15 Inizio Sustainability Report 2023 Key steps to Net Zero 2040 continued Whilst we acknowledge the imperfections in the global carbon market, onbalance, we believe that in the short and medium term, high-integrity nature- based solutions to offset some of our carbon emissions can complement our decarbonisation initiatives whilst we move to net-zero, particularly for activities where we have little control over the emissions produced, for example business travel. We welcome the work of the Integrity Council for the Voluntary Carbon Market (ICVCM) to develop increasingly stringent ‘core carbon principles’ that aim to ensure a carbon credit is credible. In 2023, the following projects were selected to align with Inizio’s focus on health equity: Step 2 – Reducing our Scope 3 emissions Business travel and Like many organizations, the majority Developing a supply chain employee commuting 1 incorporating various sustainability Business travel is a significant of Inizio’s carbon emissions fall within sustainabilityprogram considerations. Representatives contributor to our Scope 1 and 3 carbon Community boreholes for clean drinking water in our value chain (Scope 3). The majority of Inizio’s value chain from functions across Inizio emissions, and wave adopted ae h Eritrea. This project will renovate broken boreholes in a emissions are within the purchased contributed to this workstream. multi-faceted approach to reducing semi-rural district in Eritrea, so that they provide clean, We measure our Scope 3 emissions goods and services category. Direct The senior leadership team them. For our sales fleet, we’re phasing safe water fit for human consumption. The provision of annually and disclose them, alongside emissions from our suppliers – their considered KPMG’s recommendations out internal combustion engine cars safe water is necessary to prevent waterborne diseases our Scope 1 and 2 emissions, at the Scope 1 and 2 – contribute to our and agreed that we would explore and transitioning to hybrid and electric and reflects Inizio’s focus on improving health equity. beginning of each reporting year. Scope 3 total. Therefore, developing the use of a digital platform to vehicles (see page 14). and implementing a supply chain assist our Sustainability Team with Gold Standard (GS) Certified Partway through 2022, we undertook sustainability program to engage and engaging our largest spend suppliers Air travel represents a sizeable a Scope 3 emissions screening influence suppliers to decarbonize, on their decarbonization plans. proportion of our business travel exercise, which we repeated in 2023 remains an imperative for our own emissions in Scope 3, so we as part of our application for the SBTi. decarbonization strategy. In addition to decarbonizing our 2 This exercise helped us to understand encourage our employees to truly supply chain, we’re exploring how consider whether taking a flight is which Scope 3 categories are most we can diversify our supplier base, Distribution of improved cooking stoves During the year, we engaged KPMG necessary and proportionate. in India. This project facilitates clean cooking relevant for our organization and to recommend a supplier lifecycle reflecting our internal approach to where we need to focus our attention diversity, equity and inclusion. practices by giving improved stoves to families management operating model, When commuting to the office, living below the poverty line in villages in the to reduce these emissions. we encourage employees to use (tCO e) “In addition to Maharashtra state in India. This reduces the Material Scope 3 categories 2 more sustainable travel choices, such health risks from indoor air pollution. 2023 20221 20211 decarbonizing our as public transport and cycling. We Purchased goods and services 17,407 24,273 15,678 supply chain, we’re provide bike storage at most of our Verified Carbon Standard Fuel and energy-related activities offices and we participate in local not captured in Scope 1 and 2 1,155 3,244 495 also exploring how bike-incentive schemes. Our approach we can diversify to hybrid and remote working also 3 Waste 172 95 451 contributes to a reduction in emissions Business travel3 7,094 7,001 442 our supplier base, from employee commuting. The World Land Trust’s Carbon Balanced Employee commuting2 3,746 1,897 1,600 Program. This program focuses on protecting Water 96 28 11 reflecting our internal Where it’s not possible to avoid carbon forests and restoration projects, producing Upstream transportation and distribution2 540 2.9 approach to diversity, emissions due to air travel, we have measurable, long-term local community 1.5 decided to compensate for these Total Scope 3 emissions 30,210 36,540 17,078 equity and inclusion.” benefits and a positive climate impact. emissions by investing in three projects that deliver social impact 1. To calculate our Scope 3 emissions, we previously used a tool called Quantis, but this tool has been discontinued and we’ve therefore updatedbenefits to communities, families, our Scope 3 methodology to apply USEEIO spend-based commodity emission factors. This change in methodology has resulted in a significant Self-certified reduction in the reported emissions arising from our purchased goods and services as previously stated. and the environment. In total, we 2. Emissions arising from employee commuting and upstream transportation and distribution have increased due to improved data measurement.offset 3,943 tCOe in 2023. 3. I n 2021, business travel was reduced due to Covid-19 restrictions but increased in 2022 post the lifting of travel restrictions. 2