Alloga, U.K., Carbon Reduction Plan

Baseline emissions are a record of the greenhouse gases (GHG’s) that have been produced in the past and were produced prior to the introduction of any strategies to reduce emissions. Baseline emissions are the reference point against which emissions reduction can be measured.

(Please refer to note 1 in the Notes and Additional Information section).

In this reporting period, our Scope 2 energy emissions reporting moved to market-based emissions reporting, in order to reflect that Alloga U.K. purchases energy that is certified by our energy provider as being 100% generated from renewable sources.

Due to natural growth, Alloga expanded and opened up a new warehouse facility in October, 2024.

The two graphs below show CO2e total and per square foot, in order to comparatively show our CO2e output in terms of building area. Due to our continued growth year-on-year, this method is proving to be the most reliable to see the year-on-year figures comparatively.

Blue = actual emissions. Green = projected reductions to 2032 target.
(Please refer to note 3 in the Notes and Additional Information section).

Blue = actual emissions. Green = projected reductions to 2032 target.
(Please refer to note 7 in the Notes and Additional Information section).

The following environmental management measures and projects have been completed, implemented or maintained since the 2020 baseline:

ISO 14001:2015 Certified Environmental Management System:

Alloga maintains an Environmental Management System (EMS) that is fully certified to the international EMS standard ISO 14001:2015. This provides a framework for managing and reducing Alloga U.K.’s environmental impact and establishes programmes to help achieve our environmental objectives. This framework monitors the reporting of environmental incidents as part of our environmental continual improvement process.

Energy Use:  

Building on the starting points from previous years, our carbon saving opportunities have mainly focused on reduced energy usage of our buildings and more efficient vehicles in our transport fleet. We are also targeting small, but positive, energy reduction initiatives including an ongoing programme of lighting replacement, use of LED light bulbs / panels and monitored vehicle fuel efficient driving methods.

All sites have their monthly CO2e measured to give clarity on where the focus areas are found to enable us to look at improvements.

Energy usage for our facilities is measured every thirty minutes, as are the average outside temperatures, which provides data on peak energy use periods and equipment that has significant energy usage in the business.

As the business continues to expand, consideration is taken to ensure new facilities have a reduced environmental impact (compared to our older buildings) and reflects advances in modern energy efficient technology – our latest facility opened in October, 2024 and introduced more electric car charging points, improved thermostats and expands sensor equipped lighting to not just the warehouse area, but also into the office area, which ensures lights are off when not in use. The more efficient design of the building means we also do not have to use Natural Gas to heat it.

Alloga U.K. also purchases electricity which is certified by our supplier as being 100% generated from renewable sources.

Scope 1 Emissions:

The business is exploring options for alternative fuel vehicles, and for increasing fuel efficiency across the transport fleet. Following a trial, a CNG (Compressed Natural Gas) vehicle has been acquired for the transport fleet, as well as an all-electric van for use by the maintenance team – this has helped to reduce the amount of direct GHG emissions and particulate emissions generated by our maintenance team during daily operations.

Waste:

The business has an active waste reduction and recycling programme, which, along with an annual employee recycling and sustainability awareness campaign, has resulted in the organisation recycling up to 70% of its waste. We continue to work with our stakeholders to increase recycling rates.

In the future we plan to implement further measures such as:

Solar panel installations for the roof areas of our larger buildings are being investigated, and the use of HVO (Hydrotreated Vegetable Oil) is planned to be trialled within our transport fleet during 2025. HVO is a renewable and fossil-free alternative to mineral diesel that is made from waste fats and vegetable oil, and has the potential to reduce our reported Scope 1 emissions.

Note 1: The processes associated with water use, such as water treatment and distribution, can result in GHG emissions. Alloga U.K. tracks our water usage, and using the U.K. Government GHG Conversion Factors for Company Reporting (2024 version), has decided to report the GHG impact of our water usage in our Scope 3 figure.

Note 2: The consolidation approach used by Alloga U.K. (AUK) for setting GHG organisational boundaries is the operational control approach.

Note 3: AUK purchases electricity that is certified by the electricity provider as being generated from 100% renewable resources. From the 2024 reporting year, AUK has changed from location-based to applying the market-based method for reporting Scope 2 GHG emissions. The market-based method reflects the GHG emissions associated with the choice that AUK has made regarding its electricity supplier - this choice is conveyed through the agreement between the energy purchaser and the energy provider. Under the market-based method, we use the GHG scope 2 emission factor of zero, as renewably sourced energy, such as solar and wind, have no direct emissions at the point of electricity generation. Using the market-based method, this allocation pathway represents the GHG emissions associated with AUK's decision to purchase renewably generated energy, which may be different to the underlying energy flows in the grid, and does not reflect the location-based average emissions intensity of the grid on which energy consumption occurs.

Note 4: Scope 3 figure does not include WTT (electricity generation) or T&D losses.

Note 5: The 2024 reporting year transition to recording scope 2 on a market-basis, rather than the previously used location-basis, is responsible for part of the significant reduction in the reported scope 2 figure.

Note 6: Baseline year scope 2 figure has not been re-baselined to take into account the scope 2 GHG calculation methodology which is used from the 2024 reporting year.

Note 7: AUK opened a new facility in October 2024, which partially accounts for the reduction in kg CO2e per sq. foot.

Note 8: CO2e = carbon dioxide equivalent / kg CO2e = kilograms of carbon dioxide equivalent / CO2 et = carbon dioxide equivalent tonnes. References to kilograms and tonnes refers to metric kilograms and metric tonnes

This Carbon Reduction Plan has been completed by taking into account elements of PPN 06/21 and associated guidance and reporting standards for Carbon Reduction Plans.

GHG conversion factors used for the calculations have been obtained from the U.K. Government GHG Conversion Factors for Company Reporting, 2024 Edition.

This Carbon Reduction Plan has been reviewed and signed off by Alloga U.K.’s Managing Director.

Signed on behalf of Alloga U.K.:

Tobias Uthmann, Managing Director
October, 2025