Our Net Zero Commitment and Carbon Reduction Plan

enCircle is committed to achieving Net Zero emissions by 2035 for emissions scopes 1, 2 and 3. The commitment was made on 29/01/24 by the board of directors.

Baseline Year: 2023

This baseline has been created after we initially started reducing our carbon footprint back in 2018, when we decided to become a virtual company with home based working as standard, and only occasional travel for team events, client meetings, conferences, etc…

We encourage our staff to book trains for business travel, rather than hire-cars or take flights. These are the major contributors to emissions within our organisation’s activities.

Being a micro SME with no permanent offices, logistics operations, and little international travel, we are finding it challenging to reduce our emissions further without our supply chain improving. For example, our strategic partners are Microsoft Azure, Amazon AWS and Google Cloud Platform. Having no influence or control over their carbon emissions, we are at the mercy of their carbon reduction efforts. As there are no official conversion factors available for these Scope 3 emissions, we are using the industry standards via Clamatiq.io and https://www.cloudcarbonfootprint.org/ referencing the Cloud Carbon Footprint coefficients.

Our SecOps engineer, Liban Omer, has been appointed our “NetZero & Social Value Champion”. He is passionate about social justice and will be our driving force in identifying areas of our operations where emissions can be reduced.

Conversion Factors

The following GHG conversion factors have been used: Factor set: Condensed. Version: 1.1. Year: 2023.

Cloud Managed Assets

In order to effectively measure our upstream Cloud Service Provider footprint, we have used the most up to date Cloud Carbon Footprint repository.

Source: https://www.cloudcarbonfootprint.org/

Scope Narrative

The following section describes each activity with the GHG protocols. Activities highlighted in bold are considered within the scope of our footprint calculations.

Scope 1

Fuels – We have no sites which burn fuels.
Bioenergy – We have no sites which burn biofuels.
Refrigerant & other – We have no sites with this type of equipment.
Passenger vehicles – We have no vehicles for this purpose.
Delivery vehicles – We have no delivery vehicles.
SECR kWh pass & delivery vehs – We do not own assets for either purpose.

Scope 2

UK electricity – We do not own or control any sites using UK electricity.
Overseas electricity – We do not own or control any sites using Overseas electricity.
UK electricity for EVs – We do not own or operate any EVs.
SECR kWh UK electricity for EVs – We do not own or operate any EVs.
Heat and steam – We do not own or control any sites generating Heat or Steam.

Scope 3

Transmission and distribution – We have no sites with T&D grid loss.
UK electricity T&D for EVs – We do not own or operate any EVs.
Water supply – We have no sites using water resources.
Water treatment – We have no sites carrying out water treatment.
Material use – We have no sites using materials within this scope.
Waste disposal – We have no sites generating waste material.
Business travel- air – We do have individuals travelling by air for work purposes.
Business travel- sea – We have no business travel by sea.
Business travel- land – We do have individuals travelling by land for work purposes.
Freighting goods – We have no freighting goods within our operations.
Hotel Stay – We do have individuals staying in hotels for work purposes.
Managed assets- electricity – We do have managed Cloud assets consuming electricity and other resources.
Managed assets- vehicles – We have no managed vehicles.
Homeworking – We do have individuals working from home.

EMISSIONS	TOTAL (tCO₂e)
Scope 1	0
Scope 2	0
Scope 3 (Included Sources)	4.97 (See below)
Total Emissions	4.97

Total emissions between January 2023 and December 2023 inclusive.

Scope 3 Emission Sources
In Scope?	Scope	Factors	Total tCO2e
y	3	Business travel- air – We do have individuals travelling by air for work purposes.	1.50604448
y	3	Business travel- land – We do have individuals travelling by land for work purposes.	0.394887527
y	3	Hotel Stay – We do have individuals staying in hotels for work purposes.	0.3854
y	3	Managed assets- electricity – We do have Cloud assets consuming electricity.	0.004020448757
y	3	Homeworking – We do have individuals working from home.	2.68092096

Breakdown of Scope 3 emissions.

Current Emissions Reporting

Next Reporting Year: 2024
EMISSIONS	TOTAL (tCO₂e)
Scope 1	TBC
Scope 2	TBC
Scope 3 (Included Sources)	TBC
Total Emissions	TBC

This table will be populated in January 2025

Emissions reduction targets

In order to continue our progress to achieving Net Zero, we have adopted the following carbon reduction targets.

Our main targets over the next 5 years are set out below:-

Migration from Intel processors to Graviton on AWS. This is expected to have a significant impact on emissions from our cloud operations, but is challenging to measure empirically.
Move legacy workloads from HDD to SSD. General SSDs consume 50% of the power of magnetic HDD. Low power SSDs consume 94% less power than magnetic HDD.
Reduction of hotel stays by 35%
Reduction of international travel by 25%
Reduction of national travel by petrol and diesel cars by 80%, with increased adoption of EVs.

We project that carbon emissions will decrease over the next five years to 2.18025 tCO₂e by 2028. This is a reduction of 43.86%

Progress against these targets can be seen in the graph below:-

Carbon Reduction Projects

As this is the initial CRP with baseline year of 2023, we have no completed initiatives to report.

Declaration and Sign Off

This Carbon Reduction Plan has been completed in accordance with PPN 06/21 and associated guidance and reporting standards for Carbon Reduction Plans.

Emissions have been reported and recorded in accordance with the published reporting standard for Carbon Reduction Plans and the GHG Reporting Protocol corporate standard and uses the appropriate Government emission conversion factors for greenhouse gas company reporting.

Scope 1 and Scope 2 emissions have not been reported in accordance with SECR requirements due to our micro SME status. The required subset of Scope 3 emissions have been reported in accordance with the published reporting standard for Carbon Reduction Plans and the Corporate Value Chain (Scope 3) Standard.

This Carbon Reduction Plan has been reviewed and signed off by the board of directors.

Signed on behalf of enCircle Solutions Ltd.

Darren Woods, Managing Director

Date: 29^th January 2024