SEP’s carbon removal strategy
Measuring our carbon footprint
We are committed to reducing our climate impact and identifying opportunities for emission reductions. We partnered with a carbon accounting platform to perform our annual carbon footprint measurement and asses our Scope 1, 2 and operational Scope 3 greenhouse gas emissions. In 2023,our total carbon footprint was 303 tCO2e, the equivalent of 176 round trip flights from London to New York. This is an increase of 33% versus 2021/22,however, this is not deemed a true comparator as this period was significantly impacted by lockdowns and travel bans resulting from the covid-19 pandemic.
As in prior years, SEP has no Scope 1 emissions. Scope 2 emissions rose to 17 tCO2e reflecting a return to usual patterns of office attendance and energy usage. While SEP’s London office uses renewable energy, we were unable to source renewable energy for our Glasgow office until smart meters had been installed. This took place in 2024 and switching to renewable energy will be a priority when we renew our energy contract.
Business travel remained the largest contributor to our carbon footprint (22%). Last year we updated our travel policy to discourage nonessential travel and prioritise lower carbon options where possible. While virtual meetings are encouraged, we believe that some level of business travel will remain necessary to provide hands-on support and build strong relationships with our portfolio companies, which are located across Europe.
In 2022 we relocated our London office to a more modern and efficient space. Although this is expected to lower emissions in the long run, this has driven several one-off emissions relating to the office design, fit and relocation. We are currently re-calculating our emissions for the year to March 2023 to align our carbon reporting with our updated financial year end. This should provide a clean data set against which we can set emission reduction targets and begin the process of net zero planning.
Carbon management strategy
Our aim is to formalise our carbon management strategy within the next 12 months, establishing targets and aligning ourselves with the Paris Agreement’s objective of limiting global warning to 1.5˚C.
Whilst we work towards an emissions reduction plan, we also recognise the need to compensate for our emissions today and invest in the future of our planet. For a long time, carbon offsetting has been used to demonstrate this commitment. However, traditional offsetting has led to the commoditisation of carbon credits, with companies often prioritising cheap offsets that have limited impact.
Matthew Sumner, ESG and Sustainability Lead at SEP, said:
“In 2024 we took the decision to move away from traditional offsetting and instead take a more impact-led approach. We now focus on funding high-impact carbon removal projects, enabling them to scale production and accelerate their vital work.”
This strategic shift aligns with our core values and approach to investment, scaling the next generation of technological innovation.
By applying scientific metrics like the social cost of carbon and sector-specific benchmarks, we have established a high-integrity contribution budget that covers our scope 1, scope 2, and business travel emissions. This approach maximises our impact and positions us alongside industry leaders, investing capital in innovative & durable carbon removal technologies including direct air capture, enhanced weathering and biochar.
“SEP is setting the bar for excellence when it comes to supporting durable carbon removals solutions as part of a corporate climate strategy. Their contribution approach has put them among the top 5% of their peers in terms of price per tonnes, which has enabled them to support some of the most innovative projects on the market.” Joe Cruttwell, Europe GM, Patch
Read more about our sustainable approach to investing here.
SEP’s carbon removal strategy
Measuring our carbon footprint
We are committed to reducing our climate impact and identifying opportunities for emission reductions. We partnered with a carbon accounting platform to perform our annual carbon footprint measurement and asses our Scope 1, 2 and operational Scope 3 greenhouse gas emissions. In 2023,our total carbon footprint was 303 tCO2e, the equivalent of 176 round trip flights from London to New York. This is an increase of 33% versus 2021/22,however, this is not deemed a true comparator as this period was significantly impacted by lockdowns and travel bans resulting from the covid-19 pandemic.
As in prior years, SEP has no Scope 1 emissions. Scope 2 emissions rose to 17 tCO2e reflecting a return to usual patterns of office attendance and energy usage. While SEP’s London office uses renewable energy, we were unable to source renewable energy for our Glasgow office until smart meters had been installed. This took place in 2024 and switching to renewable energy will be a priority when we renew our energy contract.
Business travel remained the largest contributor to our carbon footprint (22%). Last year we updated our travel policy to discourage nonessential travel and prioritise lower carbon options where possible. While virtual meetings are encouraged, we believe that some level of business travel will remain necessary to provide hands-on support and build strong relationships with our portfolio companies, which are located across Europe.
In 2022 we relocated our London office to a more modern and efficient space. Although this is expected to lower emissions in the long run, this has driven several one-off emissions relating to the office design, fit and relocation. We are currently re-calculating our emissions for the year to March 2023 to align our carbon reporting with our updated financial year end. This should provide a clean data set against which we can set emission reduction targets and begin the process of net zero planning.
Carbon management strategy
Our aim is to formalise our carbon management strategy within the next 12 months, establishing targets and aligning ourselves with the Paris Agreement’s objective of limiting global warning to 1.5˚C.
Whilst we work towards an emissions reduction plan, we also recognise the need to compensate for our emissions today and invest in the future of our planet. For a long time, carbon offsetting has been used to demonstrate this commitment. However, traditional offsetting has led to the commoditisation of carbon credits, with companies often prioritising cheap offsets that have limited impact.
Matthew Sumner, ESG and Sustainability Lead at SEP, said:
“In 2024 we took the decision to move away from traditional offsetting and instead take a more impact-led approach. We now focus on funding high-impact carbon removal projects, enabling them to scale production and accelerate their vital work.”
This strategic shift aligns with our core values and approach to investment, scaling the next generation of technological innovation.
By applying scientific metrics like the social cost of carbon and sector-specific benchmarks, we have established a high-integrity contribution budget that covers our scope 1, scope 2, and business travel emissions. This approach maximises our impact and positions us alongside industry leaders, investing capital in innovative & durable carbon removal technologies including direct air capture, enhanced weathering and biochar.
“SEP is setting the bar for excellence when it comes to supporting durable carbon removals solutions as part of a corporate climate strategy. Their contribution approach has put them among the top 5% of their peers in terms of price per tonnes, which has enabled them to support some of the most innovative projects on the market.” Joe Cruttwell, Europe GM, Patch
Read more about our sustainable approach to investing here.
