Committed to net zero carbon emissions by 2030

Our Net Zero 2030 target, announced in 2021, will see SMS drastically reduce carbon emissions across our buildings and fleet operations, striving to achieve zero emissions by the end of the decade.

We are proud to be utilising our passion, energy expertise, and innovation to be part of the climate change solution, within both our operations and services.

Our net zero journey

SMS’s net-zero 2030 roadmap is actively being realised through a variety of sustainability measures rolled out organisation-wide in a phased manner. This includes increased adoption of renewable on-site generation and battery storage to power core sites across the Group’s UK and Ireland estate and the transition of SMS’s nationwide fleet to low-carbon and electric vehicles (EVs). Our target encompasses:

Scope 1: the direct greenhouse (GHG) emissions that occur from sources that are controlled or owned by our organisation
Scope 2: indirect GHG emissions associated with the purchase of electricity
Of this, our tracked fleet represents 70% of our target emissions, and the operation of our buildings represents the remaining 5%

To manage the delivery of the target, we have developed and implemented an ISO 50001:2018 certified Energy Management System as well as an Integrated Quality, Environmental and Occupational Health and Safety Management System, which uses the ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018 standards as a framework to document and improve operational practices. Our net zero programme is also being implemented in line with the Greenhouse Gas (GHG) Protocol and Institute of Environmental Management and Assessment (IEMA) Hierarchy.

2021

All internal combustion engine (ICE) company cars at the end of their lifecycle replaced with plug-in hybrid electric vehicles (PHEV) or pure electric vehicles (EV) where possible.

2021

Commenced rollout of renewable energy installation and efficiency upgrades at key buildings.

2025

All domestic fleet to have transitioned to PHEV and EV or adhere to maximum of 60g CO2/km per vehicle.

2030

All domestic and commercial fleet to have transitioned to EV and will emit 0g CO2/km

2030

All remaining core sites to have renewable generation, fabric, and energy efficiency upgrades completed.

2030

SMS to focus on reducing Scope 3 carbon emissions across the value chain.

Our progress so far

Image showing an SMS Van parked outside a residential property

Fleet

All company cars replaced with hybrid or EV models
In preparation for next phase, 11 EV vans procured as trial vehicles to test the viability, distance capabilities and general suitability to our business purposes.

Buildings

Commenced sustainability upgrades on our first office based in Cardiff, including solar panel and on-site battery storage installations, as well as replacement of windows.
Next steps for 2023 are underway including preparation for air source heat pump installation and further energy efficiency and building fabric solutions.
Package of on-site solutions will aggressively reduce emissions, delivering more than 60% reduction in emissions and transitioning away from gas use.

Image showing two workers standing in front of two storage units

Energy storage

2022 saw the first of our grid-scale battery storage sites energised, providing vital support for the decarbonisation of the UK’s power grid.
As our grid-scale battery operations continue to grow, we are reviewing our approach to reducing battery-related emissions in relation to our 2030 net zero target. However, current impact on our emissions is minimal.

0%

reduction in total building
emissions (scope 1 & 2)*
*compared to 2019

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reduction in emissions to be achieved at our Cardiff site once building upgrades completed

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Eleven new electric vans (PHEV) deployed, informing next steps on fleet decarbonisation

The Climate Pledge

To formalise and reinforce our commitment to achieving net zero, we have become a signatory of The Climate Pledge – a cross-sector community of companies and organisations working together to address the climate crisis and solve the challenges of decarbonising the economy.

Companies and organisations that sign the Pledge commit to three areas of action:

Regular reporting
Carbon elimination
Credible Offsets

Becoming a signatory of The Climate Pledge additionally includes SMS as a member of the United Nations’ Race to Zero, a global campaign to rally leadership from businesses, countries, cities, regions, and investors to support a zero-carbon recovery.

More about our Climate Pledge and UN Race to Zero

Image showing three logos that relate to the climate pledge

Image showing two women at an SMS reception desk

Overall Net Positive Impact

With our commitment to improving operational sustainability combined with the impact of our energy-saving services, we are already having a ‘net positive’ effect on our environment. Being net positive means we mitigate more carbon emissions through our services (known as our ‘carbon handprint’) than we produce through our internal operations (our ‘carbon footprint’).

In 2022, we mitigated more than 63,000 tonnes of carbon emissions (TCO2e) through the installation of smart meters in the domestic and non-domestic markets, and energy efficiency services we carry out for industrial, commercial, and public sector clients.

For the third year in a row, our net-positive impact was recognised by the London Stock Exchange (LSE) through the ‘Green Economy Mark’, which is awarded to LSE-listed organisations that generate more than 50% of annual revenues through green services.

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63,000 tonnes of carbon emissions (TCO2e) saved in 2022 through delivery of our services

0x

Our carbon handprint was more than 14 times larger than our carbon footprint in 2022

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Our net-positive effect on the environment in 2022 was equivalent to powering 110,000 British homes with clean electricity for the entire year.

Net Zero Business Guide

We’re not just committed to reducing our own emissions, but helping our customers towards their low-carbon objectives too. Read our guide on how to achieve net zero carbon emissions within your organisation.

Download Net Zero Guide

Scope 3 emissions: 2030 and beyond

Our long-term carbon reduction ambition goes way beyond 2030. On reaching the net zero goal at the end of the decade, we aim to become a carbon negative business. This means we’ll mitigate more carbon emissions from the atmosphere than we create through our operations.

We plan to do this by reducing Scope 3 emissions, or the emissions of activities from assets not owned or controlled by our business, but that we indirectly impact through our work (such as the CO2 created by our supply chain).

Image showing an SMS worker taking a picture inside a warehouse

As a sustainably focused, purpose-led business with a mission to deliver the future of smart energy, our long-term commitment doesn’t end at 2030. Going forward, we’ll aim to target reductions in our Scope 3 carbon emissions across our value chain, whilst also continuing to make other positive social and environmental impacts across our communities.”

Tim Mortlock

CEO of SMS

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Podcast

Energy Matters: Becoming a net zero carbon business

The Energy Matters podcast sits down with SMS’s Head of Sustainability, Charlotte Gregory, to talk about what exactly 'net zero' means, and the strategies being deployed by socially responsible organisations who hope to achieve the target within the next decade.

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Inspired by our core value of Sustainability, we are committed to improving our impacts on the environment, our communities, and wider society around us through responsible operations and best-practice corporate governance.

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