Carbon Reduction Policy and Plan

Policy Statement

Fuel Storage Solutions Limited (“FSS”) recognises the importance of reducing greenhouse gas emissions and minimising the environmental impact of our business activities on climate change and biodiversity.

As a UK SME operating within the fuel storage, fuel systems and engineering sector, our activities involve office operations, engineering activities, company travel, procurement of materials and equipment, and work undertaken at customer sites. We are committed to reducing the carbon emissions associated with our operations through practical, measurable and continually improving actions. We will prioritise the avoidance and reduction of emissions at source, before considering any form of carbon offsetting or other compensatory measures. We will make environmental claims only where they are accurate, clear and supported by appropriate evidence.

This policy supports our wider Environmental and Social Governance (“ESG”) commitments and supports our objective of contributing to the UK’s transition towards a lower-carbon economy while delivering environmental benefits for our customers, community and stakeholders.

Net Zero Commitment

FSS is committed to achieving Net Zero greenhouse gas emissions across its operations by 2050, in alignment with UK Government objectives.

The Company will reduce emissions across Scope 1, Scope 2 and applicable Scope 3 categories through operational improvements, energy efficiency measures, sustainable procurement practices and continual improvement initiatives. Residual emissions will only be addressed following implementation of all reasonably practicable reduction measures.

Baseline Emissions Footprint

Baseline Year 2023-24
Emissions:
	Emission (tCO₂e)
Scope 1 – Total GHG emissions	65.7234
Scope 2 – Total GHG emissions (market or location based)	9.8797
Scope 3 – Total	1,045.5310

Total GHG emissions – location based	1,121.1341
Total GHG emissions – market based	1,121.1341
Total GHG emissions	1,121.1341

This baseline has been established as the first complete carbon assessment undertaken by Fuel Storage Solutions Limited and will be used to measure future reductions

Current Emissions Reporting

Reporting Year 2025-26
Reporting Year End Date: 31 July 2026
Emissions:
	Reporting Year Emissions (tCO₂e) 2025-26	Baseline Emissions (tCO₂e) 2023-24	Performance
Scope 1 – Total GHG emissions	152.88	65.7234	Performance reduced but there were more vans due to company expansion which increased diesel usage
Scope 2 – Total GHG emissions (market or location based)	5.35	9.8797	Reduction of 4.5297 tCO₂e a 54.2% reduction
Scope 3 – Total	626.5223	1,045.5310
Total GHG emissions – location based	784.4423	1,121.1341
Total GHG emissions – market based	779.7123	1,121.1341
Total GHG emissions	784.7523	1,121.1341

Carbon Reduction Projects

Completed Carbon Reduction Initiatives

During the reporting period, Fuel Storage Solutions Limited implemented and maintained a range of carbon reduction measures designed to improve operational efficiency and reduce greenhouse gas emissions across the business. These initiatives contributed towards a reduction in overall emissions from the baseline year and support our commitment to achieve Net Zero by 2050.

The following measures have been implemented:

Fleet and Travel Management
Continued use of GPS vehicle tracking and route optimisation software to reduce unnecessary mileage and fuel consumption.
Improved scheduling and consolidation of site visits to reduce travel requirements.
Increased use of remote meetings, video conferencing and technical support to avoid unnecessary journeys.
Encouragement of vehicle sharing and efficient driving practices.
Ongoing replacement of older vehicles with lower-emission alternatives where operationally practical.
Energy Management
Maintenance of LED lighting throughout company premises.
Continued use of PIR-controlled lighting systems to reduce unnecessary electricity consumption.
Implementation of equipment shutdown procedures for computers, printers and other office equipment when not in use.
Waste Reduction and Circular Economy
Segregation of waste streams to maximise recycling and recovery opportunities.
Recovery, filtration and reuse of waste oil for heating purposes, reducing both waste disposal and fossil fuel consumption.
Continued recycling of metals, cardboard, plastics, paper and hazardous waste through approved contractors.
Reduction of unnecessary packaging and increased use of reusable materials where practical.
Sustainable Procurement
Preference given to local suppliers where practical to reduce transportation-related emissions.
Consideration of supplier environmental performance and sustainability credentials during procurement activities.
Environmental Enhancement
Continued development of wildlife habitats adjacent to Head Office.
Rewilding of approximately seven acres of land.
Indigenous tree planting and support for local community environmental initiatives.
Participation in mangrove restoration projects through the Vilamatsa Project.

