Governance
Financial Statements
Additional Information
Strategic Report
Measuring and reducing operational carbon Over the year, we have been introducing energy efficiency measures across the portfolio to help reduce occupier energy consumption, including: / Improving energy efficiency during refurbishment works, in line with our updated refurbishment guidelines / Continuing to decarbonise assets through removal of gas fuelled systems / Continuing to install on-site renewables / Increasing our use of an environmental data management system to include Scope 3 and monitoring of emissions at a more granular level / Engaging with occupiers to encourage sharing of data, enhancing our ability to measure and manage emissions
Maximising off-site renewable procurement Within our portfolio, currently 100% of landlord procured electricity is REGO backed (Renewable Energy Guarantees of Origin). When our electricity contracts expire, we will seek to procure high quality renewables in line with the UKGBC guidance on renewable energy procurement. We seek to follow three main criteria on renewable energy procurement. It must be from renewable non- fossil fuel energy sources; create additional capacity in the grid; and have exclusive ownership and claims of the energy attributes.
/ Continuing to include green lease clauses within our leases, with 57 completed this year Maximising renewable opportunities
To reduce the carbon footprint of our operational emissions, we are focusing on increasing our on-site renewable energy opportunities across our assets. This year, we have installed five schemes and undertaken a further five renewable energy feasibility studies to identify asset-specific opportunities across the portfolio.
2022
2023
2024
2025
...
2040+
Conduct whole life carbon assessments for all major refurbishments and fit-outs
Implement software to track embodied carbon from ‘in use’ standing assets
Embodied Carbon
Begin to quantify emissions related to procurement of goods and services to inform targets and related actions
Apply refurbishment guidelines to all new developments, refurbishments and fit-outs
Integrate findings of net zero audits into longer-term asset plans
Identify high quality renewable energy procurement options
Undertake net zero audits across the portfolio and establish asset specific carbon reduction plans
Operational Carbon
Identify priority assets
Conduct renewable feasibility studies for assets to estimate renewable power generation potential
Implement on-site renewables, prioritising most cost-effective sites
Identify a cost-effective solution for monitoring the energy consumption of occupiers
Liaise with key occupiers to understand their energy reduction plans and to investigate joint initiatives
Occupier Engagement
Integrate energy and carbon clauses into new and renewed leases, including access to energy data where energy procured directly by occupiers
Create a detailed occupier engagement plan
Install sub-metering for all energy recharging to understand occupier usage
Develop a carbon offsetting strategy
Consider internal carbon price and transition fund
Offset residual carbon resulting from all operations
Embed net zero criteria into pre-acquisition due diligence process
Net Zero Governance
Annually assess progress towards net zero commitment, including exploring additional actions towards net zero
Develop a data and target monitoring process
Future initiatives
Underway/Completed
Picton Property Income Limited / Annual Report 2024
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