2023 IPC Sustainability Results Compilation With Annexes

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POSTAL

SECTOR
SUSTAINABILITY
RESULTS
Pdf compilation of online report

SUSTAINABILITY
November 29, 2023
Classification: Public
www.ipc.be © 2023
Contents

Introduction ....................................................................................................................................................... 2
SMMS ................................................................................................................................................................................................2
2030 Targets ......................................................................................................................................................................................2

Methodology ...................................................................................................................................................... 3
Results Summary .............................................................................................................................................. 5
SMP Overall Results ..........................................................................................................................................................................7

Introduction ....................................................................................................................................................... 8
Results .............................................................................................................................................................. 8

Introduction ..................................................................................................................................................... 10
Results ............................................................................................................................................................ 11

Introduction ..................................................................................................................................................... 12
Results ............................................................................................................................................................ 13
Renewable electricity ....................................................................................................................................................................... 14
Alternative fuel vehicles .................................................................................................................................................................... 15

Introduction ..................................................................................................................................................... 17
Results ............................................................................................................................................................ 18
Scope 1 and 2 emissions ................................................................................................................................................................. 19
Delivery Efficiency ............................................................................................................................................................................ 20

Introduction ..................................................................................................................................................... 22
Results ............................................................................................................................................................ 23

Introduction ..................................................................................................................................................... 24
Results ............................................................................................................................................................ 25

Introduction ..................................................................................................................................................... 27
Results ............................................................................................................................................................ 28

Methodology and Definitions .............................................................................................................................................30


Other indicator definitions .................................................................................................................................................32
Exclusions and Estimations ..............................................................................................................................................33
Restatement Details..........................................................................................................................................................35
Allocation Methodologies for Letter Mail and Parcel Emissions ........................................................................................37
IPC’s Sustainability Performance ......................................................................................................................................40
Through the SMMS programme IPC is working to systematically improve the sustainability of the
postal sector. We believe that through knowledge-sharing and positive action, the entire postal
industry will improve the social, economic and environmental wellbeing of the global community.

The IPC Sustainability Measurement and Management System (SMMS) was launched in 2019 to address the
sustainability objectives of the postal sector for the next ten years, aligned with the UN Sustainable
Development Goals (SDGs). The programme focusses on reducing carbon emissions and measures
performance in the seven sustainability focus areas most relevant for the postal sector:

● Health and safety

● Learning and development

● Resource efficiency

● Climate change

● Air quality
● Circular economy

● Sustainable procurement
On this page, you will find a summary of the methodology and results for SMMS 2023 (reporting on
performance in 2022). Within each of the seven ‘Focus Area’ pages (linked above) we have explained in
further detail how the group is performing on these issues and how progress is measured.

SMMS
The aim of the SMMS is to continually measure the performance of the participants on an annual basis. As well
as giving recommendations based on their position amongst the group and their adherence with the seven
focus areas. The seven sustainability focus areas were decided upon following a two-year process involving
research, consultation with internal and external stakeholders and multiple iterations. They are aligned with the
following UN SDGs, identified by our stakeholders and SMMS participants as most relevant to the postal
sector:
SDG 8 - Decent work and economic growth
SDG 9 - Industry, innovation and infrastructure
SDG 11 - Sustainable cities and communities
SDG 12 - Responsible consumption and production
SDG 13 - Climate action
As such, the SMMS programme is designed to increase the postal sector’s contribution to global sustainable
development, focusing on the areas in which it can have the most impact.

2030 Targets
The following 2030 sustainability targets were approved by the IPC board in 2020, following consultation of all
participating postal organisations:
● Scope 1 and 2 emissions reduction of 50% from the 2019 baseline of 6,014,000 tonnes 1

● Energy use in own buildings from renewable sources of 75%,


● Vehicle fleet comprising at least 50% alternative fuel vehicles, with at least 25% of the total fleet to be
electric vehicles,

● 50% sustainable packaging,

● 75% diversion of waste from landfill to either recycling or reuse.


In 2014 we set a Science Based Target (SBT) to achieve a 20% decrease in Scope 1, 2 and 3 (outsourced
transport) emissions per letter/parcel by 2025. As of 2023 posts are still working towards this target. We are
currently revisiting the SBT process to ensure that the group is aligned with the very latest climate science
around meeting the Paris Agreement’s objectives of holding warming well below 2°C and striving for 1.5°C.
For reporting year 2022, we welcomed Pos Malaysia and Omniva to the SMMS programme, to bring the total
of participating posts to 23: An Post, Austrian Post, Australian Postal Corp, bpost, Correos, Croatian Post, CTT
Portugal Post, Deutsche Post DHL Group, Le Groupe La Poste, New Zealand Post Group, Omniva, POST
Luxembourg, Pos Malaysia, Poste Italiane, Posten Norge, Posti, PostNL, PostNord Denmark, PostNord
Sweden, Royal Mail Group Ltd, South African Post Office, Swiss Post, United States Postal Service. Please
see the Annex for further information on participation.

Reporting is undertaken annually on the preceding year’s results (i.e. the results published in 2023 are for
performance in the 2022 calendar year). Each of the 23 participating posts is assessed through qualitative and
quantitative elements:
Sustainability Management Proficiency (SMP) is measured qualitatively through a 150+ question survey.
Overall SMP scores and Focus Area scores are given in percentages. We assess the following four core
management pillars for each of the seven Focus Areas:

● Strategy & Policy: Effective sustainability strategies set clear goals and objectives, and a vision for
the future. We encourage posts to develop tools that specifically address all of the issues identified as
relevant for the postal sector, and so we assess this pillar for each Focus Area.

● Embedding: This pillar assesses the methods by which posts embed their strategies and policies on
the sustainability issues within their organisations. Posts are asked questions on topics such as
management systems, certifications, employee engagement, and external initiatives.

● Measurement & Evaluation: Data collection and verification is a central element of the SMMS
programme. Posts are encouraged to develop data collection and coverage, to develop KPIs and use
these in management decision making processes, to drive progress across the Focus Areas.
● Disclosure & Reporting: An increasingly important area of corporate sustainability, public disclosure
is how the postal sector communicates its progress and demonstrates transparency to stakeholders.
We encourage posts to report against as many indicators as possible, via a range of public platforms
and to provide details of methodologies, in line with reporting best practice, such as GRI guidelines.
In the SMP, year-on-year restatements are not backdated into previous year’s submissions. Each year, the
group’s overall score is calculated as an average of all participants’ submissions. We also presume that new
participants would have made progress on the seven focus areas outside the SMMS programme. Therefore,
the influence of new posts joining the programme is judged to have no material impact on the group score in
previous years.

