Commitment to achieving Net Zero

Hitachi Solutions Europe 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 and were produced prior to the introduction of any strategies to reduce emissions. Baseline emissions are the reference point against which emissions reduction can be measured.

Baseline Year: Year Ending 31st March 2023 (FY22)
Additional Details relating to the Baseline Emissions calculations.
In line with GHG protocol guidance we have updated our baseline to fit the recently updated methodology for our footprint calculation so that all relevant scopes can now be compared

 

Baseline Year Emissions:
EMISSIONS TOTAL (tCO2e)
Scope 1 58.6
Scope 2 91.4
Scope 3
(Scopes 3.4, 3.5, 3.6, 3.7 & 3.9)
1,063.7
Scope 3.4 (Upstream transportation and distribution) 1.8
Scope 3.5 (Waste generated in operations) 0.5
Scope 3.6 (Business travel) 843.1
Scope 3.7 (Employee commuting inc. employee teleworking) 218.3
Scope 3.9 (Downstream transportation and distribution)*  0.0
Total Emissions 1,213.7

* Hitachi Solutions does not produce emissions under scope 3.9

 

Current Emissions Reporting (year ending 31st March 2026 – FY25)

EMISSIONS TOTAL (tCO2e)
Scope 1 32.4
Scope 2 79.1
Scope 3
(Scopes 3.4, 3.5, 3.6, 3.7 & 3.9)
507.9
Scope 3.4 (Upstream transportation and distribution) 1.2
Scope 3.5 (Waste generated in operations) 0.1
Scope 3.6 (Business travel) 335.3
Scope 3.7 (Employee commuting inc. employee teleworking) 171.3
Scope 3.9 (Downstream transportation and distribution)*   –
Total Emissions 619.4

* Hitachi Solutions does not produce emissions under scope 3.9

In accordance with the PPN 006 Technical Standard, the Carbon Reduction Plan reports the required subset of Scope 3 emissions categories specified for procurement purposes. Additional Scope 3 categories are reported separately through the organisation’s wider GHG inventory and ESG reporting arrangements where applicable.

Please note:

Hitachi Solutions Europe Ltd does not produce emissions relating to scope 3.9 (downstream transportation and distribution). As a professional services organisation, we do not create physical product that requires transportation.

This carbon footprint has been calculated with support from a specialist third party advisor and this year Hitachi Solutions made significant improvements to the data collection methodology for scopes 3.6 and 3.7.  For business travel, this includes more accurate recording of start point and travel destination and the number of nights/guests for hotel stays.  For 3.7 the work location recording has been improved to provide a much more reliable “working from home” data point in the analysis.  This methodology cannot be used retrospectively on previous footprint calculations and therefore this narrative is included to explain the significant decrease in the values for GHG scopes 3.6 and 3.7.

The figures for FY25 are the fourth year where analysis from a new and improved methodology have been applied to our carbon footprint and are an enhancement on previous figures published.

To continue to track our emissions performance accurately and ensure transparency, we will amend our carbon reduction plan as our capability and sophistication of analysis improves.

 

The figures above project  57.8 tCO2e in FY2030 which is a 61% reduction in scope 1 and 2 emissions. This is more than the 42% reduction required by SBTi and will also exceed Hitachi Group’s targets of 50%.  This year FY25 represents a 45% reduction compared to the baseline for Scope 1 emissions and a 13% reduction in Scope 2 emissions.  This is ahead of the projections made last year and is largely down to improvements made in our London offices.

Hitachi Group emissions reduction targets

Hitachi Group joined the UN Race to Zero campaign on 25 February 2021 through Business Ambition for 1.5°C, committing to align its business with the Paris Agreement aim of limiting global temperature rise to 1.5°C above pre-industrial levels.

Hitachi Group has since updated its environmental vision and long-term targets under Hitachi Environmental Innovation 2050. The updated framework is built around three strategic pillars: Decarbonisation, Circular Economy, and Nature Positive outcomes. Hitachi aims to achieve carbon neutrality at its business sites, meaning factories and offices, by FY2030 and to reach net-zero greenhouse gas emissions across the value chain by FY2050.

Hitachi’s FY2050 greenhouse gas emissions reduction targets have been validated by the Science Based Targets initiative as aligned with the Paris Agreement’s 1.5°C goal. Its near-term targets include reducing absolute Scope 1 and Scope 2 GHG emissions by 83% by FY2030 from a FY2019 base year and reducing Scope 3 GHG emissions from purchased goods and services and use of sold products by 52% per billion JPY value added by FY2030 from a FY2022 base year.

Hitachi Solutions Europe, as part of Hitachi Group, supports these Group ambitions through its own environmental management, carbon reduction planning, and continuous improvement activities. Hitachi Solutions Europe is committed to achieving Net Zero emissions by 2050 and has developed its carbon reduction programme with support from a specialist third-party advisor.

