National Grid and Hitachi Energy
Climate Impact & Sustainability Data (2020, 2021)
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Environment
- Communities
- People
- Economy
- Governance
Environmental Achievements
- Reduced direct (Scope 1 and 2) emissions by 70% since 1990 (as at March 2020)
Social Achievements
- Supporting communities through corporate giving programs and employee volunteering
- Repeatedly acknowledged as the number one utility for energy efficiency in the US
Governance Achievements
- Awarded the Carbon Disclosure Project A list for the fourth year running in 2019 for reporting and mitigating the impact of climate change.
Climate Goals & Targets
Long-term Goals:
- Achieve net zero by 2050 (from a 1990 baseline)
- Reduce Scope 1 and 2 GHG emissions to net zero by 2050 (from a 1990 baseline)
- Eliminate all SF6 gas from assets by 2050
- Further reduce Scope 3 emissions from selling gas to customers beyond 2030
Medium-term Goals:
- Reduce Scope 1 and 2 GHG emissions by 80% by 2030 (from a 1990 baseline)
- Reduce Scope 3 GHG emissions (electricity and gas sold to customers) by 20% by 2030 (from a 2016 baseline)
- Achieve 50% diversity in Senior Leadership group by 2025
- Achieve 50% diversity in all new talent programs by 2025
- Provide unconscious bias training to all people
Short-term Goals:
- Reduce SF6 emissions from operations by 50% by 2030 (from a 2019 baseline)
- Move to a 100% electric fleet by 2030 for light-duty vehicles
- Reduce energy consumption in offices by 20% by 2030 (from a 2019 baseline)
- Reduce business air travel emissions by at least 50% from a 2019 baseline
- Achieve net zero emissions from Scope 3 construction activities in the UK by 2026
Environmental Challenges
- Decarbonization of heat
- Reducing Scope 3 emissions from selling gas to customers
- Eliminating all SF6 gas from assets by 2050 (technology not yet available)
- Understanding and targeting construction carbon intensity in the US
Mitigation Strategies
- Working with customers and regulators to enable a range of potential solutions, including heat pumps, and renewable natural gas and hydrogen in networks
- Working to achieve net zero in each part of the business as fast as possible; seeking offsetting options that deliver multiple benefits
- Working with partners to identify, develop and implement SF6-free solutions
- Aiming to develop a target for reduction of construction carbon intensity by 2022
Supply Chain Management
Responsible Procurement
- Paying suppliers promptly
- Requiring UK suppliers to pay the real living wage
- Engaging with supply chain to set carbon reduction targets
- Promoting equal opportunities among suppliers
- Encouraging suppliers to sign up to industry standards (e.g., FIR commitment)
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
Transition Risks
- Regulatory changes
- Market shifts
Opportunities
- Development of energy-efficient products
- Growth of renewables business
Reporting Standards
Frameworks Used: Science Based Targets initiative (SBTi), Task Force on Climate-related Financial Disclosures (TCFD), United Nations Sustainable Development Goals (SDGs)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed
ESG Focus Areas
- Climate Change
- Environmental Sustainability
- Transportation Decarbonization
Environmental Achievements
- Partnered on a study to understand the long-term impacts of fleet electrification on the power grid and to support progressive vehicle electrification policies.
Social Achievements
- Fleet electrification will be an important component of a just transition to a greener economy, providing equitable access to clean public transportation, particularly in disadvantaged and Environmental Justice Communities (EJCs).
Governance Achievements
- Not disclosed
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Not disclosed
Environmental Challenges
- Large-scale fleet electrification could have substantial impacts at the feeder and substation levels, especially where large, heavy-duty fleets are clustered.
- The simultaneous electrification of MHDVs and light-duty vehicles has the potential to magnify the impacts of vehicle electrification.
Mitigation Strategies
- Managed charging can reduce the magnitude and duration of peak loads associated with fleet charging.
- Utilities should seek to work with customers to manage charging impacts across all fleets in a given area to reduce impact on specific feeders.
- Solutions should consider an end-to-end analytical approach: transmission, distribution, and distributed energy resources (DERs), in addition to charging programs.
- Fleet electrification needs should be considered in tandem with other needs (e.g., asset condition) to increase efficiency and reduce costs.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: Null
Certifications: Null
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Not disclosed