Carbon Reduction Plan

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Carbon Reduction Plan

Commitment to achieving Net Zero
Iacovou Brothers (Constructions) Ltd is committed to achieving Net Zero emissions by 2050.

 

Baseline Emissions Footprint

Baseline emissions are a record of the greenhouse gases that have been produced in the past, prior to the introduction of any strategies to reduce emissions. Baseline emissions are the reference point against which emissions reduction can be measured.

 

The baseline year for this Carbon Reduction Plan is 2024. The baseline has been developed using available operational data relating to fuel consumption, fleet operations, electricity consumption, waste management and recycling activities across the organisation’s construction and operational activities.

Scope 1 emissions primarily relate to fuel consumption from construction plant, operational machinery and company fleet vehicles. Scope 2 emissions currently relate mainly to office electricity consumption. Scope 3 emissions presently include indicative information relating to waste generation, recycling activities, employee commuting and material reuse initiatives.

The organisation recognises that current Scope 2 and Scope 3 reporting continues to be refined through future reporting periods as additional operational and supply chain emissions data becomes available.

 

Scope 1

Includes:

Fuel consumption from construction plant and equipment;
Fuel consumption from company vehicles;
Diesel usage associated with operational activities.

 

Scope 2

Includes:

Electricity consumption

 

Scope 3

Direct Emissions

Indirect Electricity Emissions

Other Indirect Emissions

Includes indicative* information relating to:

Employee commuting;
Waste generation;
Recycling and reuse activities;
Material reuse and circular economy initiatives.

 

Baseline Year:2024

Additional Details relating to the Baseline Emissions calculations.

Scope 1 Emissions Methodology

Scope 1 emissions have been calculated using available operational fuel consumption data relating primarily to Eurodiesel used across construction plant, operational equipment and company fleet activities during the 2024 baseline year.

The 2024 recorded Eurodiesel consumption totalled approximately 3,340,017 litres. Emissions were estimated using recognised greenhouse gas conversion methodologies and an emission factor of approximately 3.022 kgCO2e per litre of diesel fuel consumed.

Based on the available operational fuel data, the organisation’s estimated Scope 1 emissions for the 2024 baseline year are approximately 8,951 tCO2e.

The current Scope 1 reporting is based on the operational fuel data presently available to the organisation and continues to be refined in future reporting periods as additional emissions data sources become available.

 

Scope 2 Emissions Methodology

Scope 2 emissions relate to indirect greenhouse gas emissions associated with purchased electricity consumed within the organisation’s operational facilities and office locations.

The Scope 2 emissions calculations have been based on available electricity consumption data collected from company utility records and electricity billing information relating to the reporting period. The reporting boundary currently includes electricity consumption associated primarily with office facilities and operational support locations under the operational control of Iacovou Brothers (Constructions) Ltd.

Electricity consumption data has been recorded in kilowatt-hours (kWh) and converted into tonnes of carbon dioxide equivalent (tCO2e) using the applicable electricity emission conversion factors in accordance with recognised greenhouse gas reporting methodologies and Government emission conversion factors for company reporting.

Where renewable energy systems are installed within company facilities, electricity generated on-site has been considered separately from imported grid electricity where data is available.

The organisation recognises that Scope 2 reporting coverage and data accuracy continues to improve through future reporting periods as additional facility-level energy monitoring, utility data collection and operational reporting processes are further developed and integrated across the business.

 

Scope 3 Emissions Methodology

Scope 3 emissions relate to indirect greenhouse gas emissions generated as a consequence of the organisation’s operational activities but arising from sources not directly owned or controlled by Iacovou Brothers (Constructions) Ltd.

The current Scope 3 reporting boundary includes available and indicative information relating to:

waste generation and waste management activities,
recycling and material reuse initiatives,
employee commuting,
business travel,
operational transportation activities where data is available,
circular economy and material recovery practices associated with construction operations.

Scope 3 emissions data have been developed using the operational information currently available to the organisation, including waste quantities, recycling records, material reuse data and employee information collected during the reporting period.

The organisation generated approximately 81,235 tonnes of waste during the reporting period and also implemented significant circular economy initiatives including the reuse of approximately 360,000 tonnes of recycled aggregates and the reuse of approximately 90,000 tonnes of materials across operational activities.

Due to the current maturity of organisational emissions reporting processes, certain Scope 3 categories are presently based on indicative data and reasonable operational assumptions derived from available operational information and comparable construction sector reporting methodologies.

Based on the currently available data, the organisation’s preliminary indicative Scope 3 emissions for the 2024 baseline year are estimated at approximately 500 tCO2e.

The organisation recognises that the current Scope 3 inventory does not yet represent a fully comprehensive value chain emissions assessment and is committed to progressively enhancing Scope 3 reporting through:

improved supplier engagement and emissions data collection,
increased monitoring of transportation and logistics emissions,
enhanced waste and recycling reporting,
development of project-level carbon monitoring processes,
expansion of environmental data collection across operational activities and the wider supply chain.

