PPN 006 is a short policy note with a long reach. If you sell to central government, it decides whether your bid is even read. If you only sell to the private sector, you will still meet it in your customers' supply chain questionnaires, because large buyers copy it.
This is a plain-English explanation of what it is, who it covers and what you actually have to produce.
What PPN 006 is
PPN stands for Procurement Policy Note. These are Cabinet Office notes that tell central government buyers how to apply procurement policy. PPN 006 is the note that deals with carbon and net zero in procurement.
Its core ask is simple. If you bid for an in-scope contract, you must give the buyer a Carbon Reduction Plan (CRP): a short document, published on your own website, in which you commit to net zero emissions by 2050, report your emissions and set out what you are doing to cut them.
Where it came from
The requirement is not new. It began as PPN 06/21, "Taking account of carbon reduction plans in the procurement of major government contracts", which applied from 30 September 2021.
On 24 February 2025 the Procurement Act 2023 came into force. PPN 006 is the successor note written for the new regime. The content of the plan did not change materially. The note was updated to match the Act's terminology and process. If your last plan was built for PPN 06/21, it is still the right shape. Our Carbon Reduction Plan guide walks through the sections.
Who it covers
PPN 006 applies to central government procurements with an anticipated contract value of £5 million a year or more, excluding VAT, where requiring a plan is relevant and proportionate to the contract.
Three points catch people out:
- It is the value per year, not the lifetime value. A £20 million contract over five years is £4 million a year and sits below the line. A £12 million contract over two years does not.
- It looks at the bidder. The plan covers your organisation, not just the contract. You cannot write a plan for the one job you are tendering.
- Other buyers copy it. Local authorities, NHS bodies, housing associations and large private contractors often ask for the same thing regardless of value. The tender documents say what applies.
What the plan must contain
A CRP is not a long report. It is a structured summary in a published format, built around:
- a commitment to achieve net zero by 2050, in the words the note asks for;
- your baseline year and baseline emissions, with a reason for choosing that year;
- your current emissions for Scope 1, Scope 2 and a defined set of Scope 3 categories, in tonnes of CO2e;
- your targets to reduce emissions to net zero;
- the carbon reduction projects you have completed or will complete, with the measure and the expected reduction; and
- sign-off by a director or equivalent senior person, with the date.
Emissions are reported to recognised standards, normally the GHG Protocol Corporate Standard, and you state the conversion factors you used. The UK Government conversion factors are the usual choice.
For the emissions boundary, see Scope 1, 2 and 3 emissions for contractors.
PPN 006 and SECR are different things
People often mix them up, so it is worth being blunt.
| PPN 006 | SECR | |
|---|---|---|
| What it is | Procurement policy | Company law reporting duty |
| Who it applies to | Bidders for in-scope central government contracts | Quoted companies, large unquoted companies and large LLPs |
| Where the output goes | A published Carbon Reduction Plan | The directors' report or LLP energy and carbon report |
| Trigger | Contract value, £5m a year or more | Company size or listing |
| Scope 3 | Required for a defined set of categories | Largely voluntary |
A company can need both, one or neither. The data overlaps heavily, which is the useful bit: the fuel, electricity and mileage you collect for one feeds the other. If SECR is what you came for, start with what is SECR and who has to report under SECR.
Where bidders go wrong
The mistakes repeat across tenders:
- An out-of-date plan. Plans need to reflect the latest financial year and be re-approved. An old PDF with last year's number invites a clarification question or a fail.
- A baseline nobody can explain. If you picked a year because the number flatters you, say what the year represents. Evaluators read this section.
- Scope 3 left at zero. Zero is a claim. If you have not measured a category, say it is not measured, not that it is nil.
- Figures that do not match elsewhere. Your CRP, your annual report and your tender response should agree. They are written by different people at different times, which is how they drift.
- No evidence behind the numbers. If a buyer or assessor asks how you got a figure, you need the invoices, meter reads and delivery records ready.
What to do this month
If you bid, or expect to, work through this in order:
- Confirm from the tender documents whether the requirement applies and what version of the template the buyer expects.
- Choose a baseline year you can evidence and defend.
- Gather twelve months of fuel, electricity, gas, vehicle and travel data, then calculate Scope 1, Scope 2 and the Scope 3 categories the note names.
- Write a short list of real reduction measures with an owner and a date each.
- Have a director approve it, date it and publish it on your website.
MetricOra builds the CRP from the same approved records your carbon accounts use, so the plan and the report cannot disagree. See public sector and construction, or the product's reporting. If you want a worked example of a finished plan, read the Carbon Reduction Plan example, which uses a fictional company.
Frequently asked questions
What is PPN 006? The Cabinet Office procurement policy note that asks bidders for in-scope central government contracts to publish a Carbon Reduction Plan. It replaced PPN 06/21 under the Procurement Act 2023.
Who has to comply? Bidders for central government procurements of £5 million a year or more, excluding VAT, where the requirement is relevant and proportionate.
Is it the same as SECR? No. PPN 006 is a bid requirement and SECR is a company reporting duty. The data overlaps.
Is it law? It is policy that contracting authorities are expected to apply. In practice an in-scope bidder without a plan is likely to be excluded.
Do I need an accredited verifier? The note does not require third-party verification. Be ready to show how your figures were built.
Sources
- PPN 006: Taking account of carbon reduction plans in the procurement of major government contracts, Cabinet Office, GOV.UK
- Procurement Act 2023, legislation.gov.uk
- Government GHG conversion factors for company reporting, DESNZ
- GHG Protocol Corporate Standard