New report urges business to take new approach to delivery of products and services to cut carbon emissions

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31 January 2006
Business has the opportunity to take a new approach to delivering products and services to consumers in order to substantially increase carbon emissions reduction, according to a new report launched today by the Carbon Trust.

The research, “The carbon emissions in all that we consume”, shows how all industrial emissions can ultimately be tied back to the provision of one or more consumer products and services. It aims to help businesses take a wider view on carbon emission reduction and develop innovative supply chain strategies to cut costs and lower the emissions required to meet consumer needs.

Turning the traditional output-based view of carbon emissions on its head, the study takes carbon emissions at source – e.g. electricity production and primary manufacturing – and reallocates them to the point of consumption – e.g. ready-meals, clothing and sports centres. It shows that UK consumers use products and services with a combined carbon footprint of 176.4 MtC (million tonnes
of carbon per annum). This is 11.7 MtC greater than the emissions generated by all UK production, which means that the UK is a net importer of carbon intensive products and services from abroad.

The three consumer needs with the highest carbon emissions are recreation and leisure, space heating and food and catering. Together, they are responsible for almost half of the total UK carbon emissions.

Euan Murray, Strategy Manager at the Carbon Trust, commented: “Tackling climate change requires fundamental changes to the way that businesses deliver products and services to the consumer. Today, businesses are increasing their efforts to minimise energy use in their own operations. This is very valuable but we want them to take the next step. By taking a wider supply chain approach,
businesses can focus on areas of largest energy use, wherever they are. This means larger carbon savings and larger cost savings too. Of course, consumer demand is the ultimate driver of carbon emissions in the UK economy. As climate change and carbon emissions become a bigger consumer
issue, taking steps now to reduce total supply chain emissions could also deliver a competitive advantage for the future.”

The report shows that high level consumer needs generate the following carbon emissions on an annual basis (data from 2002):




 
 
Footnotes
 
Notes to editors
To receive a copy of the Carbon Trust report or to arrange interviews, please call the Carbon Trust press office on 020 7544 3100.

The Carbon Trust
  • The Carbon Trust works with UK business and the public sector to cut carbon emissions and develop commercial low carbon technologies. An independent company set up by Government to help the UK meet its climate change obligations, the Carbon Trust creates practical businessfocused solutions to carbon emission reduction on energy efficiency, carbon management, and investment.
  • The Carbon Trust's annual funding is in excess of £69m in grants from the Department for Environment, Food and Rural Affairs (Defra), the Scottish Executive, the Welsh Assembly Government and Invest NI.