 

* Scope 3 emissions currently represent indicative estimates based on available waste generation, recycling, material reuse, business travel and employee operational data. Scope 3 reporting continues to be refined as additional supply chain, transportation and operational emissions data becomes available.

The current Scope 3 inventory represents a partial operational assessment based on presently available data and does not yet include all value chain categories under the Corporate Value Chain (Scope 3) Standard.

Baseline year emissions: 2024

EMISSIONS

EMISSIONS	TOTAL (tCO2e)
Scope 1	8,951
Scope 2	93
Scope 3 (Included Sources)	500
Total Emissions	9,544

Current Emissions Reporting

Reporting Year: 2025

EMISSIONS	TOTAL (tCO2e)
Scope 1	7,937
Scope 2	94
Scope 3 (Included Sources)	473
Total Emissions	8,504

 

Emissions Reduction Targets

Progressing towards Net Zero emissions by 2050, Iacovou Brothers (Constructions) Ltd has adopted a series of carbon reduction objectives focused on improving operational efficiency, reducing fuel consumption, increasing renewable energy use, enhancing waste reduction and recycling performance and strengthening environmental management processes across the organisation’s operations.

 

The organisation has established the following carbon reduction targets:

Improve carbon monitoring and emissions reporting processes across all operational activities.
Achieve a minimum 30% reduction in operational carbon intensity by 2030 compared to the 2024 baseline year.
Progressively increase the use of renewable energy systems and lower-emission technologies across facilities and operations.
Continue transitioning towards lower-emission and hybrid vehicle technologies where operationally feasible.
Continue improving waste reduction, material reuse and recycling performance across operational and construction activities.
Progressing towards Net Zero emissions by 2050.

Based on the current baseline emissions profile of 9,544 tCO2e for the 2024 baseline year, the organisation projects that operational carbon emissions will decrease over the next five years to approximately 6,681 tCO2e by 2030. This represents an indicative reduction of approximately 30% compared to the 2024 baseline emissions profile.

The organisation recognises that future emissions reduction targets and reduction pathways may continue to be refined as additional operational, energy and supply chain emissions data becomes available through future reporting periods.

Progress against these targets will be monitored through ongoing environmental KPI monitoring, operational performance reviews, energy monitoring programmes and continual environmental improvement initiatives implemented across the organisation’s operations, facilities and projects.

 

 

Carbon Reduction: Projected vs Actual

The graph below illustrates the organisation’s projected carbon reduction pathway towards Net Zero emissions by 2050 against current reported emissions.

 

The reduction between the 2024 baseline year and 2025 reporting year is associated with improved operational efficiency measures, enhanced fuel management, increased material reuse and recycling activities, and ongoing implementation of energy efficiency initiatives across operational facilities and projects.

 

The projected reduction pathway is supported through operational efficiency improvements, renewable energy expansion, lower-emission transport solutions, improved environmental monitoring and increased circular economy practices across operational activities.

 
 
Carbon Reduction Projects

The following environmental management measures and carbon reduction initiatives have been completed or implemented since the 2024 baseline year and will continue to be applied during the performance of future contracts.

The organisation currently operates an ISO 14001 Environmental Management System across its operational activities and construction projects, supported by Construction Environmental Management Plans (CEMP), Site Waste Management Plans (SWMP), environmental inspections and operational environmental monitoring procedures.

Energy efficiency initiatives implemented across the organisation include the installation of LED lighting systems, sensor-controlled and timer-operated lighting controls, solar lighting systems and other energy-efficient operational technologies within offices, facilities and construction site environments to reduce electricity consumption and improve energy efficiency performance.

The company has also implemented photovoltaic (PV) systems at company office facilities and introduced EV charging points to support the transition towards lower-emission technologies and increased use of renewable energy sources across operations.

Operational fleet and transport initiatives include the introduction of hybrid vehicles within the company fleet, improved fuel monitoring procedures and operational efficiency measures intended to reduce fuel consumption and improve fleet management performance.

The organisation has also implemented water reuse measures, improved water management practices and optimisation of dust suppression activities to improve operational resource efficiency and reduce unnecessary water consumption across project activities.

Significant circular economy and waste management initiatives have also been implemented across the organisation’s operations. These include waste segregation procedures, waste recovery and recycling activities, reuse of construction and demolition materials and increased material recovery practices across projects and operational facilities.

During the reporting period, the organisation reused approximately 360,000 tonnes of recycled aggregates within production activities and approximately 90,000 tonnes of materials across internal projects and operational activities, contributing towards reduced raw material consumption, reduced landfill disposal and improved sustainable resource management practices.

The organisation also continues to prioritise local suppliers and regional supply chains where practical and operationally appropriate in order to reduce transportation impacts and support supply chain sustainability.

Based on the currently available operational data and environmental performance information, the carbon reduction measures implemented are estimated to contribute towards improved operational efficiency, reduced electricity consumption, increased material reuse and recycling performance and reduced operational environmental impacts across company activities.

