions.
3 Cat 9: Downstream transportation & distribution Transport-related emissions relating to products produced by HRW. N N HRW provides a service and does not produce any products.
3 Cat 10: Processing of sold products. Processing of intermediate products sold by downstream companies. N N HRW provides a service and does not produce any products.
3 Cat 11: Use of sold products End use of goods and services sold by HRW. N N HRW provides a service and does not produce any products.
3 Cat 12: End-of-life treatment of sold products Emissions arising from the end-of-life treatment of products produced by HRW, N N HRW provides a service and does not produce any products.
3 Cat 13: Downstream leased assets Operation of assets owned by the reporting company (lessor) and leased to other entities N N HRW does not lease any assets to third parties.
3 Cat 14: Franchises Operation of franchises in the reporting year. N N HRW does not have any franchises.
3 Cat 15: Investments Operation of investments. N N HRW does not have any investments, joint ventures of subsidiaries not included in scope 1 and 2.

Table: Emission sources and methodology

 

Emission Figures and Baseline

HRW’s total measured scope 1, 2 and 3 emissions for FY23/24 were 2,653 tCO2e (market-based method).

 

Scope Emissions source Location-based method tCO2e Market-based method tCO2e
Scope 1 Natural gas 14.7 14.7
Scope 2 Electricity 5.7 2.4
TOTAL SCOPE 1 & 2  20.4 17.1
Scope 3 Cat 1: Purchased goods and services 2,518.70 2,518.70
Cat 2: Capital goods 15 15
Cat 3: Fuel- and energy- related activities 4.1 4.1
Cat 4: Upstream transportation & distribution Reported in cat 1&2 Reported in cat 1&2
Cat 5: Waste generated in operations 0.8 0.8
Cat 6: Business travel 78.4 78.4
Cat 7: Employee commuting 13.5 13.5
TOTAL SCOPE 3 2,630.40 2,630.40
TOTAL SCOPE 1, 2 & 3 2,649.8 2,646.6

 

Table 2: HRW’s scope 1, 2 and 3 GHG emissions for FY23/24.

 

Recalculation Policy

Should reported GHG emissions change significantly due to merger, acquisition, change of calculation methodology or discovery of significant errors, the baseline will be retrospectively recalculated and externally published. The significance threshold for this is set as a cumulative impact (increase or decrease) of >=5%.