1The baseline was restated in 2023 to reflect Pos Malaysia and Omniva joining the SMMS programme, thereby allowing
year-on-year trends to be directly comparable.
In the Sustainability Performance Indicators (SPI) Tool, participants submit data on topics such as electricity
use, carbon emissions, destination of waste, and vehicle types. The posts submit data for all Focus Areas,
apart from Sustainable Procurement, which is only assessed qualitatively. The data is then evaluated through
multiple rounds of plausibility checks and supplementary evidence is reviewed, to ensure high levels of
consistency. In addition, we ensure our data is accurate and credible through a third-party review from our
external accountant, PwC, providing us with limited assurance on the set of SPI data outlined in the Results
Summary table below.
The following tables contain group level results. With Pos Malaysia and Omniva joining the SMMS programme
for reporting year 2022, data from 2013 to 2021 has been restated and thus may not be comparable to
previous years’ Sustainability Reports. (Table subject to PwC limited assurance assignment). Please see
Annex 'Restatement', for more details."
SMP Overall Results*

*2021 and 2020 figures do not include Omniva and Pos Malaysia, which joined the SMMS programme for reporting year
2022
Health and Safety (H&S) refers to policies and procedures that protect employees and ensure safe working
conditions. H&S has been a core Focus Area of the SMMS since 2019. Through measuring posts’
performance, IPC is actively contributing to the aims of UN SDG 8 – ‘Promote sustained, inclusive and
sustainable economic growth, full and productive employment and decent work for all.’ Within the broader aims
of UN SDG 8.
For participants, particular areas of focus include manual handling/loading; road and vehicle safety; slips, trips
and falls; mental health and stress; and forklift safety. These are addressed through mechanisms such as
safety awareness training; promotion of health topics; grievance reporting systems and joint management-
worker H&S committees.
Emerging trends
Employee safety and wellbeing has always been a top priority for the postal sector, given the nature of our
work. The growth of e-commerce, safety technology developments, and the use of alternative fuel/ automated
vehicles are all emerging trends that have an important bearing on the health and safety of the postal
workforce. As ever the postal sector faces a variety of challenges, but SMMS participants continue to show
resilience and adaptability in a rapidly changing world.
● H&S was one of the best performing focus areas within the 2022 Sustainability Management
Proficiency (SMP) questionnaire, highlighting the importance of this issue to the group.
● Scoring 71.8% collectively, H&S ranked second behind Climate Change, and over five percentage
points ahead of the overall SMP group score of 65.9%. A score of 71.8% reflects that posts have good
H&S management proficiency and that further improvement across the posts will be important in the
upcoming years.

● Participants scored highest in questions related to Measurement & Evaluation and Embedding,
demonstrating their commitment to tracking performance, implementing policy and engaging
stakeholders in this crucial area.
● Compared to 2021, Disclosure and Reporting showed the biggest improvement by increasing 4.4
percentage points. Although it is still the lowest score, IPC encourages posts to continue sharing best
practices and their expert knowledge with other operators in order to drive improvements. This year
showing this to be a successful framework for the group.
Highlights of the group’s performance in 2022 include:

● 22 posts have a strategic focus on mental health and/or stress

● 20 posts have implemented management processes in order to mitigate H&S risks


● All 23 posts have defined responsibility for H&S at a board/executive level

● 22 posts collect data on H&S aspects including: dog attacks, slips, trips/falls, and mental health/stress
Quantitative metrics for H&S are not reported under the SMMS programme, as these are covered by other IPC
reporting initiatives including the IPC Global Monitor.
Learning and development (L&D) refers to policies and procedures that help employees to develop new skills,
maximise productivity and encourage strong relationships between the organisation and its staff. L&D covers a
broad range of activities including recruitment, training, skills development, employee relations, performance
management, benefits/rewards, talent management and core employee policies.
Through measuring performance in this area, IPC is actively contributing to the aims of UN SDG 8 – ‘Promote
sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all.’
In an internal survey of participants conducted by IPC in 2018, the Sustainability Measurement and
Management System (SMMS) group identified job creation and higher levels of economic productivity (SDG
targets 8.2, 8.3, and 8.6) as priorities for the postal sector.
Emerging trends
As a people-led industry, developing our employees is central to our success. Initiatives such as leadership
development, coaching and mentoring schemes, and life-long learning will ensure IPC members continue to
thrive in the future.
The pandemic has not only put our workforce at considerable risk since early 2020, but also limited in-person
training and internal communication due to lockdowns and travel restrictions. Our members have demonstrated
a commitment to their workforces by continuing to prioritise L&D programmes throughout this challenging
environment. See Highlights section for more details.
Training in technical skills will continue to play a prominent role due to the rise in e-commerce – accelerated
even further by COVID-19 – and the digitisation of our industry. Soft skills and management training will also
be a focus, not only to develop the next generation of managers but also to remain competitive in the modern
labour marketplace, a major challenge for the postal sector.
● L&D was one of the top scoring areas in the 2022 SMP questionnaire, ranking third after Climate Change
and Health and Safety. L&D saw another year-on-year improvement with a score increase of 1.3%

● The group collectively scored 71.4%, over five percentage points ahead of the overall SMP group score
of 65.9%. This score reflects the group’s focus on L&D management proficiency and its commitment to
developing its workforce.

● Scores increased across the four management pillars from 2022, with Strategy and Policy showcasing
the biggest improvement of nearly two percentage points.

● Posts scored best in questions related to Embedding, reflecting strong governance, management
systems and delivery processes.

● Quantitative metrics for L&D are not reported under the SMMS. These are covered by the IPC Global
Monitor reporting.

Highlights of the group’s performance in 2022 include:


o 16 posts have a dedicated L&D policy
o 19 participants have identified and assessed risks relating to L&D
o All 23 participants identify target groups of employees by assessing suitability and content of L&D
programmes
o All 23 posts place a strategic focus on leadership development and soft skills training.
IPC encourages posts to continue developing their approaches to L&D, such as implementing internal
qualification programmes, and leveraging social media as a platform for L&D initiatives, in order to drive
continuous improvement.
The sustainable use of resources is a priority for the postal sector in order to reduce our environmental impact.
It was a focus of the original Environmental Monitoring and Management System (EMMS) from 2008 to 2020,
during which participants reduced their aggregated electricity use by more than 19.7 TWh – enough to power
1.8m US homes in 2021.2
Apart from electricity use in buildings, the other key area of impact is fuel use for vehicles. In 2022, the
SMMS group operated a fleet of more than 600,000 vehicles; reducing the negative environmental impact of
the vehicle network is a priority for the sector. In 2019, we introduced water as a third area of focus. We hope
to report on this in the future once data coverage has developed.
Through measuring performance in this area, IPC is actively contributing to the aims of UN SDG 9 – ‘Industry,
innovation and infrastructure.’ In an internal survey by IPC in 2018, SMMS participants identified target 9.4,
‘upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency
and greater adoption of clean and environmentally sound technologies’ as a priority for the postal sector. The
group also identified ‘the sustainable management and efficient use of natural resources’ (target 12.2) as a
priority. IPC encourages posts to recognise opportunities to encourage the efficient use of resources
throughout the value chain.