Future Carbon Reduction Projects

Over the next reporting period, Fuel Storage Solutions Limited intends to:

Further improve fleet efficiency through the introduction of lower-emission vehicle technologies where operationally suitable.
Continue to improve Scope 3 emissions data collection, particularly in relation to commuting, supply chain activities and purchased goods and services.
Identify opportunities to increase the use of renewable energy within business operations.
Expand employee engagement and carbon awareness initiatives.
Work with suppliers and subcontractors to encourage adoption of carbon reduction and environmental management measures.
Review opportunities to further reduce diesel consumption through route optimisation and future fleet replacement programmes.

Publication Statement

This Carbon Reduction Plan is published on the Fuel Storage Solutions website and is publicly available at:

www.fuelstoragesolutions.co.uk/carbon-reduction-plan

PPN 06/21 Declaration

This Carbon Reduction Plan has been completed in accordance with PPN 06/21 and associated guidance and reporting standards for Carbon Reduction Plans.

Emissions have been reported and recorded in accordance with the Greenhouse Gas Protocol Corporate Accounting and Reporting Standard and use the appropriate Government emission conversion factors for greenhouse gas company reporting.

This Carbon Reduction Plan has been reviewed and approved by the Board of Directors of Fuel Storage Solutions Limited.

Our Carbon Reduction Principles

Our approach is based on the following principles:

Measure – We will establish and maintain appropriate records of our energy use and greenhouse gas emissions.
Reduce – We will identify the principal sources of emissions within our control and take proportionate action to reduce them.
Improve – We will consider carbon reduction when making decisions about vehicles, buildings, equipment, procurement, and operational processes.
Engage – We will involve employees, suppliers and contractors where their actions can contribute to carbon reduction.
Be transparent – We will report our environmental performance accurately and honestly.
Continually improve – Our carbon reduction programme will be reviewed regularly and updated as technology, business requirements and available data develop.

Measuring Our Carbon Footprint

FSS will progressively improve our measurement and reporting of greenhouse gas emissions arising from our operations.

Our reporting will focus on:

Scope 1 Emissions

Direct emissions including fuel used in:

Company-owned or controlled vehicles
Heating
Other directly controlled fuel consumption
Relevant refrigerant emissions.

Scope 2 Emissions

Indirect emissions from purchased electricity and other energy used within our facilities.

Scope 3 emissions

Where data is reasonably available and proportionate to the size and nature of our operations, we will consider:

Business travel
Employee travel
Purchased goods and services
Waste disposal and recycling
Contractor and supply-chain activities.

Where appropriate, emissions will be calculated using the latest UK Government greenhouse gas reporting conversion factors.

Estimates may be used where accurate activity data is unavailable, and assumptions will be documented accordingly.

We will seek to improve data quality over time so that our carbon footprint becomes increasingly consistent, transparent and meaningful.

Carbon Reduction Commitments
- Energy Use and Facilities

FSS will seek to reduce energy consumption across all our facilities by:

Monitoring electricity and heating consumption.
Ensuring lights and equipment are switched off when not required.
Using LED lighting throughout the company premises
Utilising PIR-controlled lighting where practical
Considering energy-efficient equipment when replacements are required.
Reviewing opportunities for renewable energy sources where commercially viable.
Maintaining appropriate controls such as timers and thermostats.

Heating and Ventilation

FSS does not operate air-conditioning systems at its business premises.

Heating is provided through the recovery, filtration and reuse of waste oil recovered during business operations (as agreed with HMRC – Registered Dealers in Controlled Oils). This reduces both waster disposal and consumption of additional fossil fuels.

Natural ventilation is achieved through opening windows thereby needing no mechanical energy consumption.

Company Vehicles and Engineering Fleet

Our engineering activities require travel to customer and project sites. We recognise that vehicle fuel use may therefore represent a significant source of operational emissions.

We already undertake the following but will seek to reduce associated emissions further through improvement of:

Effective route planning and scheduling utilising GPS tracking and route optimisation systems
Combining site visits by area/ location where practicable

Avoiding unnecessary journeys by utilising remote meetings and technical support where possible

Encouraging efficient driving practices including vehicle sharing
Monitoring vehicle fuel consumption
Consider lower-emission, hybrid and electric vehicles when vehicles are replaced
Take advantage of advancements in vehicle technology through planned replacement programmes.