In FY25, Hitachi Solutions Europe reported Scope 1 emissions of 32.4 tCO₂e and Scope 2 emissions of 79.1 tCO₂e. Compared with FY24, this represents an approximate 10% reduction in Scope 1 emissions and an approximate 9.8% reduction in Scope 2 emissions.

As part of its continuous improvement programme, Hitachi Solutions Europe has improved the accuracy of its Scope 3 data collection, particularly for Scope 3.6 business travel and Scope 3.7 employee commuting and homeworking. Improvements include better recording of travel start points and destinations, hotel stay details, and working location data, supporting more reliable and transparent emissions analysis.

Hitachi Solutions Europe continues to track emissions performance using carbon intensity measures, including CO₂e per hour worked. Current internal analysis shows lower FY25 intensity than FY22 for Scope 1, Scope 2, and Scope 3.6 business travel.

 

Figure 2: Carbon intensity for comparing for the financial years FY22 to FY25

We will continue to seek efficiencies where it is possible to do so and in line with our carbon reduction plan can reasonably expect to see a continued reduction in the GHG emissions per activity measure going forward.

Hitachi Solutions Europe Ltd became ISO 14001 certified in 2022 and we are maintaining this certification.  We expect continued Environment Management System (EMS) improvements to be evidenced to the appropriate standard internally & externally against the backdrop of an expanding business penetrating new national & international markets.

 

Carbon Reduction Projects

Completed Carbon Reduction Initiatives

The following environmental management measures and projects have been completed or implemented since the 2022 baseline.

  • Hitachi Solutions already operates from energy efficient offices (Passive InfraRed (PIR) controlled lighting is already in use), using energy efficient IT infrastructure & is fully committed to a reduce / reuse / recycle approach.
  • Hitachi Solutions Europe Ltd does not operate a company car/vehicle fleet in the UK.
  • Hitachi Solutions Europe Ltd has a policy to reduce company travel, where appropriate.  Where travel is required, the use of public transport is encouraged where it is safe to do so.
  • Employees have the option to “work from home” where appropriate limiting scope 3.6 business travel emissions.
  • Clients have options to have remote delivery for all / part of the projects and we will continue to promote these methods of delivery, where appropriate.
  • Hitachi Solutions actively engages with our customers to support carbon reduction initiatives as appropriate & will continue to do so in the future.
  • Hitachi Solutions Europe Ltd will continue to engage with Hitachi Group carbon reduction initiatives as required by Hitachi Group.
  • Hitachi Solutions Europe Ltd became ISO 14001 certified in 2022 & seeks to maintain this certification going forward.

New and on-going carbon reduction initiatives

  • We continue to work with our environmental project partners to invest in projects that remove carbon from the atmosphere. These projects are selected following a process of appropriate due diligence involving oversight from an independent third party.
  • We endeavour to select externally validated “removal projects” as opposed to those focused on carbon avoidance.
  • We aim to deliver “low carbon projects” by ensuring a strong focus on minimising emissions and delivering carbon efficient solutions. We will work with our environmental partners to offset residual emissions with carbon removal solutions.
  • Carbon removals will only be applied to residual emissions that cannot reasonably be eliminated through operational or value chain decarbonisation activities.

 

  • Over 200 of our consultants have undergone training and certification on the “Principles of Sustainable Software Delivery from the Green Software Foundation. This and other sustainability awareness training has been rolled out to all employees as part of the mandatory compliance curriculum.
  • We are updating our sustainable solution design guidance to ensure that the “well architected framework” is implemented in our green design approach.
  • Our volunteering programme is being promoted to employees to encourage participation in volunteering projects for environmental causes.

Governance and Accountability

Delivery of this Carbon Reduction Plan is overseen by the Environmental Sustainability steering Group and sponsored by executive leadership.  Progress against carbon reduction objectives is reviewed at least annually and incorporated into wider ESG governance and reporting arrangements.   The Carbon Reduction Plan will be updated annually in accordance with PPN 006 requirements.

 

Declaration and Sign Off

This Carbon Reduction Plan has been completed in accordance with PPN 06/21, PPN 006 and associated guidance and reporting standard 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 [1] and uses the appropriate Government emission conversion factors for greenhouse gas company reporting [2].

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 [3].

This Carbon Reduction Plan has been reviewed and signed off by the board of directors (or equivalent management body).

[1] https://ghgprotocol.org/corporate-standard

[2] https://www.gov.uk/government/collections/government-conversion-factors-for-company-reporting

[3] https://ghgprotocol.org/standards/scope-3-standard

SIGNED ON BEHALF OF THE SUPPLIER:

Jonathan Scott, Vice President, Commercial Assurance
Date: 12.08.26