Source · Select Committees · Public Accounts Committee
Recommendation 3
3
Acknowledged
Leadership and oversight of emissions measurement and reporting in central government is fragmented and ineffective.
Recommendation
Leadership and oversight of emissions measurement and reporting in central government is fragmented and ineffective. At present, there are at least three departments issuing guidance to central government bodies on how to measure and report emissions. However, the guidance is not consistent nor is it user-friendly as it is scattered across several different publications. For example, HM Treasury’s Sustainability Reporting Guidance requires bodies to classify emissions in terms of what are known as ‘scopes’ for annual report purposes, a classification used internationally and by the private sector, whereas Defra’s Greening Government Commitments (GGCs) require emissions to be reported by emission source, making 6 Measuring and reporting public sector greenhouse gas emissions it difficult for stakeholders to reconcile the two data sets. The fragmented and difficult-to-use nature of the guidance means that some central government bodies do not know what is required of them. For example, the wording of HM Treasury’s guidance is vague and does not include a checklist setting out which elements are mandatory, which contributes to poor levels of compliance. Defra’s oversight of the GGCs is limited. It does not have a central list of which organisations are exempt from reporting and has not acted when arm’s-length bodies with no formal exemption have failed to submit data. Recommendation: BEIS, HM Treasury and Defra should work together to consolidate, simplify and clarify current measuring and reporting guidance. This should set out clear expectations for reporting across central government as well as the processes that will be followed in addressing non-compliance.
Government Response Summary
The government acknowledges that there are cases where different documents may be required for different purposes. In late 2022, the updated GGCs Reporting Requirements resolved terminology differences between the GGCs and SRG, and HM Treasury has provided further clarifications in the recently published SRG 2022-23.
Government Response
Acknowledged
HM Government
Acknowledged
The government agrees with the Committee’s recommendation. there are direct references between documents, as is the case with the Sustainability Reporting Guidance (SRG) and GGCs. However, the government also notes that there are cases where different documents may be required for different purposes. In late 2022, the updated GGCs Reporting Requirements resolved terminology differences between the GGCs and SRG. In the recently published SRG 2022-23, HM Treasury has provided further clarifications and summarised areas of necessary difference with GGCs requirements. All non-exempt central government departments and partner organisations are required to report sustainability data both in annual reports and accounts (as set out in SRG) and through GGCs. In 2022, Defra conducted a GGCs exemptions audit, which will be published with the 2021-22 GGCs Annual Report. New processes ensuring reporting from all bodies in scope were also set out in the updated GGCs Reporting Requirements. Processes for non-compliance are as set out in response to the Committee’s first recommendation. As international standard setters and the UK private sector develop and implement sustainability reporting standards, relevant authorities across the public sector, including HM Treasury, will consider future reporting strategies for public sector annual reports with consistency as a key consideration. To help clarify current arrangements for wider public sector organisations, BEIS has commissioned work to signpost relevant guidance, to be published in early 2023. BEIS will also provide an update on cross-cutting public sector guidance as part of the summer 2023 timeline described in response to the second recommendation.