Emerging trends
The reductions we have made in emissions associated with buildings need to be matched by improvements in
vehicle fleet decarbonisation to meet our targets. Reducing the emissions from transport continues to be a key
focus for posts. Total scope 1 and 2 emissions decreased from 2021 to 2022, but scope 3 emissions from
outsourced transport saw an increase. The former shows great progress is being maintained in the SMMS
programme but there is an acknowledgement that there is still improvements to be made.
There are significant challenges to reducing scope 3 emissions, although there are several reasons to be
hopeful. The global electric vehicle (EV) market has grown since 2021. Indeed, global electric car sales
almost doubled between 2021 and 2020, despite supply chain challenges. Electric cars represented 14% of all
car sales globally in 2022; with the European market growing 15% in 2022. Further promising was the doubling
of EV sales in the US.
The growth in sales may be attributed to a combination of strong policy support and targeted stimuli. Outside of
policy, other factors have also boosted the market. Battery costs continued to fall and commercial fleet
electrification plans continued to be expanded.
Making the investments needed to decarbonise the vehicle fleet, while still meeting our duties to shareholders
and customers will continue to be a challenge, but one we are confident that posts will overcome, especially as
we reflect on the significant improvements they have made since 2008 and the improvement in market trends
observed in 2022.
Decarbonising low carbon long haul transport will be increasingly crucial to reduce the environmental impact
of transport. Technology piloted and refined for the last mile is being gradually reconfigured to meet the
different needs of long-haul operations. High power charging technology is still being developed and
standardised. Battery developments and declining costs have put electric vehicles firmly in the driving seat in
the near term, and hydrogen is on the cusp of realising its potential as a viable alternative. In addition,

2 United States Environmental Protection Agency, 2022, Greenhouse Gas Equivalencies Calculator. Available at
https://www.epa.gov/energy/greenhouse-gas-equivalencies-calculator
implementing electric vehicles for aviation ground operations by working with airports and airlines poses an
opportunity for reducing posts’ carbon footprint in the midterm.
Further opportunities also exist in the energy efficiency space; there are still almost 1.77 million tonnes of
scope 2 emissions produced from buildings annually by the SMMS group. Growing the share of renewable
electricity as costs of these energy sources come down, will also be crucial to meet our 2030 targets and
address the carbon intensity of our operations. Solar Photovoltaic is being adopted as a technology at some
posts and we expect the rate of adoption to increase in the coming years.
The logistics sector is less water intensive than many other industries such as manufacturing and production.
However, water scarcity is set to become one of the most pressing global environmental issues, and the postal
sector should play its part in reducing consumption.

● In the Sustainability Management Proficiency (SMP) questionnaire, posts scored 63.4% in Resource
Efficiency, only two and a half percentage points behind the average overall group SMP score of 65.9%.
The group’s performance in this area ranked fourth, up one place from 2021, out of the seven Focus Areas
for 2022, and increased three percentage points in 2022.

● Posts scored highest in questions related to Embedding and Disclosure & Reporting. Opportunities for
improvement include areas related to Strategy & Policy, such as having a dedicated policy that includes a
commitment to performance improvement and a framework for achieving objectives.

● Nine posts consider water management to be a material issue and were therefore also assessed on
questions related to water management. The remaining posts provided evidence that water management is
not considered to be material to their organisation’s business performance or substantively influence the
assessments and decisions of stakeholders.
Highlights of the group’s performance in 2022 include:
o 20 posts engage at least some customers or suppliers on energy use in buildings and in vehicles
o 17 out of 23 posts have a publicly stated target on energy use in vehicles, 17 posts have one on
buildings, and 16 posts have one on water use in buildings
o 19 posts engage employees on resource efficiency through working groups or joint management-
worker committees
o 19 of the group are involved in non-governmental organisations and initiatives, such as EV100
o 15 participants' commitments are tied into senior executive financial rewards and incentives.
IPC encourages posts to continue developing their approaches to Resource Efficiency, including continuing
sharing best practice with other group members and discussing a range of resource efficiency issues, including
future strategies, with key stakeholder groups.

Renewable electricity

The group has successfully increased its use of renewable electricity from 14.3% of total electricity use in 2012
to 37.6% in 2022. Nine posts now use 100% renewable electricity, and a further six use more than 90%.
Alternative fuel vehicles

NB: All figures rounded to nearest thousand


The SMMS group has grown its collective AFV fleet from 65,000 (12% of total vehicles) in 2012 to 165,000
(26%) in 2022, a particularly impressive feat given the challenging market conditions. Electric vehicles (EVs)
have increased in that time by 647% from 17,000 to 127,000, and comprise 20% of total vehicles as of 2022.
As a proportion of alternative fuel vehicles, EVs made up 77% in 2022.
The SMMS builds on the Environmental Monitoring and Measurement System (EMMS) which has tracked and
driven progress in the postal sector’s carbon management since 2008. Our participants have shown
tremendous progress in that time. The original EMMS targets were set in 2009 following a pilot in 2008, with 20
participants collectively setting ambitious targets to be achieved by 2020, compared to the 2008 baseline:
• To reduce combined carbon emissions from own operations by 20% – achieved in 2014
• To achieve a score of at least 90% in carbon management proficiency – achieved in 2018
Following the early achievement of the first target, a new target was introduced in 2014:
• To achieve a 20% reduction in Scope 1, 2 and 3 (from own operations and outsourced transport)
carbon emissions per letter mail and per parcel by 2025, from a 2013 baseline year.
This target was approved by the Science Based Target Initiative (SBTI) in 2016 (one of the first 12 globally)
indicating that the level of decarbonisation required to achieve it is in line with the goals of the Paris
Agreement. As of 2023, 15 posts now have individually committed to a Science Based Target.
Reflecting the importance of this issue to our sector, climate change continues to be a key focus of the SMMS
programme as we look towards our 2030 goals.
Emerging trends
Given the size of the participant’s collective fleets, reducing the environmental impact of the group’s vehicles
will be a continued focus going forward. It is estimated that the global electric vehicle market will grow between
25-30% by the end of the decade, and as discussed in the Resource Efficiency section, our participants
continue to be innovative in this area.
As the impacts of Climate Change such as the natural disasters experienced in 2022 - 2023 continue to
increase and impact businesses our engagement with suppliers on ways to reduce carbon emissions will
continue to be critical in order to decrease Scope 3 emissions, which contribute the majority of the group’s total
carbon emissions (66% of Scope 1, 2 and 3). Posts have shown a commitment to mitigating the impact of the
value chain through a variety of initiatives, with examples found in our case study library here.
● Climate Change was the highest scoring Focus Area out of the seven in the Sustainability
Management Proficiency (SMP) questionnaire, reflecting the group’s continued dedication to this issue.

● Posts scored 75.3% collectively for Climate Change, nearly ten percentage points ahead of the group’s
Overall SMP Score and three percentage points ahead of the second highest Focus Area score (H&S).
● The group scored highest in questions related to Measurement and Evaluation just as in 2021,
reflecting the group’s focus on rigorous data collection. The group also scored well in the Strategy and
Policy pillar, a crucial element of effective climate change risk management.
● The Embedding pillar scores saw a slight decrease compared to 2021. This was caused by the group
absorbing two new posts onto the SMMS programme. We hope to see this area improve in the coming
years as the pool of knowledge continues to expand.