Business Travel

We will reduce unnecessary business travel where reasonably practicable through the use of:

Telephone and video conferencing
Remote meetings and similar tools
Public transport where feasible
Shared or combined travel arrangements where appropriate.

Where travel is necessary, the most practical lower-emission option will be considered.

Engineering and Site Operations

We recognise that engineering work involves several areas of emissions impact including travel, plant, tools, equipment and materials.

Where practical, we will:

Apply careful planning to ensure we work efficiently to minimise repeat visits
Consolidate deliveries and site attendance
Select appropriately sized plant and equipment
Adopt efficient methods of use and maintenance of equipment
Reduce material waste and recycle waste where appropriate
Consider lower-carbon alternatives where they meet technical, safety and performance requirements

Carbon reduction will be considered alongside health and safety, engineering standards, quality, reliability, customer requirements and cost.

Fuel Polishing Services

FSS fuel polishing services deliver measurable environmental benefits by extending the useful life of stored fuel and reducing the need for disposal, transportation, refining and replacement of fuel stocks. This contributes directly to carbon reduction for customers and minimises waste throughout the fuel supply chain.

Materials and Procurement

We will seek to reduce the carbon impact of the materials and services we purchase.

When reasonably practicable, procurement decisions will consider:

Product durability and expected service life
Repairability and reuse
Recycled or recyclable content
Packaging
Transportation requirements
Supplier environmental performance
Review areas in which we can reduce material consumption
Opportunities to source locally or regionally where this provides an appropriate overall benefit.

We will work with key suppliers where there are realistic opportunities to obtain better environmental information or lower-carbon alternatives.

We will not select a product solely on the basis of an environmental claim without considering its technical suitability, whole-life impact and supporting evidence.

Waste Management and Circular Economy

We will apply the waste hierarchy wherever reasonably practicable:

Prevent → Reduce → Reuse → Recycle → Recover → Dispose

To support this commitment we will:

Segregate waste streams at source.
Provide dedicated recycling facilities for cardboard, plastics, paper, metals and hazardous waste.
Recover and recycle waste oil where appropriate.
Reuse materials where safe and practical.
Reduce unnecessary packaging.
Maximise recycling and recovery opportunities.
Ensure compliant disposal of hazardous wastes through licensed specialists.
Monitor waste generation and recycling performance to identify improvement opportunities
Waste data will be monitored where practical to identify opportunities for further improvement.
Adopt technological advancements when available and feasible.

All waste generated on customer sites is returned to company premises where practicable to ensure proper segregation and responsible disposal through approved waste contractors.

Digital and Office Practices

FSS will reduce the environmental impact of office activities through

Reduced paper consumption.
Digital document management.
Responsible recycling of IT equipment.
Procurement of energy-efficient office equipment.
Extending equipment life where practical.
Routine shutdown of computers, printers and ancillary equipment when not in use.

Supply Chain and Contractors

We recognise that a proportion of our environmental impact occurs outside our direct operational control.

Where proportionate to the procurement decision, we will consider suppliers’ environmental practices, relevant environmental certifications, carbon information and reduction initiatives.

Contractors working on our behalf will be expected to comply with our applicable environmental requirements and site controls.

We will encourage suppliers and contractors to identify practical opportunities to reduce emissions associated with their activities.

Procurement decisions will consider:

Product durability and service life.
Repairability and reuse opportunities.
Recycled and recyclable content.
Packaging impacts.
Transportation requirements.
Supplier environmental performance.
Local sourcing opportunities.

Preference will be given, where commercially appropriate, to suppliers and subcontractors who demonstrate:

ISO 14001 certification or equivalent environmental management standards.
Sustainable waste disposal practices.
Strong recycling and resource recovery performance.
Low-emission fleets and equipment.
Carbon reduction initiatives and environmental reporting.
Compliance with relevant environmental legislation.

Biodiversity and Environmental Enhancement

FSS recognises that environmental responsibility extends beyond carbon reduction.

Our biodiversity initiatives include:

Rewilding approximately 7 acres of land owned by company directors.
Development and maintenance of wildlife habitats adjacent to the Head Office.
Planting indigenous trees in Thornton to enhance local biodiversity.
Supporting local environmental projects including Thornton in Bloom and Sapgate Gardens.
Participation in mangrove restoration projects through the Vilamatsa Project.
Supporting tree planting through environmental programmes associated with EcoVadis assessments.

