Centrica Decarbonizing global IT operations
Centrica is a leading energy services and solutions company with a global estate spanning multiple countries, tens of thousands of IT assets, and a workforce of 20,000 people. Centrica partnered with Fujitsu to leverage their sustainability transformation expertise, to establish the carbon emissions associated with their global IT activities, identify emissions hotspots and provide critical data to support their ambitious net zero transition plan.
Challenges
Facing increasing climate
accountability and rising IT emissions,
Centrica sought to gain a competitive
edge by developing its first
sustainable IT strategy.
Solutions
Fujitsu delivered a comprehensive
carbon baseline that encompassed all
four key pillars of the client’s IT estate:
End User Computing, On-premise
Infrastructure (including data center’s),
Cloud Services, and Applications.
Outcomes
- A clear understanding of IT emissions and hotspots enabling targeted, data-driven carbon reduction strategies
- 96% global coverage analyzed over 650K data points with high accuracy
- Engaged 16 technology suppliers, fostering a strong, collaborative approach to emissions reduction
“Not only do we now know our starting position and hotspots, but the team has trained us to use the tools and methodologies building the skills and confidence we need to drive this forward”.
Craig Brown, Head of Technology Strategy at Centrica
About the customer
With over ten million residential and business customers, Centrica is a leading UK-based energy services and solutions company, operating through its trusted brand British Gas. Energising a greener, fairer, future is the purpose of this leading energy and services provider. Its business is founded on a 200-year heritage of serving people. Centrica supplies energy and services to more than nine million residential and business customers, mainly in the UK and Ireland, through brands such as British Gas, Bord Gais, and Centrica Business Solutions. As a £20bn company with a global estate and a vast network of suppliers, Centrica is commited to driving economic growth while transitioning to a net-zero energy future.
The net zero imperative
The world’s energy demand is on the rise, and the energy sector plays a vital role in driving economic growth. However, this growth must align with the global transition to a net zero energy future. Centrica plc, an international energy and services company, is the largest supplier of gas to domestic customers in the UK. Listed on the London Stock Exchange, it serves millions of customers every day through trusted brands like British Gas, Board Gais Energy and Centrica Business Solutions. The company’s aim is to create value for all stakeholders by delivering the energy needed today, and the energy security, efficiency and decarbonization needed for the future. Centrica’s CEO, Chris O’Shea, has publicly committed to the net zero transition, citing both the responsibility and opportunity, thereby signalling a real commitment to action. Centrica is actively investing in emerging technologies to achieve this net-zero future. However, this accelerated technological adoption carries its own carbon footprint. For example, the International Energy Agency projects that electricity consumption by AI will be ten times higher in 2026 compared to 2023. Centrica’s ambition is to decouple technology investment from emissions, and to integrate sustainability considerations into long-term strategy and planning, both within its IT estate and beyond.
Understanding the IT carbon footprint
Amid increasing regulatory scrutiny and heightened climate commitments, every department within a corporate organization must contribute to achieving net zero goals. The World Bank estimates that Information and Communication Technology (ICT) emissions account for 1.5 to 4% of global carbon emissions, even as technology is recognized as a critical enabler of the energy transition. With this in mind, Centrica’s Digital Technology Service set out to elevate its role in achieving the company’s 2050 net zero ambitions. To create their IT sustainability strategy, they first needed to understand their current baseline emissions and identify hotspots. Centrica needed an IT partner with an in-depth understanding of its IT estate, profound technical expertise, and a strong commitment to digital innovation for sustainable business transformation. Fujitsu was the clear partner of choice, leveraging their decade-long trusted relationship and established sustainability partnership.
A methodology built for accuracy and replication
Fujitsu’s expertise in sustainable technology strategy and carbon emissions reporting proved invaluable. IT asset mapping and carbon inventory was the first step, covering all major components of Centrica’s global IT estate, including end-user computing, on-premise infrastructure, cloud services, and applications. The methodology adhered to the Greenhouse Gas (GHG) Protocol, employing a meticulous process of data collection, processing, validation, and analysis. Fujitsu sourced primary data from live databases and energy reports, while secondary data included Product Carbon Footprints (PCFs) and supplier emission inventories. Where necessary, Fujitsu included tertiary or proxy data, using allocation from supplier emission reports or spend-based methodologies. This pragmatic approach enabled the broadest coverage and highest level of accuracy, accounting for varying levels of sustainability maturity amongst suppliers. The Fujitsu team applied a structured approach to validate and normalize data, identify and report data gaps, and make necessary extrapolations or assumptions to minimize any information gaps. After analyzing and processing the data, the team modelled emissions across the four key pillars of Centrica’s IT estate. The project culminated in a detailed report, featuring visualized findings, comprehensive methodology documentation, and strategic recommendations for the next phase of Centrica’s sustainability journey.
Impact and Results
Working in close collaboration with Centrica, the Fujitsu team collected over 650,000 data points from 16 technology suppliers, covering more than 80% of IT supplier spend. This comprehensive data set spanned eight Centrica Group functions and four geographical locations. In under three months, Fujitsu successfully established a robust carbon baseline for Centrica’s global IT estate, encompassing both location-based and market-based emissions. Fujitsu further identified key emissions hotspots and provided tailored decarbonization recommendations for each category. For example, Fujitsu highlighted that extending the lifespan of UK&I laptops from four to five years would prevent nearly 400tCO2e of emissions annually. They also identified specific suppliers requiring further guidance to reduce uncertainty in their current emissions intensity assumptions. These insights will empower Centrica’s technology team to collect more accurate supplier data, strengthen relationships with strategic suppliers, and integrate environmental considerations into future IT investments.
Collaborative success and knowledge transfer
The project not only marked a first for Centrica but also initiated a fruitful collaboration between its Group Environment and IT Departments. Together, they are driving net zero technology transition planning, solidifying technology’s pivotal role in the company’s decarbonisation goals. Furthermore, by using Fujitsu’s methodology and approach, Centrica is now equipped to accurately measure the carbon emissions of its IT estate for the upcoming financial year, enabling clear progress tracking against the 2023 baseline. Data is the lifeblood of all organizations, particularly when it comes to sustainability. New regulations like the Corporate Sustainability Reporting Directive increasing emphasize robust data management. With enhanced visibility, companies can make optimal sustainability decisions. Centrica’s proactive approach to calculating their IT emissions baseline exemplifies their commitment to embedding sustainability at the core of future technology investment considerations and their broader net zero transition plan, thereby paving the way for a more sustainable future. Chris O‘Shea, Group Chief Executive emphasizes: “It is our duty to fight climate change because it’s one of the biggest single threats facing society. Although we all know that getting to net zero won’t be quick or easy, I believe it’s the greatest single opportunity for Centrica.”
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