Highlights of the group’s performance in 2022 include:


o All 23 posts have a strategic focus on greenhouse gas emissions
o 18 posts have a dedicated policy in place that includes a commitment to performance
improvement and a framework for achieving objectives
o 16 posts have a mid-term or long-term target related to climate change, and 16 posts have an
annual target
o 22 participants define responsibility for climate change at the board or executive level of their
organisation
o 22 posts have discussed current and/or future climate change strategies with their supplier
groups.
We encourage posts to continue developing their approaches to Climate Change management, including
participating in initiatives to build resilience to climate change within their own organisations and in the wider
community, through employee education and outreach programmes.

Scope 1 and 2 emissions


In 2020, we set a new 2030 target for absolute carbon emissions – to reduce collective scope 1 and 2
emissions by 50% compared to a 2019 baseline. In 2022, posts reported a 6.8% decrease in emissions
compared to 2019. This equates to more than 400,000 tonnes of CO2.

NB: All figures rounded to nearest thousand


In 2022, posts reported a 35% reduction in Scope 1 and 2 carbon emissions compared to a 2008 baseline.
Since 2008, the group’s cumulative reduction in emissions now equals 28.8 million tonnes CO2.
NB: All figures rounded to two significant figures

Delivery Efficiency

*Delivery efficiency for 2013 to 2021 was restated following Pos Malaysia and Omniva joining the SMMS programme.

In 2022, the group reported a delivery efficiency of 40.4g CO 2 per letter mail item and 536.8g per parcel item.
This was a 6.7% increase in grams CO2 per item for letter mail and a 11.7% increase for parcels, compared to
2021. Since the 2013 baseline, this equates to an increase of 13.6% for letter mail, but a decrease of 0.6% for
parcels.
Posts face a significant challenge in reducing the carbon intensity of letter mail deliveries in an environment of
falling letter mail demand. With the growth in parcel demand showing no signs of abating, we expect to see the
inverse trend for parcel delivery efficiency.
These trends have been accentuated by the COVID-19 pandemic and are expected to continue. We observed
a reduction in scope 3 emissions from business travel and employee commuting due to the COVID-19
pandemic in 2020. However these were outweighed by rising emissions from the spike in parcel demand over
the period. From 2020 to 2022, as travel restrictions were lifted and employees returned to offices, we
observed a 18% increase in scope 3 emissions from business travel and employee commuting.
Advancements in reducing emissions from outsourced road and air transport will need to match and indeed
exceed the progress made in reducing Scope 1 and 2 emissions in order to lessen the carbon intensity of
deliveries. IPC’s commitment can be shown in our Case Studies, these cover a multitude of initiatives and
ambitious goal setting. All of which strive to improving the sustainability of the sector and creating a network of
knowledge.
Building on this success, a significant focus of the programme is to support the sector’s efforts at decarbonising
the transport. IPC recognises that there is no silver bullet. In the short term, the industry will continue to draw
on a host of different alternative fuel vehicle (AFV) solutions - of the total SMMS fleet, the proportion of AFVs
increased from 12.4% in 2012 to 25.9% in 2022. Innovative programmes and battery developments have put
electric vehicles firmly in the driving seat in the near term, with EVs representing 20% of the SMMS fleet in
2022 (127,000 EVs in a fleet of 637,000 vehicles). In addition, further in the future we expect hydrogen to
increasingly realise its potential as an alternative. Therefore, as we see the increasing penetration of low
carbon transport in the sector, we expect the climate impact of these deliveries to continue to decline in the
future.
The postal sector is significant in its role as a contributor to urban air quality issues. Simultaneously, operators
must meet the needs of ever-growing e-commerce demand, which spiked significantly in 2020 during the
COVID-19 pandemic and is set to remain higher in the long term. Levels of air pollution in cities can sometimes
reach toxic levels, hence a rapidly changing regulatory environment. In this climate, it is therefore crucial that
we address our contribution to healthy urban spaces.
‘Emissions to air’ in the context of our programme refers to NO X, SOX, and particulate matter, and excludes
carbon dioxide. ‘Air quality’ and ‘air pollution’ refer to the impact of these emissions specifically. By addressing
air quality separately to climate change and resource efficiency, we are emphasising the consequences of our
operations on human health, as well as on the environment.
Through measuring performance in this area, IPC members are actively contributing to the aims of UN SDG 11
– Make cities and human settlements inclusive, safe, resilient and sustainable. In an internal IPC survey in
2018, SMMS participants identified target 11.6, ‘reduce the adverse per capita environmental impact of cities,
including by paying special attention to air quality and municipal and other waste management’, as a priority for
the postal sector. Given the importance of these issues to our industry, we have separated out air quality from
waste management, which is addressed in the Circular Economy Focus Area.
Emerging trends
This is an area of intense innovation, given the critical levels of air pollution in some of our cities, and the ever
pressing need to improve efficiencies in last mile delivery.

● Lower emissions vehicles – one of the most popular and obvious solutions is continued investment
in alternative fuel vehicles (AFVs). The SMMS group operates an impressive fleet of AFVs, and the
expected 25-30% growth in the global electric vehicle market within the next decade will continue to
play a crucial role in improving urban air quality. Read more about it in the Resource Efficiency section.

● Incentivisation of cycling and walking – a range of initiatives and investments such as Cycle to
Work schemes and safety awareness trainings has allowed our participants to demonstrate their
commitment to encouraging cycling and walking both in their operations and in their employees’
commute.

● City hubs – often tested on a small scale first, such as in a single neighbourhood, city hubs operate as
more efficient urban delivery services. Lower emissions vehicles are often used as part of these
initiatives, and we expect to see their adoption more widely in years to come.

● Collaboration – sharing space and time will be crucial to reducing the impact on urban air quality while
meeting consumer needs. This will in many cities require public-private sector partnership. However,
given this is such a fast-moving issue, it is envisaged that cities will also be able to learn from each
other, as solutions are developed.
● The group scored 54.1% in the Air Quality in the Sustainability Management Proficiency (SMP)
questionnaire.

● Participants scored best in questions related to Measurement and Evaluation. This reflects posts’ efforts
to improve data quality and monitor their rate of progression against KPIs, which is key to informing
strategic and operational decision-making and ultimately reducing negative impacts.

● The group score improved the most in Disclosure and Reporting increasing by around two and a half
percentage points, demonstrating the group’s commitment to communicating their management of Air
Quality within their organisations. We expect stronger Strategy and Policy as well as Embedding scores
in the future as new KPIs are developed based on strong data collection and public feedback.

