Recognising the environmental impact of our industry, we provide the lowest carbon route to market to our mobility partners
Progress towards decarbonisation targets
We have set ambitious emissions reductions targets, and are taking action across multiple fronts to reduce our direct emissions (scopes 1 and 2) as quickly as possible. As the industry transitions towards a low carbon future, it’s our role to provide our partners with the lowest carbon route to market, as the distribution partner which can best support them in reaching their decarbonisation goals.
In 2023, we reduced our direct emissions by 6.6% and 31% overall, Scope 1 and 2 emissions since 2019 (baseline). Since 2019, we have reduced our annual direct emissions by 21,332 tCO2e, representing a 31% reduction.
Lowest Carbon Route to Market
To meet our direct emissions objectives, we’ve implemented group-wide decarbonisation initiatives addressing our key sources of emissions.
Energy Efficiency
Design briefs for new buildings are required to incorporate sustainability and energy efficiency considerations, to ensure that buildings are designed to be low-electricity and net zero-ready.
Electrification and Renewables
Our Practices pillar focuses on constantly strengthening our conduct, policies and controls, while respecting the regulations of the markets in which we operate. Upholding world class standards, we guide our global workforce to operate ethically and responsibly across all our markets
Investing in solar as a priority
Installing onsite generation at Inchcape sites is at the top of our renewable energy procurement hierarchy – meaning we prioritise this over other procurement approaches.
Waste and Recycling
Exploring opportunities in circularity As specialists in vehicle sales and Vehicle Lifecycle Services (VLS), we see a huge opportunity to make the automotive industry’s environmental impact more positive by driving circularity and extending the life of vehicles on the road.
Our work to maximise vehicle lifespan by providing servicing, parts services, and used vehicle sales directly contributes to minimising waste and promoting reuse. It’s our ambition to serve every vehicle that leaves our dealerships from first sale, through to end-of-life and beyond.
Working with our colleagues to meet our goals at the fastest pace we can.
Sharing knowledge, good practices from our regions and markets as well as new trends in sustainable solutions, is all part of our Responsible Business agenda, as we keep moving forward to meeting our goals.
Our current priorities
Emissions
Scope 1 and 2 emissions remain the key focus of the Planet pillar and workstream and where we can make the biggest contribution to our stated target of 46% reduction in emissions by 2030 (in line with 1.5°C). Scope 1 focus is to increase the proportion of new energy vehicles as the share of cars owned and used by Inchcape, plus to reduce the amount of fossil fuel used in our operations.
Reduce electricity consumption
In Scope 2, we are increasing proportion of our electricity sourced from renewable tariffs as well as installing and measuring peak power output from on-site renewables such as solar pv, ground- and air-sourced heat pumps and implementing energy efficiency measures to reduce our overall electricity consumption where possible.
Scope 3 emissions
We confirm that the disclosures included in the 2023 Annual Report and Accounts are consistent with the recommendations of the Task Force on Climate Related Financial Disclosures (TCFD).
Climate change projects
In order to understand the risks and opportunities associated with climate change, a project was carried out in 2022, to enable us to report in line with recommendations under the TCFD.
External recognition
We scored B in CDP, as a response to the work done towards managing the environmental impacts of our business and our climate change disclosures. This represents an improvement on our score from any prior year.
We’re conscious of the environmental impact of our industry, and aware of the challenges that climate change poses to our business. Backed by our net zero target, our goal is to halve our greenhouse gas emissions by the end of the decade – and I am proud to say we are making substantial progress towards our goals.
Adrian Lewis Group Chief Financial Officer