These initiatives contribute to habitat creation, wildlife support, environmental awareness and long-term carbon sequestration Carbon Reduction Targets

Carbon Reduction Targets

We will use our carbon baseline year of 31/07/2024 to develop appropriate reduction targets against which our future performance can be measured.

Where business growth increases absolute emissions despite efficiency improvements, we will seek to distinguish between absolute emissions, emissions intensity and changes resulting from increased business activity.

The Company will:

Monitor Scope 1 and Scope 2 emissions annually.
Increase the quality and coverage of Scope 3 data.
Identify significant emission sources.
Develop measurable reduction objectives.
Review targets periodically.
Track both absolute emissions and emissions intensity where appropriate.

Specific reduction targets and baseline data will be reviewed annually by management and approved by the Board

Carbon Offsetting and Carbon Removal

We recognise that offsetting or carbon removal does not replace the need to reduce emissions from our own operations.

Our priority list will therefore be:

Avoiding emissions
Reducing emissions
Improving efficiency
Addressing residual emissions where appropriate

We will not describe the business, products or services as “carbon neutral”, “net zero” or equivalent unless the claim is supported by appropriate evidence, a recognised methodology and a credible plan.

Environmental Claims and Communications

We will ensure that statements made publicly about our carbon reduction activities are:

accurate and factual;
clear and understandable;
supported by appropriate evidence;
specific about what is being claimed;
not misleading through omission or presentation;
proportionate to the actions we have actually taken.

Where a claim relates only to part of our operations, product or service, this will be made clear.

We will avoid vague or unqualified claims such as “green”, “eco-friendly” or “carbon neutral” unless the wording is appropriately defined and substantiated.

Our approach is consistent with the Competition and Markets Authority’s Green Claims Code and its 2026 guidance on environmental claims across supply chains.

Employee Engagement and Training

All employees have a role to play in reducing the environmental impact of our business.

FSS will:

Provide sustainability and environmental awareness training.
Encourage efficient resource use.
Promote responsible waste management.
Encourage efficient driving practices.
Involve employees in identifying environmental improvement opportunities.
Communicate carbon reduction objectives and achievements regularly.

Relevant environmental and carbon-reduction considerations will be incorporated into employee communications and training where appropriate.

Governance and Responsibilities

The Board of Directors has overall responsibility for this policy and for ensuring that environmental sustainability remains part of the Company’s business planning and decision-making.

Management is responsible for:

Monitoring energy and emissions performance.
Maintaining environmental records.
Delivering improvement initiatives.
Monitoring performance against targets.
Reviewing environmental risks and opportunities.
Ensuring annual policy review

Employees and contractors must comply with relevant environmental procedures and supporting the Company’s carbon reduction objectives in order to be included on the FSS Authorised Supplier and Subcontractor lists.

Monitoring and Reporting

We will monitor appropriate performance indicators, which may include:

Scope 1 emissions.
Scope 2 emissions.
Relevant Scope 3 emissions.
Electricity and heating consumption.
Vehicle fuel consumption.
Business mileage.
Recycling performance.
Waste generation.
Environmental enhancement projects.
Progress against carbon reduction actions and targets.

Performance will be reviewed at least annually and reported honestly, including any limitations in data quality or measurement assumptions.

Compliance

We will comply with applicable UK environmental legislation and relevant regulatory requirements.

Where applicable, our carbon and energy reporting will take account of relevant UK Government guidance, including the annual greenhouse gas reporting conversion factors.

FSS do not currently fall within the scope of the UK Streamlined Energy and Carbon Reporting requirements. However, if this changes it will be addressed through the Company’s statutory reporting arrangements. Current UK guidance states that SECR generally applies to unquoted companies and LLPs meeting at least two of the thresholds of more than 250 employees, more than £36 million turnover and more than £18 million balance sheet total, subject to the applicable rules and exemptions.

Review and Continual Improvement

This policy will be reviewed at least annually and sooner where there are significant changes to legislation, business activities, technology or recognised good practice.

The Company is committed to continual improvement and will seek to strengthen its carbon management approach as better data, technologies and lower-carbon solutions become available. We will also consider:

Legislation or regulatory requirements
Industry Standards
FSS activities and operations
Available technologies
Carbon reporting requirements
Environmental best practice

Approved by: Katharine Barnett

Position: Finance Director

Date: 1 October 2026

Next scheduled review date is 30 September 2027.

Carbon Reduction Policy and Plan Oct 26