● Quantitative metrics are not reported for Air Quality this year, however some SMMS participants do report
individually on their organisation’s air quality performance as part of their corporate reporting. As we
improve the coverage of data collection, we expect to report on this area collectively in future years.
Highlights of the group’s performance in 2022 include:
o 22 posts place a strategic focus on the use of alternative fuel vehicles as part of their efforts to improve
Air Quality
o 15 posts have identified and assessed the risks, and 11 the opportunities, relating to air quality and/or
air pollution prevention
o 14 posts operate smart city solutions, or initiatives involving cooperation and development with other
stakeholders to improve urban air quality
o 17 participants have a policy in place related to air quality and/or pollution that includes a commitment
to performance improvement.
IPC encourages posts to develop management of their contribution to air quality, such as participating in
initiatives with government and NGOs that aim to improve air quality, particularly in urban areas, and
developing policies that include explicit frameworks for achieving objectives, in line with global best practice.
The circular economy is a framework for consumption that looks beyond the traditional take-make-waste
industrial model. Economic and social capital is built and replenished, through three main principles:
1. Removing waste and pollution through design
2. Keeping products and materials in use
3. Regenerating natural systems.3
The postal sector has an important part to play in the transition to a circular economy - not only in reducing its
own negative impacts but in providing the logistics required for more sustainable consumption patterns
globally.
The SMMS programme therefore assesses the broader contribution of participants beyond just waste
management - including reuse, recycling, product design, remanufacturing and collaboration across the value
chain and beyond.
Emerging trends
Optimising routes and the use of reverse logistics will be key components of a circular economy, such as
reducing unnecessary fuel consumption, and providing facilities for returning containers at post offices. The
postal sector can also leverage its position to engage with government and other industries to drive change.
Recyclable or sustainably produced packaging continues to be a focus for consumers. In IPC’s cross-border
e-commerce shopper survey in January 2021, which had 33,000 respondents from 40 countries, 48% strongly
agreed that they would prefer their parcel packaging to be recyclable. A further 42% expressed a strong
preference for reusable packaging.
The development of products such as a satchel for sending used coffee pods to a purpose-built recycling
facility will also be a focal point in reducing the environmental impact of supply chains. This systemic shift to a
more sustainable future will require investment and innovation, with an opportunity for considerable economic
benefits. The postal sector can expect cost savings from recycling paper and packaging, growing demand for
innovative products, and earnings from marketing opportunities from cross-sector engagement.

3 Ellen MacArthur Foundation https://www.ellenmacarthurfoundation.org/circular-economy/concept


● In the Sustainable Management Proficiency (SMP) questionnaire, the group scored 61% in the Circular
Economy Focus Area. This was a new topic in 2019 and the group has reacted strongly to the
inclusion by increasing the score by nearly five percentage points in two years. It is also less than five
percentage points behind the overall average SMP score of 65.9% in 2022.

● For the fourth successive year participants scored best in questions related to Strategy and Policy.
This is reflective of the importance of waste management to the sector from both a sustainability
perspective and as part of broader business strategy.

● The pillar exhibiting the biggest improvement is Embedding. Posts’ efforts to enhance data quality and
then define KPIs to implement them, are now being implemented into the group’s business practices.
● Some posts may be more advanced in their circular economy transition than others, given regional
differences in regulation and evolving legislation around waste. For example, European Union member
countries must now recycle half of their packaging waste, and in California, businesses cannot use
plastic bags and must recycle 25% of their plastic containers. As the group expands into new
territories, posts like Pos Malaysia who joined in 2022 will bring new challenges, unique to their
business. IPC is committed to ensuring their needs are met alongside improving the overall
performance of the group.
Highlights of the group’s performance in 2022 include:

● In 2022, participants reused or recycled an impressive 61% of total non-hazardous waste.

● 17 out of 19 posts (which consider waste a material sustainability issue) define responsibility for
embedding the principles of a circular economy at the board/executive level

● 19 posts work or collaborate with suppliers, and 17 with customers, on the circular economy

● 9 posts have publicly stated targets on waste/circular economy, and a further 7 have internal targets
● In line with best practice, 6 posts already refer to internationally recognised guidance when calculating
and reporting data related to the circular economy.
IPC encourages posts to continue developing approaches to waste management and issues related to the
circular economy, such as sustainable packaging, reverse logistics. We provide many opportunities for best
practice sharing and we encourage posts to continue using those avenues as we develop collective
management proficiency, particularly in such innovative and exciting areas of corporate sustainability.
‘Sustainable procurement’ refers to purchasing in ways that intentionally strengthen society, the environment
and the economy, while meeting the needs of organisations and creating value for our customers. The rise of
e-commerce is driving consumer demand for sustainable products and services, while organisations must also
respond to an increasingly stringent regulatory landscape.
Through measuring performance in this area, IPC members are actively contributing to the aims of UN SDG 12
– Ensure sustainable consumption and production patterns. In an internal survey by IPC in 2018, SMMS
participants identified UN SDG target 12.7, which promotes ‘procurement practices that are sustainable’ as a
priority for the postal sector.
With roots in the public sector, the postal industry is well versed in the benefits of sustainable procurement.
The return on investment can include reduced costs and waste, and improved visibility of supply chains. An
integrated, effective strategy improves risk management along the value chain by working with higher risk
suppliers.
In the SMMS, Sustainable Procurement is measured qualitatively only, in the Sustainability Management
Proficiency (SMP) questionnaire. Posts are asked questions on a range of subjects, such as the sustainability
topics included in procurement policies, how far down the supply chain they are implemented and for which
suppliers, the types of audits, public reporting, and so on.
Emerging trends
o As environmental issues increasingly fall under compliance standards, human rights and labour
standards are becoming significantly more important for sustainable procurement.
o The postal sector is a major employer at a global scale, providing opportunities to disclose its
improvements on human rights issues such as discrimination, health and safety and gender
equality. With the ability to work with organisations to ensure it continues to contribute to the UN
Sustainable Development Goals, particularly those identified as material for the sector
o Business ethics is also an increasingly prominent category
o As consumers continue to demand increasing levels of transparency, disclosure and reporting
will be a growing area of focus.
● Posts achieved a score of 64.3% in Sustainable Procurement in the 2022 Sustainability Management
Proficiency (SMP) questionnaire, just over one percentage point behind the overall group SMP score.

● The group scored best in Sustainable Procurement questions related to Strategy and Policy, reflective of
the prevalent use of subcontractors in the postal sector, and the importance that the group places on
sustainable supply chain management.
● Opportunities for improvement include activities related to Disclosure and Reporting. IPC recognises the
significant improvement (almost seven percentage points) in this pillar since 2020, but notes a slight
decline in 2022. IPC further encourages posts to demonstrate leadership by reporting their progress in the
public domain and sharing best practice knowledge with other operators and sectors. We are confident
this will result in higher scores in this pillar as posts continue to develop their public reporting in this area.
● Sustainable Procurement is measured qualitatively only, given the nature of the topics involved.

Highlights of the group’s performance in 2022 include:


o 20 posts out of 23 have a dedicated sustainable procurement policy in place
o 15 participants have publicly stated targets related to sustainable procurement
o 18 posts define responsibility for sustainable procurement at the board or executive body level
o In line with best practice, 19 collect data from suppliers on sustainability issues.
IPC encourages posts to develop robust approaches to sustainable procurement and report on their progress.
IPC is confident that the postal sector can be a leader in this area as it becomes an ever more crucial area of
focus in the coming years.






