Carbon Footprint

Beyond industry, regulation is driving change and since October 2024, there are new incentives for low carbon products with the European Carbon Border Adjustment Mechanism (CBAM), so businesses importing goods must report on direct and indirect emissions, which may eventually be levied a 'carbon tax'. With more than 450+ environmental labels world wide, it's no wonder there's a lot of confusion and information lost in translation with sustainability standards. Beyond legislation like the Green Claims Code, it's clear that tracking, transparency and goal-setting are key - not just to avoid fines and restrictions, but also to encourage lasting change and deliver on good intentions. In the UK, the Advertising Standards Agency now requires businesses to qualify any carbon zero or neutrality claims with evidence. 

Surface Matter started on our path to Net Zero in 2022, researching companies that verify carbon footprint to ISO standards, and that can offer verified offsetting projects. We believe these should not be bought as a package which risks passing the problem into the future, as there are no guarantees that impact projects will reduce or regenerate as intended and every kg of carbon has already been released.

We have long valued efficiency, reuse and responsible purchasing, so teamed up with Carbon Footprint's and their thorough six-step approach to reduce emissions, share resources, find better ways of working and encouraging everyone to do the same to help protect the planet. Carbon Footprint help us with their database for transparent emissions, setting industry benchmarks and best practices that help us set attainable goals and looking through our entire supply chain to reduce our carbon footprint - one of the most important impacts we can make.

As for offsetting, we are free to independently evaluate the credentials and quality standards for every kilogram we offset, individually. 

We're still learning and researching the area - with many in our team attending virtual training and using resources about avoiding greenwashing, getting to grips with Material Passports, the Carbon Database Initiative and attending a Carbon Literacy course. 

We'll report and share as much information as we can, to help improve our own impact and will continue to update on our progress.

Our assessment

Our carbon footprint is a measure of the impact our activities have on the environment in terms of the amount of greenhouse gases produced, measured in units of carbon dioxide equivalents (CO2e). It assessed through three parts known as Scope 1, 2 and 3 emissions. 

Scope 1 covers direct emissions within our control, such as manufacturing processes and company vehicles.

Scope 2 includes indirect emissions resulting from purchased energy, including electricity, steam and natural gas.

Scope 3 encompasses indirect emissions along the entire value chain, including suppliers, transportation and end-user service or product use. Often, Scope 3 emissions are the most significant, but the most challenging to report and address and are not required for footprinting or offsetting.

Our carbon emissions have been calculated using conversion factors developed by the UK Department for Environment, Food and Rural Affairs (Defra) and the Department for Business, Energy & Industrial Strategy (BEIS). These factors are multiplied with our Greenhouse Gas (GHG) activity data, and appraised by Carbon Footprint in accordance with ISO 14064-1:2018 and The Greenhouse Gas Protocol Corporate Standard - a dual-reporting method for location and market-based GHG emissions. 

The location-based approach reflects the emissions from electricity coming from the national grid energy supply, while the Market-based approach reflects the emissions from the electricity sources or products that we have used specifically, utilising supplier-specific factors. By calculating market-based emissions we can benefit from low or zero carbon electricity with renewable electricity tariffs which reduces our Scope 2 emissions.

For a verified footprint, direct emissions from Scope 1 and 2 are required, and we have reported on as many categories within Scope 3 as we initially had access to. With time we want to increase this to gain a full picture of our indirect emissions.

Our total Market-based emissions for Year 10, ending September 2023 was 144.09 tonnes CO2e (less than our Location-based emissions 145.08 tonnes CO2e - because our studio is on a 100% renewable energy tariff, and our warehouse is a mixed tariff that supplies the industrial estate, improving our electricity above the UK's national average). 

Offsetting projects

We invest in environmental impact projects meeting leading international standards to 'offset' our Scope 1, 2 and 3 emissions. Of the standards approved by the Quality Assurance Standard (QAS) for Carbon Offsetting, the leading and most recognised standards are Verified Carbon Standard (VCS) and Gold Standard Verified Carbon Reduction (Gold Standard). Both standards are run by non-profit organisations and are approved under the new ICVCM (Integrity Council for the Voluntary Carbon Market). The VCS covers a broader range of project types (including renewable energy, forestry, agriculture and industrial processes), while the Gold Standard primarily focuses on renewable energy and energy efficiency projects with some forestry initiatives. Both prioritise greenhouse gas emission reductions, but the Gold Standard places a stronger emphasis on sustainable development and community benefits alongside climate impact.

These standards ensure the integrity and credibility of projects with established criteria for quantifying, monitoring and verifying greenhouse gas emission reductions or removals, requiring projects demonstrate additionality (meaning the emission reductions would not have occurred without the carbon finance generated by offsetting) and have permanent or long-lasting benefits.

For our first year, we aligned our most carbon-intensive practice, downstream air freight shipments with an offsetting programme that we believe will create the largest impact. 

• Reforestation in Ghana VCS 2410 41t CO2e (Downstream Air Freight) | Rated 4.0 by VSC, aims to restore 14,000 hectares of degraded forest reserves by 2025, combatting deforestation, improving soil quality, protecting water resources and enhancing biodiversity.
• Wind Power in India VCS1679 75t CO2e | Rated 3.9 by VSC, wind farms in Madhya Pradesh, Gujarat, and Kerala, with a total capacity of 60MW, displacing fossil fuel based electricity that would have otherwise been produced. 
• Solar Power in Burkina Faso VCS2434 30 tCO2e | Rated 3.8 by VSC, a small-scale project constructing and operating a solar PV plant to supply clean, renewable energy to the gold mine Essakane gold mine. Expected to generate approximately 28,868 MWh in its first full year, resulting in an avg 19,904 tCO2e emission reductions annually over its 7-year crediting period.

Additionally Carbon Footprint planted 14 trees in Kenya (1 tree for every tonne of CO2 offset). 

Reduction goals

Much of our first year was focused on reporting and setting a baseline for our emissions. While the accuracy of our data is very good, it came with a lot of time to set up and track data in retrospect. We use EPDs and SIC codes for our supply chain screening, calculate mileage, weights and using lorry reg plates for accurate haulage impact and work with landlords to make improvements to property, and more. By the time we got to reviewing offsetting for Year 10 we were nearly starting Year 12. 

With Carbon Footprint, we're committed to:

• understand plans and actions for reduced emissions and renewables with our freight carriers, material manufacturers and packaging supply companies
• incentivise clients to select sea or road freight over air freight shipments, incorporating investment in sustainability projects with carbon intensity charges
• encourage cycle-to-work with CycleScheme and transitioning employees to do more remote/hybrid working where possible
• offering free charging of EV at work
• maintaining transparency by publishing our footprint on our website and the CaDI database
• use our existing data as a base year to benchmark against
• set targets based on per employee and/or per £M turnover, to account for business growth, and
• reviewing targets and purchasing regularly, amending accordingly (i.e. increasing targets if they are met ahead of schedule)