PwC Japan Group sets supplier procurement criteria on decarbonisation to achieve net zero 2030 commitment
Supporting our clients’ efforts to set science based targets and strengthen their decarbonisation initiatives
PwC Japan Group
29 September 2022
Tokyo, Japan, 29 September 2022 - The PwC Japan Group (chair: Koichiro Kimura; hereinafter ‘PwC Japan’) has established proprietary supplier procurement criteria to contribute to the reduction of greenhouse gas (GHG) emissions, based on the PwC global network’s commitment to reach net zero GHG emissions by 2030.*1
With this, we will support our suppliers in their decarbonisation efforts and contribute to the achievement of a decarbonised society.
*1 For details, see ‘PwC’s climate targets validated by SBTi’.
PwC's net zero target-based commitments include the most stringent criteria of the Science Based Target initiative (SBTi), which are aligned with the ‘1.5°C Pathway’ presented by the International Energy Agency (IEA) in its 2021 report, and Scope 3 emission reduction targets. Our commitment involves the four key areas of operations, clients, suppliers and climate agenda, and these newly developed procurement criteria are based on our commitments in the area of suppliers.
About the procurement criteria
PwC Japan’s supplier procurement criteria, which are based on our net zero targets, consist of the following four items and are scheduled to take effect in 2023.
- Net zero targets
- Supplier selection criteria
- Supplier management criteria
- Support measures
＜Net zero targets＞
By 2030, PwC Japan has pledged to reduce our emissions in line with the ‘1.5°C Pathway’, including a 50% reduction in Scope 1 and 2 emissions and a 50% absolute reduction in emissions from business-related air travel business compared to a 2019 base. We will also continue to offset our emissions through high-quality carbon credits, bringing our GHG emissions to net zero by 2030.
We are also working to encourage suppliers who provide 50% of our purchased good and services (by emission volume) to acquire SBT*2 validation by 2025, thereby further reducing our climate impact.
*2 SBT: Science-based target; a science-based GHG emission reduction target
＜Supplier selection criteria＞
In doing business, we will prioritise companies that have acquired SBT validation and are committed to decarbonisation. Therefore, companies with whom our transactions are expected to exceed a certain amount will be asked to complete a questionnaire on their decarbonisation efforts, and suppliers will be selected based on whether or not they have obtained SBT validation and their commitment to decarbonisation.
＜Supplier management criteria＞
To encourage our suppliers to acquire SBT validation and engage in decarbonisation efforts, we will annually monitor the status of individual suppliers with high CO2 emissions, and provide appropriate guidance and support depending on the status of their efforts.
＜Support measures＞
Through the distribution of newsletters, we will support our suppliers’ efforts to acquire SBT validation and engage in decarbonisation initiatives by providing knowledge on how to acquire SBT validation, the latest trends in decarbonisation and case studies of leading companies.
Through these efforts, PwC Japan has pledged to work with our suppliers to accelerate change towards sustainability that enables both decarbonisation and business growth.
For more information on PwC’s commitment to achieving net zero, please click here.
About PwC
At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 152 countries with nearly 328,000 people who are committed to delivering quality in assurance, advisory and tax services. For details, see www.pwc.com.
About the PwC Japan Group
The PwC Japan Group is a collective name for the member firms of the PwC global network in Japan and their affiliates. Each firm within the PwC Japan Group conducts its business as a separate, independent business entity.
In response to our clients’ increasingly complex and diverse corporate management issues, the PwC Japan Group has put in place a system that consolidates our knowledge in the fields of auditing and assurance, consulting, deal advisory, tax and legal services, and encourages organic collaboration among our professionals in each field. As a professional services network with approximately 10,200 certified public accountants, tax accountants, lawyers and other professional staff, we strive to provide services that more accurately address our clients’ needs.