In the Sustainability Performance Indicators (SPI) element of the SMMS, the quantitative impact of posts’
sustainability management is assessed. Participants submit data on carbon emissions, energy use, vehicle
fleets, and destination of waste.

Emissions are calculated using internationally recognised greenhouse gas accounting standards, such as the
World Resources Institute Greenhouse Gas (GHG) Protocol. We refer to the Protocol’s direct and indirect
emissions using the following Scope 1, Scope 2 and Scope 3 terminology:

All direct GHG emissions from operations that are owned or controlled by the company,
including those from buildings and transport.

Indirect GHG emissions from the generation of purchased electricity, heat, steam, or
cooling consumed by the company.
Other indirect emissions from sources within the company’s value chain, including
transport-related activities by vehicles not owned or controlled by the reporting entity,
business travel and employee commuting, outsourced activities, etc.

The SMMS SPI Guidance provides participants with guidelines on reporting procedures for Scope 3 emissions,
since the boundaries for emissions from the value chain can be very broad. We provide a consistent set of
parameters for sector-wide reporting of Scope 3 emissions, based on the framework set out in the GHG
Protocol Corporate Value Chain (Scope 3) Standard.
We use a well-defined data collection coverage that encompasses the following four core categories, which
collectively make up over 95% of total Scope 3 emissions:

● Outsourced or subcontracted road transport

● Outsourced or subcontracted air transport


● Employee commuting

● Business travel.
The further 11 GHG Protocol categories, such as capital goods and use of sold goods, are excluded as they
are currently considered immaterial to the postal sector. So that the SMMS participants can better understand
the implications of their corporate activities on their value chain carbon emissions, it is important to establish
Scope 3 inventories.
Data on emissions from the above-mentioned sources are examined in the SMMS reporting on the IPC
website, as part of our commitment to continuous improvement and to build a more comprehensive and
accurate account of carbon emissions across the SMMS group.
Unfortunately, six posts are currently unable to collect data on employee commuting for privacy/legal reasons.
In these instances, company mitigation activities focused on employee commuting will not result in measurable
decreases in emissions from this source. As this is a significant source of Scope 3 emissions, we will continue
to strive for more complete reporting of all participants.
Although IPC recognises subcontractors as having primary responsibility for their carbon emissions, we know
that SMMS participants can have a positive influence on this component of the value chain. Moreover, posts
are encouraged not to reduce Scope 1 emissions at the expense of increasing Scope 3 emissions through
outsourcing and subcontracting. To this end, our delivery efficiency target includes emissions from
subcontracted transport.
Over the duration of the programme, there have been a number of changes to the composition of the group of
participants. Eight new participants have joined since 2009, while four of the original EMMS group participants
no longer report to the programme.
In order to ensure that the programme remains dynamic and progressive, the aggregated results of the 23
participants that submitted data in the 2022 reporting year are presented (unless otherwise stated). Figures
from posts that did not report data for this year have therefore been excluded from this and previous reporting
years (back to and including the baseline year), so that a direct comparison can be made. We believe that this
will enable us to more accurately track the reporting groups’ progress towards the SMMS programme’s targets.
In order to achieve this, we have used the earliest data reported by the new participants and assumed these
figures to be stable for all previous years to estimate 2008 baseline figures. Please see the section of this
document ‘Exclusions and Estimations’ for SMMS participants reporting details. In addition, circumstances may
arise in which participants need to restate their data from previous years, due to factors such as changes to
internal company methodologies or reporting. The specific circumstances under which data was restated in
2023 is explained in ‘Restatement Details’, in this document.
Calculation of CO2 emissions from Scope 1, Scope 2, and Scope 3 outsourced transport sources per letter mail
and per parcel. Letter mail and parcel CO2 emissions expressed in grams are divided by the total number of
letter mail and of parcel items processed, respectively. For details of the methodologies used by participants to
allocate emissions to letter mail and to parcel categories see Annex Table: ‘Allocation methodologies for letter
mail and parcel emissions’ in this document.

The percentage of additional electricity purchased or self-generated that is obtained from renewable sources,
i.e. it does not typically include renewable electricity already present in the national grid. Included are all
sources of purchased and self-generated renewable energy (e.g. solar, wind, hydro, geothermal). Electricity
used for charging electric vehicles on site is included. Nuclear power, heat and natural gas are not considered
renewable energy sources.

Includes the total number of alternative-fuel vehicles within the postal vehicle fleet. This number is expressed
as a percentage of the total number of vehicles in SMMS participants’ collective delivery fleet. Alternative-fuel
vehicles are vehicles that run on fuels other than petrol and diesel. This includes electric vehicles, hybrids,
vehicles that run exclusively on biofuels or that run on LPG, LNG, CNG and hydrogen. It excludes vehicles that
run on bio/mineral fuel mixes that are at or below the nationally agreed minimum content of bio/mineral fuel.
Since 2017, self-propelled bicycles are not counted as alternative-fuel vehicles.

Includes the number of electric vehicles within the postal vehicle fleet. This number is expressed as a
percentage of the total number of vehicles in SMMS participants’ collective delivery fleet. Sub-categories of
electric vehicles included in this number are electric trolleys/walk-buggies; electric bicycles; electric scooters/
motorbikes; electric cars (for business travel) and other types such as trikes, quadracycles, and other similar
electric vehicles.

Includes non-hazardous waste that is separated for reuse or recycling. This number is expressed as a
percentage of the total volume of SMMS’ participants' collective non-hazardous waste.
‘Re-use’ means any operation by which products or components that are not waste are used again for the
same purpose for which they were conceived.
‘Recycling’ means any recovery operation by which waste materials are reprocessed into products, materials
or substances whether for the original or other purposes. It includes the reprocessing of organic material but
does not include energy recovery and the reprocessing into materials that are to be used as fuels or for
backfilling operations.
The table below provides details of the SMMS programme participants, including their submissions to the
programme in 2023, SMMS joining year, and any exclusions and estimations relevant to their reporting.

Excludes subsidiaries, and sub-contracted


An Post   2008
retail and delivery service units
Australian Postal Excludes subsidiaries and joint ventures.
Corporation   2008
Also excludes air quality reporting.
Excludes Scherübl and all subsidiaries
outside Austria. Subcontracted air transport,
Austrian Post   2009 business travel and employee commuting is
excluded from the reported scope. Waste
reporting is also excluded.
Includes bpost Belgium only and excludes
bpost   2008 logistics and express business. Also
excludes air quality reporting.
Excludes Correos Express, Correos Nexeo
Correos   2008
and Correos Telecom.
Excludes business travel and subcontracted
Croatian Post   2021 air transport. As well as SOx and PM10 air
quality reporting.
Include only business travel for CTT
CTT Portugal Direction for International Relations
Post   2008
department. Excludes air quality reporting
for outsourced road transport.
Excludes Express, Global Forwarding &
DHL Group   2008 Freight, Supply Chain and eCommerce
Solutions
Excludes small subsidiaries. As well as air
Le Groupe La
Poste   2008 quality reporting for outsourced road
transport.
Excludes associate companies, such as
Kiwibank; express/logistics operations in
New Zealand Australia. SMP data was not provided and
Post Ltd
  2008
therefore is excluded. SPI data was also not
provided, hence Employee commuting, air
quality and waste data are also excluded.
Includes mail related business in Estonia &
parcel related business in Estonia, Lithuania
Omniva   2022
& Latvia. Excludes invoicing & international
business.
Data reporting excluded Logistique. Data
POST
Luxembourg
  2008 excludes also business travel, employee
commuting, outsourced air data, air quality.
Data excludes business travel, commuting,
Pos Malaysia   2022 outsourced air and air quality for outsourced
transport.
Carbon emission related to commuting are
Poste Italiane   2009
extrapolated to cover full organisation
Posten Norge   2008
Includes only postal related business in
Finland and excludes operations in the
Posti   2008
Baltics and Russia. Small items counted as
parcels.
PostNL   2008 Data reporting excludes SOx emissions

PostNord Express and logistics included. Data


Denmark   2008
reporting excludes SOx emissions.