As this is the organisation’s first formal Carbon Reduction Plan developed in accordance with PPN 06/21 reporting requirements, a fully mature historical carbon reduction comparison against previous verified reporting periods is not currently available. However, the environmental management measures currently implemented are expected to support the organisation’s targeted reduction pathway towards Net Zero emissions by 2050.

 

Completed Carbon Reduction Initiatives

The following environmental management measures and carbon reduction initiatives have already been implemented across the organisation’s operations and will continue to be applied during the performance of future contracts:

Implementation and maintenance of an ISO 14001 Environmental Management System across operational activities and construction projects;
Development and implementation of Construction Environmental Management Plans (CEMP) and Site Waste Management Plans (SWMP) across project sites;
Installation of LED lighting systems within offices, facilities and operational areas to improve energy efficiency and reduce electricity consumption;
Installation of sensor-controlled and timer-operated lighting systems within offices, facilities and construction site environments to minimise unnecessary energy usage;
Installation of solar lighting systems within operational and project-related activities to reduce reliance on conventional electricity consumption;
Installation and operation of photovoltaic (PV) systems at company office facilities to support the use of renewable energy sources;
Introduction of EV charging points within company facilities to support the transition towards lower-emission vehicle technologies;
Introduction of hybrid vehicles within the company fleet as part of the organisation’s transition towards lower-emission transport solutions;
Implementation of water reuse measures and improved water management practices across operational activities;
Optimisation of dust suppression activities to improve water efficiency and reduce unnecessary resource consumption;
Implementation of waste segregation, waste recovery and recycling procedures across construction projects and operational facilities;
Reuse and recycling of construction and demolition materials as part of the organisation’s circular economy approach;
Reuse of approximately 360,000 tonnes of recycled aggregates within production activities to reduce raw material consumption and landfill disposal;
Reuse of approximately 90,000 tonnes of materials across internal projects and operational activities to support sustainable resource management;
Prioritisation of local suppliers and regional supply chains where practical to reduce transportation-related impacts and support supply chain sustainability;
Implementation of environmental awareness and sustainability initiatives across operational teams and project activities to support continual environmental improvement and carbon reduction objectives.

Future Carbon Reduction Initiatives

In the future, the organisation intends to continue strengthening its environmental and carbon management performance through the implementation of additional carbon reduction initiatives including:

Increase renewable electricity contribution across operational facilities.
Progression of the connection and operation of the newly constructed photovoltaic (PV) farm intended to supply electricity to the company’s quarry and recycling facilities.
Continued investigation, feasibility assessments and development of additional photovoltaic (PV) installations across company offices, operational facilities and project locations in order to increase the use of renewable energy and reduce reliance on grid electricity.
Expansion of energy-efficient lighting systems and automation technologies including additional sensor-controlled and movement-activated lighting systems across offices, facilities and construction sites.
Ongoing energy audits and monitoring programmes undertaken by experienced external consultants and technical specialists to identify opportunities for further energy efficiency improvements and additional sustainability initiatives.
Continued improvement of energy management and operational efficiency practices across projects, facilities and operational activities.
Gradual increase in the procurement and use of hybrid and lower-emission vehicles across the company fleet, with future vehicle purchasing strategies increasingly focused on lower-emission technologies.
Ongoing review and assessment of future electric vehicle opportunities where operationally feasible and practical for company operations and project activities.
Investigation and assessment of alternative fuels and lower-carbon operational technologies including generators integrated with photovoltaic systems and newer plant and machinery with optimised fuel efficiency technologies.
Increased material reuse and recycling activities across operations and projects to maximise reuse of physical resources, reduce waste generation and minimise unnecessary transportation associated with disposal and replacement activities.
Reduction of unnecessary transportation and deliveries through improved logistics planning, coordinated procurement activities and development of green travel planning measures across projects and operational activities.
Further improvement of waste segregation, waste recovery and recycling practices across construction sites and operational facilities to reduce waste disposal to landfill.
Continued prioritisation and expansion of local supplier and regional supply chain engagement where practical and operationally appropriate to further reduce transportation impacts and support local economic participation.
Expansion of environmental awareness and sustainability training programmes for employees, subcontractors, operational personnel and supply chain partners.
Continued development and improvement of environmental KPI monitoring systems and environmental reporting processes across company operations.
Enhancement of project-level carbon monitoring activities and environmental performance tracking processes.
Improved collection, monitoring and reporting of supply chain emissions data across operational and procurement activities.
Reduce landfill disposal through expanded recycling and material reuse initiatives.

The organisation remains committed to continual environmental improvement and will continue to review, assess and develop additional carbon reduction opportunities across its operations, facilities, projects and supply chain activities in support of its long-term objective of progressing towards Net Zero emissions by 2050.

 

Declaration and Sign Off

This Carbon Reduction Plan has been completed in accordance with PPN 006 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 been reported in accordance with SECR requirements, and 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 (or equivalent management body).