Pennon, a UK environmental infrastructure company, has been recognised for its continued progress on climate action and sustainability, achieving its highest ever ratings from the Carbon Disclosure Project (CDP), the most widely used independent environmental disclosure system globally.
The company received an A-rating in both the Climate Change and Water Security questionnaires, placing it at leadership level in the CDP’s globally recognised framework.
This marks a significant step-change in performance from B ratings the company received in 2023 and reflects its improving performance in environmental stewardship and disclosure.
CDP scores are widely used by investors and stakeholders to assess corporate environmental risk and ambition, making this an important milestone in Pennon’s long-term sustainability strategy.
In addition, Pennon was recently named as one of Europe’s Climate Leaders 2025 in an annual report from The Financial Times and Statista.
The report recognises 600 European companies that have made progress towards climate targets, including reductions in their Scope 1 and 2 greenhouse gas (GHG) emissions, achieving verification of Science Based Targets Initiative (SBTi) targets, and other measure including CDP scores. These emissions come from a company’s own operations and from the energy it uses.
The ranking (6th) also considers transparency around Scope 3 emissions, which stem from a company’s supply chain, and often make up the majority of a company’s total carbon footprint.
Strong progress on environmental goals
Pennon continues to deliver on its net zero commitments and wider sustainability strategy and has made a number of notable environmental achievements in the past year including:
- Reducing its Scope 2 GHG emissions by over 70% from a 2020/21 baseline (market-based)
- Successfully setting four near-term GHG reduction targets, validated and approved by the SBTi
- Continued delivery of Pennon Power sites to provide renewable energy generation capacity and support the UK’s green energy transition, with the first site in Fife due to be energised in June 2025
- Exceeding its 2025 tree planting target by over 100,000 trees with a total of 389,306 trees planted to date
- Delivering water use reductions of over 10 million litres across Pennon’s operational sites
- Providing over £1 million in additional community investment beyond our business plan through social programmes delivered across the Group in 2024/25
Louise Rowe, Pennon’s Compliance, ESG and IR Director, said:
“We’re proud to see our efforts recognised through our strongest-ever CDP scores. These results reflect the dedication of our teams and the real progress we’re making towards our climate targets.
“Sustainability is central to how we create long-term value for our customers, communities and shareholders. This recognition as well as being named as one of Europe’s Climate Leaders highlights the progress we have been making on our sustainability journey.”
