Providing a Baseline of Action

The Towards Net Zero Coalition has developed new supplier sustainability targets to set clear expectations for suppliers across the sector. These targets are designed to accelerate decarbonization efforts and address Scope 3 emissions, which account for the majority of a company’s environmental impact.

These targets apply to suppliers who represent 60-80% of a company’s Scope 3 emissions, with a strong encouragement to cascade the expectations further down the supply chain to the suppliers of suppliers.

The targets provide a baseline of action for companies in the coalition, while encouraging members to go beyond these requirements where possible. Each company has the flexibility to implement the targets as they see fit and is urged to conduct their own materiality assessments to ensure the most relevant sustainability issues are addressed. 

By aligning on these targets, we aim to drive sector-wide consistency and accelerate progress towards a more sustainable future.

Supplier Sustainability Targets

1. Ideally near term and net zero 2. Recommendation to align with the frameworks and principles for transition plan as designed by ESRS/CSRD, Transition Plan Taskforce Framework and CDP, or other external frameworks depending on regional context 3. Leveraging guidance from RE100 or similar to support the transition 4. Clean is defined as zero carbon / carbon neutral technologies including but not limited to electrification heat technologies (e.g. heat pumps, e-boilers), biofuels (e.g. biomethane, biomass), other technologies (e.g. solar thermal, geothermal, Green hydrogen). Natural gas is not included. Heat includes both building and process heat emissions, and spans all possible temperature ranges 5. In alignment with the CGF FPC Commodity Roadmaps
Download the targets and additional resources

Share this pdf version with your suppliers and colleagues

How to Get Started and
Engage With Your Suppliers

Using the
targets

  • These targets aim to provide a baseline of action across the coalition, but should not place a cap on ambition
  • Implementation is at the discretion of each company[1] and members are encouraged to conduct their own analyses to confirm topics' materiality[2]
  • Targeting suppliers* who represent 60-80% of your scope 3 *And your suppliers' suppliers (we encourage these targets to be cascaded)

Engaging with
suppliers

  • Involve all the right management groups (R&D, Sales, Supply, Strategy, Finance may be needed on top of procurement, CSR and the board)
  • Be firm on your WHAT and WHY (you will need this in your reports, to auditors and financial institutions)
  • Understand the supply chain complexity and that it won’t always be smooth sailing when setting targets

Further tools
and resources

  • Click on each row above to access key terms and resources specific to each category
  • Take a look at the library of resources on our Decarbonisation Solutions Hub linked below
1. E.g. communication to suppliers, inclusion in code of conduct, etc. 2. Targets designed for suppliers representing 60-80% of company's supplier-driven scope 3 emissions