Sustainable Business

Incorporating sustainability into our everyday operations is key to ensure successful, long-term delivery outcomes and we have a responsibility to leave a positive impact on our environment.

We recognise the impact of CO2 and other greenhouse gases on our environment and we are committing to reducing the impact associated with our own energy usage. We will continue to enhance the use of technology to reduce our current footprint. We are also addressing water and waste management activities and are working with our supply chains to promote sustainable delivery.

We use innovative solutions to reduce our energy needs, while focusing on cleaner energy and other natural resources.

Our Group-wide Energy and Environmental policies and strategies set out the direction and ambition of the organisation for environmental matters. Our sectors and business units have policies, strategies and implementation plans which are specific to their operations and impacts. Our approach ensures that sustainable considerations and practices are embedded throughout the organisation.


Low carbon energy

We purchase electricity for our UK operations from renewable energy sources and aligned with our flexible purchasing strategy; this ensures cost effectiveness, reduces our carbon emissions and supports the shift to a low carbon economy.

Across our estate and operations we are working to investigate opportunities for alternative energy sources, low carbon technology and renewable energy installations. For example Babcock Power has trialled solar pods to power its temporary accommodation at remote sites generators. The solution has resulted in a 43% reduction in fossil fuel consumption and a reduction in carbon emissions.

We take our responsibility for managing the impact of our operations and those of our supply chain on the environment seriously.

We have worked hard to develop and enhance our previous environmental, energy and carbon strategies and we are working to establish more ambitious targets, with detailed roadmaps, implementation plans and initiatives. We continue to manage our environmental impacts through ISO14001 accredited Environmental Management Systems (EMS) which cover over 75% of our global operations.


Material and resource efficiency is a core principal which we seek to embed across our operations. Where feasible we adopt circular economy principles throughout planning, design and delivery phases to maximise opportunities for end of life reuse.

Across our operations we are investigating a range of waste management initiatives with key aims of minimising waste to landfill and limiting the use of ‘single use plastics’.

Water consumption

Our local environmental teams are working to identify opportunities to reduce our water consumptions and we are assessing opportunities to incorporate water reduction technologies within our new developments, such as rainwater harvesting, leak detection and flow restriction.

Bio diversity and ecological impact

Maintaining and enhancing the natural capital and ecosystems within which we operate is our priority and we strive to adopt a net gain approach where possible. Our commitment to the environment is delivered by our network of experienced environmental professionals and dedicated local sustainability groups in collaboration with our customers, value chain and wider stakeholders.

Climate change

Plan Zero 40 is our strategy to lead the low carbon transition with extensive decarbonisation programmes planned across our estate, assets and operations. We have committed to setting ambitious science-based targets in line with a 1.5°C limit to global warming and commit to delivering Net Zero by 2040.

You can see more about our strategy here.

Task Force for Climate-related Financial Disclosure

We have started to report in line with the TCFD requirements and have agreed our journey towards full disclosure.

In FY22, we will be incorporating TCFD risk management and scenario planning into our 2021 strategic planning cycle and working towards full TCFD disclosure requirements.

Task Force for Climate-related Financial Disclosure


Our Group-wide Procurement Environmental Sustainable policy ensures that environmental aspects are taken into account as part of supplier procurement and purchasing activities.


Estimated reduction on tCO2e emissions across the group from last year*


Babcock have held the Carbon Trust Standard since this year


Business areas operating under ISO 14001

*In line with the requirements of the Science Based Targets initiative we have reset the baseline as FY2020. Please see the table to see the detail and underlying assumptions and exclusions.