Laing O’Rourke’s emission reduction targets approved by Science Based Targets Initiative

Net zero ambitions strengthened in line with the Paris Agreement

Laing O’Rourke today announced the next step in its net zero ambitions confirming that its updated near- and long-term emission reduction targets have been approved by the Science Based Targets Initiative (SBTi).

Following an independent assessment and validation by SBTi, the business has revised its Group targets and committed to the following:

• 42% reduction in Scope 1&2 emissions by 2030
• 25% reduction in Scope 3 emissions by 2030
• Net zero by 2050.

All targets are based on a 2023 baseline year and aligned with the Paris Agreement*. Achievement of these targets will result in a saving of 225,000tCO2e (tonnes of carbon dioxide equivalent) by 2030, and 865,000tCO2e by 2050, across the Laing O’Rourke Group.

These science-based targets set Laing O’Rourke on a more ambitious emission reduction trajectory, particularly in relation to Scope 3 decarbonisation which remains the greatest challenge for the construction industry. Scope 3 emissions constitute 96 per cent of Laing O’Rourke’s carbon footprint. By committing to an interim Scope 3 reduction target for purchased goods and services, the business will accelerate its progress towards net zero.

The targets will be achieved by delivering the actions in Laing O’Rourke’s carbon reduction programme, which include transitioning to 100 per cent renewable electricity on all sites, converting diesel to biodiesel on plant equipment, moving towards an electric and hybrid vehicle fleet, engaging with suppliers, switching to low carbon materials, and pioneering carbon efficient designs. Implementation of these initiatives is already unlocking carbon reduction gains.

In 2023, Laing O’Rourke mandated the switch to only low carbon concrete on all its new UK projects, and in 2022, the business switched from diesel to hydrotreated vegetable oil (HVO) for all heavy plant on UK sites.

In Australia, the business has set embodied carbon limits for all purchased concrete, guaranteeing a cap on carbon emissions from concrete on all Australian projects. It is also conducting HVO trials across Australia, building the case to promote wider scale availability and use within that market and sharing findings with the wider industry to help build momentum.

Madeleina Loughrey-Grant, Group Director of Legal, Procurement (EU) and Sustainability, said:

“I am extremely proud of what our business has achieved so far. We remain committed to constantly reviewing our strategy to ensure we continue to challenge ourselves to push the boundaries of what’s possible in our industry.

“The validation of our emission reduction targets by SBTi demonstrates our dedication to aligning our climate strategy with science and global best practice. It’s important to us that we have undergone the rigour of having our targets independently reviewed and verified by SBTi, an organisation that holds considerable credibility internationally. We’ve committed to being a net zero company by 2050, and our science-based targets give us a strong foundation by which to measure and accelerate our progress towards this goal.”

Madeleina added:

“Emissions reduction is an imperative for our business. The built environment is a large contributor to global emissions , and as a constructor we have a responsibility to drive decarbonisation progress across our operations and supply chain. As we do this, we continue to be guided by our purpose, to push the boundaries of what’s possible, in service of humanity.”

^{*Target boundaries include land-related emissions and removals from bioenergy feedstocks.}