Excludes employee commuting. Express


PostNord Sweden   2008 and logistics included. Data reporting
excludes SOx emissions.
Royal Mail Group
Ltd
  2008 Excludes GLS
Note: SAPO did not provide SMMS data in
2023 and hence all data for 2022 is copied
from 2021. 45% of the electricity
South African consumption is based on estimations.
Post Office   2010
Scope 3 data for commuting, outsourced
road and outsourced air is excluded.
Hazardous waste and air quality for
outsourced transport is also excluded.
Includes only mail and parcel business.
Financial services, goods logistics and
people transportation is excluded from the
Swiss Post   2008 SPI reporting scope.” SOx data for air
quality is excluded as well as all waste data

31% of electricity consumption is estimated,


100% of renewable electricity is estimated,
United States
Postal Service   2008 and 33. Sox data for air quality and waste
data are both excluded. 37% heating fuels
are estimated.
Within the IPC SMMS programme reporting, circumstances may arise in which participants need to restate
their data from previous years. This may be due, for example, to internal methodology changes or to a change
in a participant’s reporting scope. In cases where these restatements have a material impact on the SMMS
group figures we will restate the group figures for previous years to include this revised data. This ensures
transparency and consistency of reporting and enables an accurate assessment of the progress on a
comparable basis. SMMS participants are continually seeking opportunities to more accurately measure their
performance, which in some cases results in updated approaches and calculation and measurement
methodologies. By retrospectively updating historical figures to account for material changes we ensure that
the SMMS group figures remain comparable over time.
In the SMP, year-on-year restatements are not backdated into previous year’s submissions. Each year, the
group’s overall score is calculated as an average of all participants’ submissions. We also presume that new
participants would have made progress on the seven focus areas outside the SMMS programme. Therefore,
the influence of new posts joining the programme is judged to have no material impact on the group score in
previous years.
This year we have restated group delivery efficiency figures due to the inclusion of Omniva and Pos Malaysia’s
data.
We have therefore restated delivery efficiency figures back to the 2013 baseline. This allows for accurate and
consistent comparability across years and ensures the figures we report are reflective of the group’s progress.
The effects of these changes are stated below.

Reported in 2021
Letter Mail Sustainability 35.55 35.55 36.10 36.55 36.38 35.66 36.33 37.61 37.76
Delivery Report
Efficiency
(in grams
CO2 per Restated in 2022
item) Sustainability 35.54 36.08 36.53 36.36 35.64 36.31 37.36 40.91 37.81
Report

Reported in 2021
Parcel Sustainability 540.91 540.91 501.25 487.82 478.30 466.30 474.14 508.67 480.52
Delivery Report
Efficiency
(in grams
CO2 per Restated in 2022
item) Sustainability 539.92 500.54 487.24 477.82 465.91 473.75 499.90 513.42 480.57
Report

Due to the addition of Omniva and Pos Malaysia to the SMMS programme we have also restated absolute
Scope 1 and 2 emissions data, including the 2019 baseline and 2030 target figure.
Emissions from employee commuting and business travel are outside the scope of the delivery efficiency
targets, and therefore do not affect the figures above.
Scope 1 - Transport (vehicles, aviation, rail) 3,086,000 3,247,000 3,130,000
Scope 1 - Buildings (gas, heating, fuel, oil,
683,000 699,000 698,000
steam)
Other Scope 1 11,000 10,000 9,000
Scope 2: Electricity (inc. electric vehicles) 1,774,000 1,699,000 1,717,000
Scope 2: Building (As district heating) 110,000 111,000 52,000
Other Scope 2 91,000 5,000 0
Sub-total: Scope 1 and 2 5,645,000 5,770,000 5,608,000
Scope 3a: Outsourced road and air transport 9,727,000 8,533,000 8,813,000
Sub-total: Scope 1, 2 and 3a 15,373,000 14,303,000 14,421,000
Scope 3b: Employee commuting and business
2,587,000 3,072,000 3,060,000
travel
TOTAL Scope 1, 2 and 3 17,960,000 17,376,000 17,509,000

Please note all figures reported in the table are rounded to the nearest thousand
The table below provides details of the methodologies used by SMMS participants to calculate and allocate
their emissions to letter mail and parcel categories.

Allocation is based on a Allocation based on a Allocation is based on a


split in revenue between split in revenue between split in revenue between
An Post Actual
letter mail and parcel letter mail and parcel letter mail and parcel
operations. operations. operations.
Allocation is based on Allocation is based on Allocations are based on
costs (at an individual finance expenditure (at expenditure and the
product level) between an individual product finance allocations
letter mail and parcel level) between letter process. For the
Australian Postal
Actual operations. mail and parcel StarTrack business the
Corporation
operations. allocation is based on a
combination of
expenditure and revenue
allocation.
Allocation is based on Vehicles are assigned to Subcontractor emissions
the split according to the either the letter mail or for letter mail are based
number of square parcels division. When on kilometer data.
meters (settled payment vehicles are used for Emissions for parcel
unit) per business unit. both letter mail and subcontractors are
parcels cost allocation is estimated using the
Austrian Post Actual used to split the number of kilometers
emissions. travelled, derived by a
ratio calculation
comparing parcel
numbers with the
subcontractor parcel
numbers.
Allocation is based on Allocation is based on Allocation is based on
cost rates, calculated cost rates, calculated operating income for letter
bpost Actual based on operating based on operating mail and parcels
income for letter mail income for letter mail operations.
and parcels operations and parcels operations
Allocation is estimated Allocation is estimated Allocation is estimated
based on costs between based on costs between based on costs between
Correos Actual
letter mail and parcels letter mail and parcels letter mail and parcels
operations. operations. operations.
Allocation of emissions Volumes (items and kg) Volumes (items and kg)
is based on the used to allocate used to allocate
headcount working at emissions. emissions.
each business unit. A
Croatian Post Actual
percentage is then
derived from the
employees per post
category.
Allocation is based on Allocation is based on Allocation is based on
CTT Portugal Post Actual
revenue. revenue. revenue.
The emission data is The emission data is Kilometer data forms the
allocated based on the allocated based on the basis for the allocation of
business units in the business units in the subcontracted road
DHL Group Actual mail and parcel mail and parcel emissions (adjusted for
business. business. the specific truck types).
Emissions for domestic air
travel are calculated using
fuel data from the airline
partner. Emissions for
international air travel are
calculated on an
individual trip level taking
into consideration specific
routing, aircraft type and
load utilization. All
emissions allocated to
letter mail, as letter mail
and parcel operates as
one division..
Letter mail and parcel Letter mail and parcel Letter mail and parcel
have their own delivery have their own delivery have their own delivery
organisation and organisation and organisation and process.
process. process. Allocation for Allocation for air
air transportation is transportation is based on
based on freight rates freight rates (weight and
Le Groupe La
Actual (weight and number of number of items).
Poste
items). For international For international air or
air or maritime maritime transportation,
transportation, the the allocation is based on
allocation is based on the split in carrying
the split in carrying weight.
weight.
Most of the buildings in Allocation for domestic Allocation for domestic air
the network are either air freight and ground freight and ground fuel
for letter mail or for fuel (both related to (both related to delivery)
New Zealand Post parcels. If they are dual delivery) is done using is done using the financial
Actual
Group use emissions are the financial control control method drawing
allocated to the letter method drawing on cost on cost information from
mail side of the information from within within the business.
business. the business.
Data is allocated to mail Data is allocated to mail Data is allocated to mail
and parcel based on and parcel based on and parcel based on
costs factors for the costs factors for the costs factors for the
entities that are in scope entities that are in scope entities that are in scope
Omniva Actual of the respective of the respective of the respective
categories. As Lithuania categories. As Lithuania categories. As Lithuania
and Latvia are parcel and Latvia are parcel and Latvia are parcel
only, the split only only, the split only only, the split only applies
applies to Estonia. applies to Estonia. to Estonia.
The allocation is The allocation is The allocation is
performed based on performed based on performed based on
POST specific allocation keys specific allocation keys specific allocation keys
Actual per KPI category. per KPI category. per KPI category.
Luxembourg

All data is allocated to All data is allocated to All data is allocated to


mail mail mail
Pos Malaysia Actual

Emissions allocated Emissions allocated Emissions allocated


according to the according to the according to the principles
PostNord principles for cost principles for cost for cost allocation for
Actual
Denmark allocation for allocation for transportation and
transportation and transportation and vehicles
vehicles vehicles
Emissions allocated Emissions allocated Emissions allocated
according to the according to the according to the principles
principles for cost principles for cost for cost allocation for
PostNord Sweden Actual
allocation for allocation for transportation and
transportation and transportation and vehicles
vehicles vehicles
Allocation is based on Allocation is based on Allocation is based on
Poste Italiane Actual
revenue split. revenue split. revenue split.
Allocation of emissions Emissions from Business activities are
is based on m² usage of business activities are assigned to either letter
letter mail and parcel clearly assigned to letter mail or parcel. Volumes
divisions. mail, parcel (etc.) (items and kg) used to
Posten Norge Actual
categories. calculate emissions.
Weight is calculated by
multiplying sales volumes
by the maximum weight.
Buildings are assigned Allocation based on Allocation based on
to either letter mail or actual volumes of items actual volumes of items
Estimatio parcel divisions using an and distinction between and distinction between
Posti n estimation based on letter mail and parcel letter mail and parcel
actual figures. divisions through the divisions through the
process stage. process stage.
Emissions based on Emissions based on For outsourced road the
clear separation of letter clear separation of letter allocation is based on
mail and parcel mail and parcel revenue split. For
PostNL Actual
divisions. divisions. outsourced air allocation
is based on actual split.

Royal Mail Group Allocation is based on Allocation is based on Allocation is based on


Actual
Ltd revenue split. revenue split. revenue split.
Allocation is based on Allocation is based on Allocation is based on the
South African
Actual the volume of letter mail the volume of letter mail volume of letter mail and
Post Office
and parcels. and parcels. parcels.
Emissions from Emissions from Emissions from business
business activities business activities activities clearly assigned
clearly assigned to letter clearly assigned to letter to letter mail, parcel (etc.)
mail, parcel (etc.) mail, parcel (etc.) categories. Transport
categories. Building categories. Transport emissions are calculated
Swiss Post Actual
emissions are calculated emissions are calculated using fuel use that is
using meter readings using the actual fuel use stipulated in the contract
and split among different per business unit. with the subcontractor.
business units based on
their assigned area.
United States Allocation is based on Allocation is based on Allocation is based on
Actual
Postal Service revenue split. revenue split. revenue split.
IPC is an active member of the United Nations Global Compact, and as such is committed to taking a
precautionary approach to environmental challenges. We endeavour to continually improve our performance
by undertaking initiatives to promote environmental responsibility and encouraging the use of environmentally
friendly technology. While this report focuses on how we put this into practice through our efforts with SMMS
participants, we also ensure that our own operations are in line with these commitments.

In 2022, our own carbon emissions amounted to 390.65 tonnes of CO 2, compared to 179.44 tonnes in 2021.
This was an increase of 117.7%.
More than 60% of these emissions were from air travel (business) and just over 33% from road travel
(business and commuting). Heating contributed 6% (down from 14% in 2021) and the remaining, less than 1%,
were public transport and paper usage. In order to help reduce emissions from business travel, we place an
emphasis on the use of alternative options, such as teleconferencing and remote presentation technologies (for
example, WebEx and webinar techniques).
Furthermore, IPC’s continued use of 100% renewable electricity ensured that emissions from electricity
consumption remained at zero.

For the 15th consecutive year, IPC partnered with the Climate Neutral Group to compensate for our carbon
emissions. The last ten years of emissions have been fully offset with Gold Standard credits. IPC’s
collaboration with the Climate Neutral Group to compensate for our emissions contributes to the UN
Sustainable Development Goals (SDGs) by enhancing climate change action and improving the living
conditions of others.

IPC also implements a range of initiatives and policies to minimise the environmental impact of waste and
resource use. In 2022, these included:
● Printing paper is 100% Forest Stewardship Council (FSC) and EU Ecolabel certified. Reductions in our
paper use are driven through continued implementation of a minimal printing policy. Unless there are
good and pressing reasons, IPC encourages the printing of documents in black and white and on
double-sided paper only.
● Continued provision of recycling facilities in our communal areas so that employees can recycle glass,
cardboard and plastic.
● Continued use of environmentally friendly printing, IT and lighting technology on a replacement basis.
● Continued emphasis on the use of teleconferencing and remote presentation technologies (e.g.
WebEx and webinar techniques) to help reduce business travel.
● Continued selection (in collaboration with our IT supplier) of additional desktop PCs (and other relevant
equipment) on the basis of their performance / energy efficiency in order to accommodate growing
employee numbers.

In particular, these initiatives make a positive contribution to the following SDGs:


• Goal 11: Sustainable cities and communities
• Goal 12: Responsible consumption and production
• Goal 13: Climate action. REPORT 2017

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